<HTML>
<HEAD>
<TITLE>OMNIAMERICAN BANCORP, INC.</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>As filed with the Securities and Exchange Commission on September&nbsp;11, 2009</B>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 2pt"><B>Registration No.&nbsp;333-________</B>
</DIV>


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>




<DIV align="center" style="font-size: 14pt; margin-top: 6pt"><B>UNITED STATES SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>WASHINGTON, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 6pt"><B>FORM S-1</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 6pt"><B>REGISTRATION STATEMENT UNDER<BR>
THE SECURITIES ACT OF 1933</B>
</DIV>

<DIV align="center" style="font-size: 22pt; margin-top: 6pt"><B>OmniAmerican Bancorp, Inc. and<BR>
OmniAmerican Bank 401(k) Profit Sharing Plan</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 1pt">(Exact Name of Registrant as Specified in Its Charter)
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom" style="font-size: 6pt">
    <TD width="31%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="32%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="31%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>Maryland</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>6712</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>Being applied for</B></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">(State or Other Jurisdiction of
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(Primary Standard Industrial
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(I.R.S. Employer</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">Incorporation or Organization)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Classification Code Number)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Identification Number)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>1320 S. University Drive, Suite&nbsp;900<BR>
Fort Worth, Texas 76107<BR>
(817)&nbsp;367-4640</B><BR>
(Address, Including Zip Code, and Telephone Number, Including Area Code, of Registrant&#146;s Principal Executive Offices)
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>Mr.&nbsp;Tim Carter<BR>
President and Chief Executive Officer<BR>
1320 S. University Drive, Suite&nbsp;900<BR>
Fort Worth, Texas 76107<BR>
(817)&nbsp;367-4640</B><BR>
(Address, Including Zip Code, and Telephone Number, Including Area Code, of Agent for Service)
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>Copies
to:</B><BR>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>Eric Luse, Esq. <BR>
Alan Schick, Esq. <BR>
Luse Gorman Pomerenk &#038; Schick, P.C. <BR>
5335 Wisconsin Avenue, N.W., Suite&nbsp;780<BR>
Washington, D.C. 20015<BR>
(202)&nbsp;274-2000</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>James C. Stewart, Esq.<BR>
Malizia Spidi &#38; Fisch, PC<BR>
901 New York Avenue, N.W.<BR>
Suite&nbsp;210 East<BR>
Washington, D.C. 20001<BR>
(202)&nbsp;434-4660</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="justify" style="font-size: 8pt; margin-top: 6pt"><B>Approximate date of commencement of proposed sale to the public: </B>As soon as practicable after this
registration statement becomes effective.
</DIV>

<DIV align="justify" style="font-size: 8pt; margin-top: 3pt">If any of the securities being registered on this Form are to be offered on a delayed or continuous
basis pursuant to Rule&nbsp;415 under the Securities Act of 1933, check the following box: <FONT face="Wingdings">&#120;</FONT>
</DIV>

<DIV align="justify" style="font-size: 8pt; margin-top: 3pt">If this
Form is filed to register additional securities for an offering pursuant to Rule 462(b) under
the Securities Act, please check the following box and list the Securities Act registration
statement number of the earlier effective registration statement for the same offering: <FONT face="Wingdings">&#111;</FONT>
</DIV>

<DIV align="justify" style="font-size: 8pt; margin-top: 3pt">If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act,
check the following box and list the Securities Act registration statement number of the earlier
effective registration statement for the same offering: <FONT face="Wingdings">&#111;</FONT>
</DIV>

<DIV align="justify" style="font-size: 8pt; margin-top: 3pt">If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act,
check the following box and list the Securities Act registration statement number of the earlier
effective registration statement for the same offering: <FONT face="Wingdings">&#111;</FONT>
</DIV>

<DIV align="justify" style="font-size: 8pt; margin-top: 3pt">Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated filer, or a smaller reporting company. See the definitions of &#147;large accelerated
filer,&#148; &#147;accelerated filer&#148; and &#147;smaller reporting company&#148; in Rule&nbsp;12b-2 of the Exchange Act.
(Check one):
</DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="80%">
<!-- Begin Table Head -->
<TR valign="bottom" style="font-size: 3pt">
    <TD width="55%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="40%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Large accelerated filer <FONT face="Wingdings">&#111;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Accelerated filer <FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Non-accelerated filer <FONT face="Wingdings">&#120;</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Smaller reporting company <FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">(Do not check if a smaller reporting company)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 6pt"><B>CALCULATION OF REGISTRATION FEE</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom" style="font-size: 3pt">
    <TD width="1%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>

    <TD width="1%">&nbsp;</TD>
</TR><TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="15" style="border-bottom: 3px double #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD nowrap align="center"><B>Title of each class of</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Amount to be</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Proposed maximum</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Proposed maximum</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Amount of</B></TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD nowrap align="center"><B>securities to be registered</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>registered</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>offering price per share</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>aggregate offering price</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>registration fee</B></TD>
    <TD width="1%">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
                    <TD align="left" valign="top" style="border-top: 2px solid #000000">Common Stock, $0.01 par value per share
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">11,902,500 shares
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">$10.00
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">$119,025,000 (1)
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">$6,642</TD>
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 2px solid #000000">Participation interests
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>

<TD align="center" valign="top" style="border-top: 2px solid #000000">560,392
interests
</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="center" valign="top" style="border-top: 2px solid #000000">(2) </TD>
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="15" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 8pt">

<TR valign="top" style="font-size: 8pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><DIV style="text-align: justify">Estimated solely for the purpose of calculating the registration fee.</DIV></TD>
</TR>

<TR>
    <TD style="font-size: 3pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 8pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><DIV style="text-align: justify">The securities of OmniAmerican Bancorp, Inc. to be purchased by the OmniAmerican Bank 401(k)
Profit Sharing Plan are included in the amount shown for the common stock. Accordingly, no
separate fee is required for the participation interests. In accordance with Rule 457(h) of
the Securities Act of 1933, as amended, the registration fee has been calculated on the basis
of the number of shares of common stock that may be purchased with the current assets of such
Plan.</DIV></TD>
</TR>

</TABLE>
</DIV>
<DIV align="justify" style="font-size: 8pt; margin-top: 6pt"><B>The registrant hereby amends this registration statement on such date or dates as may be necessary
to delay its effective date until the registrant shall file a further amendment which specifically
states that this registration shall thereafter become effective in accordance with Section 8(a) of
the Securities Act of 1933 or until the registration statement shall become effective on such date
as the Securities and Exchange Commission, acting pursuant to said Section&nbsp;8(a), may determine.</B><BR>
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>







<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Prospectus Supplement</B></U>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Interests in</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>OMNIAMERICAN BANK<BR>
401(k) PROFIT SHARING PLAN</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Offering of Participation Interests in up to 560,392 Shares of</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>OMNIAMERICAN BANCORP, INC.<BR>
Common Stock</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the conversion of OmniAmerican Bank from the mutual to the stock form of
organization, OmniAmerican Bancorp, Inc. is allowing participants in the OmniAmerican Bank 401(k)
Profit Sharing Plan (the &#147;Plan&#148;) to invest all or a portion of their accounts in participation
interests in the common stock of OmniAmerican Bancorp, Inc. Based upon the value of the Plan
assets at June&nbsp;30, 2009, OmniAmerican Bancorp, Inc. has registered a number of participation
interests through the Plan in order to enable the trustee to purchase up to 560,392 shares of
OmniAmerican Bancorp, Inc. common stock, at the purchase price of $10.00 per share. This
prospectus supplement relates to the initial election of Plan participants to direct the trustee of
the Plan to invest all or a portion of their Plan accounts in the OmniAmerican Bancorp, Inc. Stock
Fund at the time of the stock offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The prospectus of OmniAmerican Bancorp, Inc. dated <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2009, accompanies this
prospectus supplement. It contains detailed information regarding the conversion and stock
offering of OmniAmerican Bancorp, Inc. common stock and the financial condition, results of
operations and business of OmniAmerican Bancorp, Inc. and OmniAmerican Bank. This prospectus
supplement provides information regarding the Plan. You should read this prospectus supplement
together with the prospectus and keep both for future reference.
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>For a discussion of risks that you should consider, see the &#147;Risk Factors&#148; section of the
prospectus.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>The interests in the Plan and the offering of OmniAmerican Bancorp, Inc. common stock have not
been approved or disapproved by the Office of Thrift Supervision, the Securities and Exchange
Commission or any other federal or state agency. Any representation to the contrary is a criminal
offense.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>The securities offered in this prospectus supplement and in the prospectus are not deposits or
accounts and are not federally insured or guaranteed by the Federal Deposit Insurance Corporation or any
other government agency.</B>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This prospectus supplement may be used only in connection with offers and sales by
OmniAmerican Bancorp, Inc. of participation interests in shares of common stock acquired by the
Plan. No one may use this prospectus supplement to re-offer or resell interests or shares of
common stock acquired through the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You should rely only on the information contained in this prospectus supplement and the
accompanying prospectus. OmniAmerican Bancorp, Inc., OmniAmerican Bank and the Plan have not
authorized anyone to provide you with information that is different.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This prospectus supplement does not constitute an offer to sell or solicitation of an offer to
buy any securities in any jurisdiction to any person to whom it is unlawful to make an offer or
solicitation in that jurisdiction. Neither the delivery of this prospectus supplement and the
prospectus nor any sale of common stock or participation interests representing an ownership
interest in OmniAmerican Bancorp, Inc. common stock shall under any circumstances imply that there
has been no change in the affairs of OmniAmerican Bancorp, Inc. or any of its subsidiaries or the
Plan since the date of this prospectus supplement, or that the information contained in this
prospectus supplement or incorporated by reference is correct as of any time after the date of this
prospectus supplement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The date of this prospectus supplement is <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2009.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>






<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#101">THE OFFERING</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#102">Securities Offered</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#103">Election to Purchase Common Stock in the Offering: Priorities</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#104">Value of the Plan Assets</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#105">Minimum Investment</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#106">How to Order</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#107">Order Deadline</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#108">Irrevocability of Transfer Direction</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#109">Other Purchases in Your Account During the Offering Period</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#110">Direction to Purchase or Sell Common Stock after the Offering</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#111">Purchase Price of Common Stock</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#112">Voting Rights of Common Stock</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#113">DESCRIPTION OF THE PLAN</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#114">Introduction</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#115">Eligibility and Participation</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#116">Contributions Under the Plan</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#117">Vesting</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#118">Withdrawals and Distributions from the Plan</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#119">Investment of Contributions and Account Balances</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#120">Performance History</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#121">Description of the Investment Funds</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#122">Administration of the Plan</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#123">Amendment and Termination</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#124">Merger, Consolidation or Transfer</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#125">Federal Income Tax Consequences</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#126">Notice of Your Rights Concerning Employer Securities</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#127">Additional ERISA Considerations</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#128">Securities and Exchange Commission Reporting and Short-Swing Profit Liability</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px"><A href="#129">Financial Information Regarding Plan Assets</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#130">LEGAL OPINION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv1w1.htm">EX-1.1 ENGAGEMENT LETTER</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv2.htm">EX-2 PLAN OF CONVERSION</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv3w1.htm">EX-3.1 ARTICLES OF INCORPORATION</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv3w2.htm">EX-3.2 BYLAWS</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv4.htm">EX-4 FORM OF COMMON STOCK CERTIFICATE</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv5.htm">EX-5 OPINION OF LUSE GORMAN POMERENK & SCHICK, P.C.</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv8.htm">EX-8 FORM OF FEDERAL TAX OPINION OF LUSE GORMAN POMERENK & SCHICK P.C.</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv10w1.htm">EX-10.1 EMPLOYMENT AGREEMENT/TIM CARTER</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv10w2.htm">EX-10.2 PROPOSED EMPLOYMENT AGREEMENT/TIM CARTER</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv10w3.htm">EX-10.3 PROPOSED FORM OF CHANGE IN CONTROL AGREEMENT</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv10w4.htm">EX-10.4 OMNIAMERICAN BANK EMPLOYEE STOCK OWNERSHIP PLAN</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv21.htm">EX-21 SUBSIDIARIES OF REGISTRANT</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv23w2.htm">EX-23.2 CONSENT OF MCGLADNEY & PULLEN, LLP</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv23w3.htm">EX-23.3 CONSENT OF RP FINANCIAL, LC.</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w1.htm">EX-99.1 APPRAISAL AGREEMENT</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w2.htm">EX-99.2 LETTER OF RP FINANCIAL, LC WITH RESPECT TO SUBSCRIPTION RIGHTS</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w3.htm">EX-99.3 APPRAISAL REPORT</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w4.htm">EX-99.4 MARKETING MATERIALS</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w5.htm">EX-99.5 STOCK ORDER AND CERTIFICATION FORM</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w6.htm">EX-99.6 BUSINESS PLAN AGREEMENT</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="g20470exv99w7.htm">EX-99.7 CONVERSION AGENT AGREEMENT</A></FONT></TD></TR>
</TABLE>
</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<A name="101"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>THE OFFERING</B>
</DIV>

<DIV align="left">
<A name="102"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Securities Offered</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">In connection with the initial stock offering of
OmniAmerican Bancorp, Inc., OmniAmerican Bancorp, Inc.
is offering participation interests to participants in
the OmniAmerican Bank 401(k) Profit Sharing Plan (the
&#147;Plan&#148;). The participation interests represent your
indirect ownership of OmniAmerican Bancorp, Inc. common
stock through the OmniAmerican Bancorp, Inc. Stock Fund
being established under the Plan in connection with the
stock offering. At the purchase price of $10 per
share, the Plan may acquire up to 560,392 shares of
OmniAmerican Bancorp, Inc. common stock in the stock
offering, based on the fair market value of the Plan&#146;s
assets as of June&nbsp;30, 2009. Only employees of
OmniAmerican Bank may become participants in the Plan.
Your investment in the shares of common stock of
OmniAmerican Bancorp, Inc. in the stock offering
through the OmniAmerican Bancorp, Inc. Stock Fund is
subject to the purchase priorities contained in the
Plan of Conversion of OmniAmerican Bank.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Information with regard to the Plan is contained in
this prospectus supplement and information with regard
to the financial condition, results of operations and
business of OmniAmerican Bancorp, Inc. is contained in
the accompanying prospectus. The address of the
principal executive office of OmniAmerican Bancorp,
Inc. and OmniAmerican Bank is 1320 South University
Drive, Suite&nbsp;900, Fort Worth, TX 76107. OmniAmerican
Bank&#146;s telephone number is (817)-246-0111.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B><I>All elections to purchase participation interests in
the OmniAmerican Bancorp, Inc. Stock Fund in the stock
offering and any questions about this prospectus
supplement should be addressed to Benefits Manager,
telephone number: (817)&nbsp;367-4645; fax (817)&nbsp;367-5483
or by e-mail at </I></B><U><B><I>Gina.Heppel@omniamerican.com</I></B></U><B><I>.</I></B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="103"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Election to Purchase Common Stock in
the Offering: Priorities</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">In connection with the conversion
of OmniAmerican Bank to a stock
institution as the wholly-owned
subsidiary of OmniAmerican Bancorp,
Inc. and stock offering of the
common stock of OmniAmerican
Bancorp, Inc., you may elect to
transfer, all or part of your
account balances in the Plan to the
OmniAmerican Bancorp, Inc. Stock
Fund, to be used to purchase the
common stock issued in the stock
offering. The trustee of the
OmniAmerican Bancorp, Inc. Stock
Fund will purchase common stock of
OmniAmerican Bancorp, Inc. in
accordance with your directions.
However, such</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">directions are
subject to purchase limitations in
the Plan of Conversion of
OmniAmerican Bank.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The shares of common stock are
being offered at $10 per share in a
subscription offering and community
offering. In the subscription
offering, the shares are being
offered in the following descending
order of priority:</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Subscription offering:</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">(1)&nbsp;&nbsp; First, to depositors of
OmniAmerican Bank with $50 or more
as of the close of business on
March&nbsp;31, 2008.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">(2)&nbsp;&nbsp; Second, to OmniAmerican Bank&#146;s
tax-qualified plans, including the
employee stock ownership plan and
the Plan.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">(3)&nbsp;&nbsp; Third, to depositors of
OmniAmerican Bank with $50 or more
on deposit as of the close of
business on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">(4)&nbsp;&nbsp; Fourth, to depositors of
OmniAmerican Bank as of the close
of business on <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">If not all shares are subscribed
for in the subscription offering,
our shares will be offered in a
community offering to residents of
the Texas counties of Collin,
Dallas, Delta, Denton, Ellis, Hunt,
Hood, Kaufman, Johnson, Rockwall,
Parker, Tarrant, and Wise.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">If you fall into subscription
categories (1), (3), or (4), you
have subscription rights to
purchase shares of OmniAmerican
Bancorp, Inc. common stock in the
subscription offering. You will
separately receive offering
materials in the mail, including a
Stock Order Form. If you wish to
purchase stock outside of the Plan,
you must complete and submit the
Stock Order Form and payment, to
the Stock Service Center.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Additionally, or instead of placing
an order outside of the Plan
through a Stock Order Form, as a
Plan participant, you may place an
order to purchase shares of common
stock of OmniAmerican Bancorp, Inc.
through the Plan, in the manner
described below under &#147;How to
Order.&#148;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">No later than <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, the
deadline for placing orders in the
Plan, the amount that you elect to
transfer from your existing account
balances for the purchase of a
participation interest in the
shares of OmniAmerican Bancorp,
Inc. common stock in the Plan will
be removed from your existing
accounts and transferred to an
interest-bearing cash account
called the Stock Offering Option,
pending the closing of the stock
offering.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">At the closing of the stock
offering and subject to a
determination as to whether all or
any portion of your order may be
filled (based on your purchase
priority and whether the stock
offering is over subscribed), the
amount that you have transferred to
purchase common stock in the stock
offering will be placed in the
OmniAmerican Bancorp, Inc. Stock
Fund and allocated to your Plan
account.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">In the event the stock offering is
oversubscribed, <I>i.e. </I>there are more
orders for shares of common stock
than shares available for sale in
the stock offering, and the trustee
is unable to use the full amount
allocated by you to purchase shares
of common stock in the stock
offering, the amount that cannot be
invested in shares of common stock,
and any interest earned, will be
reinvested in the other investment
funds of the Plan in accordance
with your then existing investment
election (in proportion to your
investment direction for future
contributions). If you do not have
an existing election as to the
investment of future contributions,
then such amounts will be
transferred to and invested in
Principal Lifetime Fund (based on
your age), pending your
reinvestment in another fund of
your choice.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">If you choose not to direct the
investment of your account balances
towards the purchase of any shares
in the stock offering, your account
balances will remain in the
investment funds of the Plan as
previously directed by you.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="104"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Value of the Plan Assets</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">As of June&nbsp;30, 2009, the market
value of the assets of the Plan was
approximately $5,874,709, which
included $270,782 in loans to
participants. Accordingly,
$5,603,920 is available to purchase
up to 560,392 shares of
OmniAmerican Bancorp, Inc. common
stock in the offering. A
participant in the Plan can
determine the current value of his
or her account balance by
contacting the Principal Retirement
Service Center at <U>www.principal.com</U>
or by calling 1-800-547-7754.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="105"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Minimum and Maximum Investment</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">In connection with the stock
offering, the Plan will permit you
to direct the trustee to transfer
all or part of the funds that
represent your current beneficial
interest in the assets of the
401(k) Plan to the Stock Offering
Option. The trustee of the 401(k)
Plan will subscribe for shares of
OmniAmerican Bancorp, Inc. common
stock offered for sale in
connection with the stock offering,
in accordance with each
participant&#146;s direction. In order
to purchase participation interests
in shares in the stock offering
through the Plan, the minimum
investment is $250, which will
purchase 25 shares. The maximum
investment any individual can make
through the Plan is</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">$300,000,
(which will purchase 30,000 shares)
or .10% of the total number of
shares issued in the offering.
These purchases when aggregated
with purchases made by you, your
&#147;Associates&#148; or other persons
&#147;Acting in Concert&#148; with you (as
these terms are defined in the
prospectus) cannot exceed $500,000
in the aggregate or 50,000 shares.
The trustee will pay $10.00 per
share, which will be the same price
paid by all persons who purchase
shares in the stock offering.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="106"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>How to Order</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">You can elect to transfer (in whole
percentages or dollar amounts) all
or a portion of your account
balance in the Plan to the Stock
Offering Option for the purchase of
shares of common stock in the stock
offering. This is done by
following the procedures described
below. Please note the following
stipulations concerning this
election:</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; You can direct all or a
portion of your current account
balance to the Stock Offering
Option.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Your election is subject to
a minimum purchase of 25 shares
which equates to $250.00.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Your election is subject to
a maximum purchase of &#091;30,000&#093;
shares which equates to &#091;$300,000&#093;
or .10% of the total number of
shares issued in the offering.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The election period
opens &#95;&#95;&#95;&#95;, 2009 and closes December &#95;&#95;&#95;, 2009.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; After your election is
accepted by Principal Financial
Group, it will be rounded down to
the closest dollar amount divisible
by $10.00. The difference will
remain in the Stock Offering Option
until the formal closing of the
offering has been completed. At
that time, the common shares
purchased based on your election
will be transferred to the
OmniAmerican Bancorp, Inc. Stock
Fund and any remaining funds will
be transferred out of the Stock
Offering Option for investment in
other funds under the 401(k) Plan
based on your election currently on
file for future contributions. If
you do not have an election on file
for future contributions, any
remaining funds will be transferred
to the Principal Lifetime Fund
(based on your age) to be
reinvested by you in your
discretion.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; You will continue to have
the ability to transfer amounts not
in the OmniAmerican Bancorp, Inc.
Stock Fund among all the other
investment funds on a daily basis.</DIV></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The amount transferred to
the OmniAmerican Bancorp, Inc.
Stock Fund needs to be segregated
and held until the offering closes.
Therefore, this money is not
available for distributions, loans
or withdrawals until the
transaction is completed which is
after the closing of the stock
offering.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">You are allowed only one election
to transfer funds to the Stock
Offering Option. Follow these
steps to make your election to use
all or part of your account balance
in the 401(k) Plan to purchase
shares in the stock offering:</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Go to www.principal.com and
log into your 401k Plan account.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Click on the &#147;Make Changes&#148;
tab or the &#147;Transferring Existing
Balances&#148; link.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stay on the first page of
the election screen to make an
election using percentages from
your existing fund balances.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Find the &#147;Additional
Investment Transfers Options&#148; link
to make an election from a specific
source of money or to make a dollar
election.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Complete all the steps in
the election process until you
receive a request number
<U>(Note: your election is not complete until
you have confirmed your request
with your password and you receive
a request number)</U>.</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-25px">&#149;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Once you have a request
number, your election cannot be
changed.
</DIV></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
After you have completed your
election, you will also need to
complete the Stock Information Form
and return it in the self-addressed
envelope provided by December &#95;&#95;&#95;,
2009. It is critical that this
Stock Information Form be completed
and returned.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="107"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Order Deadline</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">You must make your election and
return your Stock Information Form
to OmniAmerican Bank, 1320 South
University Drive, Suite&nbsp;900, Fort
Worth, TX 76107, to be received by
no later than <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> on
<U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>&#091;day&#093;,
<U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>&#091;date&#093;, 2009. You
may return your Stock Information
Form by US mail, interoffice mail
or by faxing it to (&#95;&#95;&#95;) &#95;&#95;&#95;&nbsp;-&nbsp;&#95;&#95;&#95;, so long as it is returned
by the time specified. <B>&#091;Confirm&#093;</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="108"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Irrevocability of Transfer Direction</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><U><B>Once you have made your election as
described above, you may not change
your special election to transfer
amounts to the Stock Offering
Option for the purchase of stock
in the stock offering</B></U><B>.</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Your
election is irrevocable.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="109"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Other Purchases in Your Account
During the Offering Period</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Whether or not you choose to
purchase stock in the offering
through the Plan, you will at all
times have complete access to those
amounts in your account that you do
<U><B>not</B></U> apply towards purchases in the
offering. For example, you will be
able to purchase other funds within
the Plan with that portion of your
account balance that you do not
apply towards purchases in the
offering during the offering
period. Such purchases will be
made at the prevailing market price
in the same manner as you make such
purchases now, i.e., through
telephone transfers and internet
access to your account.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="110"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Direction to Purchase or Sell Common
Stock after the Stock Offering</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">After the stock offering, you will
again have complete access to any
amount that you directed towards
the investment in the OmniAmerican
Bancorp, Inc. Stock Fund. You may
direct that your future
contributions or your account
balance in the Plan be transferred
to the OmniAmerican Bancorp, Inc.
Stock Fund. After the stock
offering, you will also have the
ability to sell all or a portion of
your interest in the OmniAmerican
Bancorp, Inc. Stock Fund.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Special restrictions may apply to
transfers directed to and from the
OmniAmerican Bancorp, Inc. Stock
Fund by participants who are
subject to the provisions of
Section&nbsp;16(b) of the Securities
Exchange Act of 1934, as amended,
relating to the purchase and sale
of securities by officers,
directors and principal
shareholders of OmniAmerican
Bancorp, Inc.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="111"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Purchase Price of Common Stock</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">During the stock offering, the
trustee will pay $10.00 per share,
which will be the same price paid by
all other persons for a share of
OmniAmerican Bancorp, Inc. common
stock in the stock offering.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">After the stock offering, the
trustee will acquire common stock in
open market transactions at the
prevailing price which may be less
than or more than $10.00 per share.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<A name="112"></A>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="74%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Voting Rights of Common Stock</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">The Plan provides that you may
direct the trustee how to vote any
shares of OmniAmerican Bancorp, Inc.
common stock held by the
OmniAmerican Bancorp, Inc. Stock
Fund, and the interest in such
shares that is credited to your
account. If the trustee does not
receive your voting instructions,
the Plan administrator will exercise
these rights as it determines in its
discretion and will direct the
trustee accordingly. All voting
instructions will be kept
confidential.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<A name="113"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DESCRIPTION OF THE PLAN</B>
</DIV>

<DIV align="left">
<A name="114"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Introduction</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank originally adopted the OmniAmerican 401(k) Profit Sharing Plan on July&nbsp;1,
1995, and amended and restated it effective April&nbsp;1, 2007 (as amended and restated, the &#147;Plan&#148;).
The Plan is a tax-qualified plan with a cash or deferred compensation feature established in
accordance with the requirements under Section 401(a) and Section 401(k) of the Internal Revenue
Code of 1986, as amended (the &#147;Code&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank intends that the Plan, in operation, will comply with the requirements under
Section 401(a) and Section 401(k) of the Code. OmniAmerican Bank will adopt any amendments to the
Plan that may be necessary to ensure the continuing qualified status of the Plan under the Code and
applicable Treasury Regulations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Employee Retirement Income Security Act of 1974 (&#147;ERISA&#148;). </I>The Plan is an &#147;individual account
plan&#148; other than a &#147;money purchase pension plan&#148; within the meaning of ERISA. As such, the Plan is
subject to all of the provisions of Title I (Protection of Employee Benefit Rights) and Title II
(Amendments to the Code Relating to Retirement Plans) of ERISA, except to the funding requirements
contained in Part&nbsp;3 of Title I of ERISA, which by their terms do not apply to an individual account
plan (other than a money purchase plan). The Plan is not subject to Title IV (Plan Termination
Insurance) of ERISA. The funding requirements contained in Title IV of ERISA are not applicable to
participants or beneficiaries under the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Reference to Full Text of Plan. </I>The following portions of this prospectus supplement summarize
certain provisions of the Plan. They are not complete and are qualified in their entirety by the
full text of the Plan. Copies of the Plan are available to all employees by filing a request with
the Plan Administrator c/o OmniAmerican Bank, 1320 South University Drive, Suite&nbsp;900, Fort Worth,
TX 76107. OmniAmerican Bank&#146;s telephone number is (817)-246-0111. You are urged to read carefully
the full text of the Plan.
</DIV>
<DIV align="left">
<A name="115"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Eligibility and Participation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As an employee of OmniAmerican Bank, you are eligible to become a participant in the Plan on
the first day of the month after you have reached age 21. Union employees covered by a collective
bargaining agreement for which retirement benefits were bargained in good faith, nonresident
aliens who receive no earned income from the U.S., and leased employees (as defined in the Plan,
generally to include independent contractors) are not eligible to participate in the Plan. The
Plan year is January 1 to December&nbsp;31 (the &#147;Plan Year&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of June&nbsp;30, 2009, there were approximately 324 employees, former employees and
beneficiaries eligible to participate in the Plan.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="116"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Contributions Under the Plan</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Elective Deferrals. </I>You are permitted to defer a percentage of your pay, subject to certain
limitations imposed by the Code, and to have that amount contributed to the Plan on your behalf.
For purposes of the Plan, your &#147;pay&#148; means your total pay, including your elective contributions to
any of OmniAmerican Bank&#146;s plans, but excludes expense repayments or other allowances, fringe
benefits, moving expenses and deferred compensation and welfare benefits. Pay also excludes
bonuses and overtime. You may elect to modify the amount contributed to the Plan by filing a new
elective deferral agreement with the Plan administrator at the beginning of each pay period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Employer Matching Contributions. </I>OmniAmerican Bank may make discretionary matching
contributions to the Plan equal to a percentage of your elective defined contributions, as
determined by OmniAmerican Bank. OmniAmerican Bank may choose to match your elective deferral
contributions on up to 5% of your pay.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Employer Discretionary Contributions</I>. OmniAmerican Bank may make discretionary contributions
to the Plan, which means that OmniAmerican Bank chooses the percentage of the contribution and
whether or not it will be made. Your share of the discretionary contributions is determined by
multiplying the discretionary contribution by a fraction, the numerator of which is &#147;your pay&#148; and
the denominator of which is the total pay of all participants entitled to share in the
contributions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Qualified Nonelective Contributions</I>. OmniAmerican Bank may make a qualified nonelective
contribution each plan year, in an amount determined by the bank, to participants (other than
highly paid employees) who are eligible for a share of the contribution on December&nbsp;31. A
participant is eligible if the participant was an active employee at any time during the plan year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Makeup Contributions</I>. OmniAmerican Bank will permit participants who return to work after a
period of qualified military service to contribute missed elective deferrals to the Plan. If a
participant contributes makeup contributions, OmniAmerican Bank will make any matching
contributions that apply.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Limitations on Contributions</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Limitations on Employee Salary Deferrals</I>. For the Plan Year beginning January&nbsp;1, 2009, the
amount of your before-tax contributions may not exceed $16,500 per calendar year. Contributions in
excess of this limit are known as excess deferrals. If you defer amounts in excess of this
limitation, your gross income for federal income tax purposes will include the excess in the year
of the deferral. In addition, unless the excess deferral is distributed before April&nbsp;15 of the
following year, it will be taxed again in the year distributed. Income on the excess deferral
distributed by April&nbsp;15 of the immediately succeeding year will be treated, for federal income tax
purposes, as earned and received by you in the tax year in which the contribution is made.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Limitations on Catch-up Contributions</I>. If you have made the maximum amount of regular
before-tax contributions allowed by the Plan or other legal limits and you have attained at least
age 50 (or will reach age 50 prior to the end of the plan year), you are also eligible to make
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">an additional catch-up contribution. You may authorize OmniAmerican Bank to withhold a
specified dollar amount of your compensation for this purposes. For 2009, the maximum catch-up
contribution is $5,500.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Limitations on Contributions based on Compensation</I>. Contributions to the Plan cannot be based
on compensation in excess of certain limits established under the Code that are adjusted annually.
For 2009, the amount of annual compensation that can be taken into account for each participant is
limited to $245,000. For these purposes, compensation is defined differently than &#147;pay&#148; to include
your taxable wages for income tax withholding purposes. Compensation also includes certain amounts
that are not subject to income tax withholding, such as elective deferrals to the Plan or to a
cafeteria plan or amounts contributed towards the purchase of qualified transportation fringe
benefits.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Limitation on Plan Contributions for Highly Compensated Employees</I>. Special provisions of the
Code limit the amount of employee deferrals and employer matching contributions that may be made to
the Plan in any year on behalf of highly compensated employees, in relation to the amount of
employee deferrals and employer matching contributions made by or on behalf of all other employees
eligible to participate in the Plan. A highly compensated employee for a plan year includes any
employee who: (1)&nbsp;was a 5% owner of OmniAmerican Bancorp, Inc. at any time during the current or
preceding year, or (2)&nbsp;had compensation for the preceding year of more than the preceding year&#146;s
highly compensated employee dollar limit (for 2009, the dollar limit is $110,000; for 2008, the
dollar limit is $105,000). The dollar amount in the foregoing sentence may be adjusted annually to
reflect increases in the cost of living. If these limitations are exceeded, the level of deferrals
by highly compensated employees and matching contributions to highly compensated employees may have
to be adjusted.
</DIV>
<DIV align="left">
<A name="117"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Vesting</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At all times, you have a fully vested, nonforfeitable interest in your elective deferral
contributions. Your employer matching contributions and employer discretionary contributions will
vest over a 6&nbsp;year period at rate of 20% per year, commencing in the second year. You will also
become 100% vested in your matching contributions and employer discretionary contributions upon
your death, disability or attainment of age 65 while employed with OmniAmerican Bank.
</DIV>
<DIV align="left">
<A name="118"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Withdrawals and Distributions from the Plan</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Applicable federal law requires the Plan to impose substantial restrictions on the right of a Plan
participant to withdraw amounts held for his or her benefit under the Plan prior to the
participant&#146;s termination of employment with OmniAmerican Bank. A substantial federal tax penalty
may also be imposed on withdrawals made prior to the participant&#146;s attainment of age 59<FONT style="font-size: 70%"><SUP>1</SUP></FONT>/<FONT style="font-size: 60%">2</FONT>,
regardless of whether such a withdrawal occurs during his or her employment with OmniAmerican Bank
or after termination of employment.</B>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Time of Distribution. </I>You may request a distribution from the Plan if you terminate
employment before your normal retirement age (age 65), or in the event you incur a disability, or
in the event you attain your normal retirement age but do not terminate employment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event you have attained age 59<FONT style="font-size: 70%"><SUP>1</SUP></FONT>/<FONT style="font-size: 60%">2</FONT> and are still employed by OmniAmerican Bank, you may
request a distribution from your elective deferrals and from the portion of your account
attributable to employer discretionary contributions, employer matching contributions and qualified
nonelective contributions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Hardship</I>. In the event you incur a financial hardship, you may request an in-service
withdrawal of the portion of your account attributable to your elective deferrals (but not income
on your elective deferrals), discretionary contributions, matching contributions and qualified
nonelective contributions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Rollover Contributions and Transfer Contributions</I>. You may request a distribution of your
rollover contributions and transfer contributions at any time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Loan</I>. You may request a loan from your account pursuant to the procedures established in the
Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Form of Distribution</I>. Distribution of your benefit under the Plan will be made in a single
lump sum payment. You may elect to have the distribution paid in a direct rollover to an
individual retirement account or another employer plan or paid directly to you.
</DIV>
<DIV align="left">
<A name="119"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Investment of Contributions and Account Balances</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All amounts credited to your accounts under the Plan are held in the Plan trust (the &#147;Trust&#148;),
which is administered by the trustee appointed by OmniAmerican Bank&#146;s Board of Directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior to the effective date of the offering, you were provided the opportunity to direct the
investment of your account into one of the following funds:
</DIV>
<DIV align="left" style="font-size: 10pt; margin-left: 2%; margin-top: 6pt">Aim Capital Development R Fund<BR>
Alliance Bernstein International Value A Fund<BR>
American Century Equity Income A Fund<BR>
American Funds Bond Fund Of America R3 Fund<BR>
American Funds Capital World Growth &#038; Income R3<BR>
American Funds Fundamental Investors R3 Fund<BR>
American Funds Growth Fund of America R3 Fund<BR>
American Funds Income Fund Of America R3 Fund<BR>
Aston/TAMRO Small Cap N Fund<BR>
Fidelity Advisor Leveraged Co Stock T Fund<BR>
Fidelity Advisor Small Cap T Fund<BR>
Franklin Strategic Income R Fund<BR>
Janus Adviser Forty S Fund
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-left: 2%; margin-top: 6pt">Janus Adviser International Growth S Fund<BR>
LargeCap S&#038;P 500 Index Separate Account-R4<BR>
MidCap Value I Separate Account-R4<BR>
Mutual Shares R Fund<BR>
Stable Value Fund<BR>
Principal LifeTime 2010 Separate Account-R4<BR>
Principal LifeTime 2020 Separate Account-R4<BR>
Principal LifeTime 2030 Separate Account-R4<BR>
Principal LifeTime 2030 Separate Account-R4<BR>
Principal LifeTime 2040 Separate Account-R4<BR>
Principal LifeTime 2050 Separate Account-R4<BR>
Principal LifeTime Strategic Income Separate Account-R4<BR>
Real Estate Securities Separate Account-R4<BR>
SmallCap Value II Separate Account-R4
</DIV>

<DIV align="left">
<A name="120"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Performance History</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table provides performance data with respect to the investment funds available
under the Plan through June&nbsp;30, 2009 for average annual total returns and for year-to-date returns
as of June&nbsp;30, 2009:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>YTD</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 0px solid #000000"><B>Average Annual Total Returns as of June 30, 2009</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Returns as</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>10 Year</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">(unless noted</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Fund Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>1 Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>3 Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>5 Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">otherwise)</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">AIM Capital Development R Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.84</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-32.55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-11.32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-1.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.43</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Alliance Bernstein International Value A Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-42.17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-14.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.31</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Century Equity Income A Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-13.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-3.74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.68</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Funds Bond Fund Of America R3 Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.89</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-5.14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.43</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.96</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Funds Capital World Growth &#038; Income R3</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.90</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-26.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-4.15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.08</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Funds Fundamental Investors R3 Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.02</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-29.17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.61</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.85</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Funds Growth Fund of America R3 Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-26.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">American Funds Income Fund Of America R3 Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-19.43</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-5.32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Aston/TAMRO Small Cap N Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-18.18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.70</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.46</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fidelity Advisor Leveraged Co Stock T Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-47.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-10.66</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.15</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fidelity Advisor Small Cap T Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-17.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-2.86</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.86</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Franklin Strategic Income R Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12.46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.74</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Janus Adviser Forty S Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-41.11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-7.02</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Janus Adviser International Growth S Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-43.84</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.33</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.96</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">LargeCap S&#038;P 500 Index Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-26.52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-8.65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-2.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-2.73</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">MidCap Value I Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-30.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-9.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.09</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.50</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Mutual Shares R Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-23.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-9.24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-1.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.55</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stable Value Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.83</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime 2010 Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-21.02</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.75</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime 2020 Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-23.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-6.88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.47</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.92</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime 2030 Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-26.40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-7.66</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.54</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime 2040 Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-28.11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-8.28</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-1.07</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.45</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime 2050 Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.47</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-29.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-8.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-1.19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.90</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom">
    <TD nowrap><DIV style="margin-left:15px; text-indent:-15px">Principal LifeTime Strategic Income Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-14.42</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-4.32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.20</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real Estate Securities Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-12.26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-38.89</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-17.15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.13</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SmallCap Value II Separate Account-R4</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-25.41</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-13.64</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-3.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD nowrap align="right">-2.56</TD>
    <TD nowrap>*</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Since inception.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD colspan="3" align="left">Note: Performance data for periods of less than one year do not reflect the deduction of purchase
and redemption fees. Some funds may have administrative expenses related to the cost of employer
plan recordkeeping, which are not reflected in the figures. If these fees were included, the
performance would be lower. All other performance data are adjusted for purchase and redemption
fees where applicable.</TD>
</TR>

</TABLE>


<DIV align="left">
<A name="121"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Description of the Investment Funds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following is a description of each of the funds:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Aim Capital Development R Fund</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund invests in equity securities of
mid-capitalization companies, which are considered representative of medium-sized companies and
constitute approximately 25% of the total market capitalization of the Russell 1000 index.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Alliance Bernstein International Value A Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund invests primarily in a diversified
portfolio of equity securities of established companies selected from more than 40 industries and
more than 40 developed and emerging market countries. It normally invests in companies in at least
three countries other than the United States. These countries currently include the developed
nations in Europe and the Far East, Canada, Australia and emerging market countries worldwide.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Century Equity Income A Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks current income; capital appreciation is a secondary consideration. The
fund invests in equity securities of companies with a favorable income-paying history and with the
potential for an increase in share price.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Funds Bond Fund Of America R3 Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks to provide as high a level of current income as is consistent with the
preservation of capital. The fund normally invests at least 80% of assets in bonds and other debt
securities. It invests a majority of its assets in debt securities rated A and above, including
securities issued and guaranteed by the U.S. and other governments, and securities backed by
mortgages and other assets. The fund currently does not invest more than 15% of its assets in debt
securities rated Ba and BB or below or in debt securities that are unrated but determined to be of
equivalent quality.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Funds Capital World Growth &#038; Income R3</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term capital growth and current income. The fund invests, on a
global basis, in common stocks that are denominated in U.S. dollars or other currencies. It may
also hold cash or money market instruments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Funds Fundamental Investors R3 Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital and income. The fund invests primarily in
common stocks or securities convertible into common stocks and may invest
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">significantly in securities of issuers domiciled outside the United States and Canada and not
included in the Standard &#038; Poor&#146;s 500 Composite index. It may also hold cash or money market
instruments.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Funds Growth Fund of America R3 Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks capital growth by investing in common stocks. The fund primarily invests
in high potential growth companies. It may also invest up to 15% of assets in securities of
issuers domiciled outside the United States and Canada and not included in Standard &#038; Poor&#146;s 500
Composite index. It may invest up to 10% of assets in lower quality nonconvertible debt
securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>American Funds Income Fund Of America R3 Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks current income; capital appreciation is secondary. The fund allocates
among common and preferred stocks, straight debt securities, convertibles, and cash equivalents.
It normally maintains 60% of assets in equity-type securities. The fund may also invest up to 25%
of assets in equity securities of issuers domiciled outside the United States and not included in
Standard &#038; Poor&#146;s 500 Composite index. In addition, the fund may invest up to 20% of assets in
lower quality, higher yielding nonconvertible debt securities. It may also invest up to 10% of
assets in debt securities of non-U.S. issuers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Aston/TAMRO Small Cap N Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term capital appreciation. The fund normally invests at least 80%
of assets in a blended portfolio of growth and value stocks of small-cap companies. The portfolio
manager seeks opportunities across the growth/value spectrum, resulting in what is generally
considered a &#147;core&#148; portfolio. It may also invest in REITs, foreign securities, convertible bonds,
securities outside the small-cap range and cash-equivalent securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Fidelity Advisor Leveraged Co Stock T Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks capital appreciation. The fund invests at least 80% of assets in stock
issued by both domestic and foreign issuers. It normally invests in common stocks of leveraged
companies (companies that issue lower-quality debt and other companies with leveraged capital
structures). The fund typically invests in either &#147;growth&#148; stocks or &#147;value&#148; stocks or both.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Fidelity Advisor Small Cap T Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund normally invests at least 80% of
assets in equity securities issued by companies with small market capitalizations. These companies
generally have market capitalizations that fall within the range of the Russell 2000 index or the
Standard &#038; Poor&#146;s SmallCap 600 index. It invests primarily in common stocks. The fund may invest
in domestic and foreign issuers, as well as growth stocks, value stocks, or both.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Franklin Strategic Income R Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks high current income; capital appreciation is a secondary consideration.
The fund normally invests at least 65% of assets in U.S. and foreign debt
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">securities, including those in emerging markets. It may invest up to 100% of assets in high-yield,
lower-quality debt securities. The fund may invest in many different securities issued or
guaranteed by the U.S. government or its agencies or instrumentalities. It may invest a portion of
assets in bank loans and loan participations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Janus Adviser Forty S Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund invests primarily in a core group
of 20-40 common stocks selected for their growth potential. It may invest in companies of any
size, from larger, well-established companies to smaller, emerging growth companies. The portfolio
manager applies a &#147;bottom up&#148; approach in choosing investments. The fund may invest without limit
in foreign equity and debt securities, which may include investments in emerging markets. It is
nondiversified.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Janus Adviser International Growth S Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund normally invests at least 80% of
net assets in securities of issuers from countries outside of the United States. It normally
invests in securities of issuers from several different countries, excluding the United States.
Under unusual circumstances, it may invest all assets in a single country. The fund may invest in
foreign equity and debt securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>LargeCap S&#038;P 500 Index Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment option normally invests the majority of assets in common stocks of companies
that compose the S&#038;P 500 Index. Management attempts to mirror the investment performance of the
index by allocating assets in approximately the same weightings as the S&#038;P 500 Index. Over the
long-term, management seeks a very close correlation between the performance of the Separate
Account before expenses and that of the S&#038;P 500 Index.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>MidCap Value I Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long term growth of capital. The fund invests at least 80% of assets in
a diversified portfolio of equity investments in mid-cap issuers with a medium market
capitalization (those with market capitalizations similar to companies in the Russell MidCap Value
index) at the time of purchase. It may invest up to 25% of net assets in securities of foreign
companies, including securities of issuers in emerging countries and securities quoted in foreign
currencies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Mutual Shares R Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks capital appreciation; income is a secondary consideration. The fund
normally invests following a value-oriented strategy in mid- and large-cap companies with market
capitalizations greater than $5&nbsp;billion. It may also invest in smaller companies. The fund may
invest up to 35% of total assets in foreign securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Stable Value Fund</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks current income by investing primarily in insurance contracts issued by
insurance companies, and investments from other financial institutions which offer stability of
principal.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2010 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an assets allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. It allocates the assets more
conservatively over time. The fund may invest in any of the Institutional class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2020 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2030 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2030 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2040 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime 2050 Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors&#146; discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Principal LifeTime Strategic Income Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks current income and, as a secondary objective, capital appreciation. The
fund invests in underlying fixed-income funds, but also invests in underlying equity and hybrid
funds according to an asset allocation strategy designed for investors seeking current income from
their investment. It invests most of the assets in underlying funds which are intended primarily
to give the fund broad exposure to income-producing securities through their investments in
fixed-income securities, &#147;hybrid&#148; securities and dividend generating domestic and foreign stocks.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Real Estate Securities Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks to generate a total return. The fund normally invests at least 80% of
the net assets (plus any borrowings for investment purposes) in equity securities of companies
principally engaged in the real estate industry, which include real estate investment trusts and
companies with substantial real estate holdings such as paper, lumber, hotel and entertainment
companies. It is nondiversified.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>SmallCap Value II Separate Account-R4</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment seeks long-term growth of capital. The fund normally invests at least 80% of
its net assets in equity securities of small market capitalization companies. It may invest up to
25% of assets in foreign securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>An investment in any of the funds listed above is not a deposit of a bank and is not insured
or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. As with
any mutual fund investment, there is always a risk that you may lose money on your investment in
any of the funds listed above.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>OmniAmerican Bancorp Inc. Stock Fund</B>. In connection with the stock offering, the Plan now
offers the OmniAmerican Bancorp, Inc. Stock Fund as an additional choice to the investment options
described above. OmniAmerican Bancorp, Inc. Stock Fund invests in the shares of common stock of
OmniAmerican Bancorp, Inc. In connection with the stock offering, you may, in the manner described
earlier, direct the trustee to invest up to 100% of your plan account in the OmniAmerican Bancorp,
Inc. Stock Fund as a one-time special election. Subsequent to the stock offering, you may elect to
invest all or a portion of your contributions in the OmniAmerican Bancorp, Inc. Stock Fund; you
may also elect to transfer into the OmniAmerican Bancorp, Inc. Stock Fund all or a portion of your
accounts currently invested in other funds under the Plan.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, inc. Stock Fund consists of investments in the shares of common stock of
OmniAmerican Bancorp Inc. After the stock offering, the trustee of the Plan will use all amounts
held by it in the OmniAmerican Bancorp, Inc. Stock Fund to purchase additional shares of common
stock of OmniAmerican Bancorp.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of the date of this prospectus supplement, there is no established market for OmniAmerican
Bancorp, Inc. common stock. Accordingly, there is no record of the historical performance of the
OmniAmerican Bancorp Inc. Stock Fund. Performance of the OmniAmerican Bancorp Inc. Stock Fund
depends on a number of factors, including the financial condition and profitability of OmniAmerican
Bancorp, Inc. and OmniAmerican Bank and market conditions for shares of OmniAmerican Bancorp, Inc.
common stock generally.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investments in the OmniAmerican Bancorp, Inc. Stock Fund involve special risks common to
investments in the shares of common stock of OmniAmerican Bancorp, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>For a discussion of material risks you should consider, see &#147;Risk Factors&#148; section of the
attached prospectus and the Section of the Prospectus Supplement called &#147;Notice of Your Rights
Concerning Employer Securities&#148; (see below).</B>
</DIV>
<DIV align="left">
<A name="122"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Administration of the Plan</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>The Trustee and Custodian</I>. The trustee of the Plan is Principal Trust Company. Principal
Trust Company serves as trustee for all the investments funds under the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Plan Administrator</I>. Pursuant to the terms of the Plan, the Plan is administered by the Plan
administrator. The address of the Plan administrator is OmniAmerican Bank, 1320 South University
Drive, Suite&nbsp;900, Fort Worth, TX 76107. The Plan administrator is responsible for the
administration of the Plan, interpretation of the provisions of the Plan, prescribing procedures
for filing applications for benefits, preparation and distribution of information explaining the
Plan, maintenance of Plan records, books of account and all other data necessary for the proper
administration of the Plan, preparation and filing of all returns and reports relating to the Plan
which are required to be filed with the U.S. Department of Labor and the Internal Revenue Service,
and for all disclosures required to be made to participants, beneficiaries and others under
Sections&nbsp;104 and 105 of ERISA.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Reports to Plan Participants</I>. The Plan administrator will furnish you a statement at least
quarterly showing the balance in your account as of the end of that period, the amount of
contributions allocated to your account for that period, and any adjustments to your account to
reflect earnings or losses (if any).
</DIV>
<DIV align="left">
<A name="123"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Amendment and Termination</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It is the intention of OmniAmerican Bank to continue the Plan indefinitely. Nevertheless,
OmniAmerican Bank may terminate the Plan at any time. If the Plan is terminated in whole or in
part, then regardless of other provisions in the Plan, you will have a fully vested interest in
your accounts. OmniAmerican Bank reserves the right to make any amendment or amendments to the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Plan which do not cause any part of the trust to be used for, or diverted to, any purpose
other than the exclusive benefit of participants or their beneficiaries; provided, however, that
OmniAmerican Bank may make any amendment it determines necessary or desirable, with or without
retroactive effect, to comply with ERISA.
</DIV>

<DIV align="left">
<A name="124"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Merger, Consolidation or Transfer</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of the merger or consolidation of the Plan with another plan, or the transfer of
the trust assets to another plan, the Plan requires that you would, if either the Plan or the other
plan terminates, receive a benefit immediately after the merger, consolidation or transfer which is
equal to or greater than the benefit you would have been entitled to receive immediately before the
merger, consolidation or transfer, if the Plan had then terminated.
</DIV>
<DIV align="left">
<A name="125"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Federal Income Tax Consequences</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following is a brief summary of the material federal income tax aspects of the Plan. You
should not rely on this summary as a complete or definitive description of the material federal
income tax consequences relating to the Plan. Statutory provisions change, as do their
interpretations, and their application may vary in individual circumstances. Finally, the
consequences under applicable state and local income tax laws may not be the same as under the
federal income tax laws. Please consult your tax advisor with respect to any distribution from the
Plan and transactions involving the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a &#147;tax-qualified retirement plan,&#148; the Code affords the Plan special tax treatment,
including:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;the sponsoring employer is allowed an immediate tax deduction for the amount contributed
to the Plan each year;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;participants pay no current income tax on amounts contributed by the employer on their
behalf; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;earnings of the Plan are tax-deferred, thereby permitting the tax-free accumulation of
income and gains on investments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank will administer the Plan to comply with the requirements of the Code as of
the applicable effective date of any change in the law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Lump-Sum Distribution</I>. A distribution from the Plan to a participant or the beneficiary of a
participant will qualify as a lump-sum distribution if it is made within one taxable year, on
account of the participant&#146;s death, disability or severance from employment, or after the
participant attains age 59 <FONT style="font-size: 70%"><SUP>1</SUP></FONT>/<FONT style="font-size: 60%">2</FONT>, and consists of the balance credited to participants under the Plan
and all other profit sharing plans (and in some cases all other stock bonus plans), if any,
maintained by OmniAmerican Bank. The portion of any lump-sum distribution required to be included
in your taxable income for federal income tax purposes consists of the entire amount of the
lump-sum distribution, less the amount of after-tax contributions, if any, you have made to
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">this Plan and any other profit sharing plans maintained by OmniAmerican Bank, which is
included in the distribution.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>OmniAmerican Bancorp, Inc. Common Stock Included in Lump-Sum Distribution</I>. If a lump-sum
distribution includes OmniAmerican Bancorp, Inc. common stock, the distribution generally will be
taxed in the manner described above, except that the total taxable amount may be reduced by the
amount of any net unrealized appreciation with respect to OmniAmerican Bancorp, Inc. common stock,
that is, the excess of the value of OmniAmerican Bancorp, Inc. common stock at the time of the
distribution over its cost or other basis of the securities to the trust. The tax basis of
OmniAmerican Bancorp, Inc. common stock, for purposes of computing gain or loss on its subsequent
sale, equals the value of OmniAmerican Bancorp, Inc. common stock at the time of distribution, less
the amount of net unrealized appreciation. Any gain on a subsequent sale or other taxable
disposition of OmniAmerican Bancorp, Inc. common stock, to the extent of the amount of net
unrealized appreciation at the time of distribution, will constitute long-term capital gain,
regardless of the holding period of OmniAmerican Bancorp, Inc. common stock. Any gain on a
subsequent sale or other taxable disposition of OmniAmerican Bancorp, Inc. common stock, in excess
of the amount of net unrealized appreciation at the time of distribution, will be considered
long-term capital gain. The recipient of a distribution may elect to include the amount of any net
unrealized appreciation in the total taxable amount of the distribution, to the extent allowed by
regulations to be issued by the Internal Revenue Service.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Distributions: Rollovers and Direct Transfers to Another Qualified Plan or to an IRA</I>. You may
roll over virtually all distributions from the Plan to another qualified plan or to an individual
retirement account (IRA)&nbsp;in accordance with the terms of the other plan or account.
</DIV>
<DIV align="left">
<A name="126"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Notice of Your Rights Concerning Employer Securities.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There has been an important change in Federal law that provides specific rights concerning
investments in employer securities, such as OmniAmerican Bancorp, Inc. common stock. Because you
may in the future have investments in OmniAmerican Bancorp, Inc. Stock Fund under the Plan, you
should take the time to read the following information carefully.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Your Rights Concerning Employer Securities</I>. The Plan must allow you to elect to move any
portion of your account that is invested in the OmniAmerican Bancorp, Inc. Stock Fund from that
investment into other investment alternatives under the Plan. You may contact the Plan
Administrator shown above for specific information regarding this new right, including how to make
this election. In deciding whether to exercise this right, you will want to give careful
consideration to the information below that describes the importance of diversification. All of
the investment options under the Plan are available to you if you decide to diversify out of the
OmniAmerican Bancorp, Inc. Stock Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>The Importance of Diversifying Your Retirement Savings</I>. To help achieve long-term retirement
security, you should give careful consideration to the benefits of a well-balanced and diversified
investment portfolio. Spreading your assets among different types of investments can help you
achieve a favorable rate of return, while minimizing your overall risk of losing money. This is
because market or other economic conditions that cause one category of assets, or one
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">particular security, to perform very well often cause another asset category, or another
particular security, to perform poorly. If you invest more than 20% of your retirement savings in
any one company or industry, your savings may not be properly diversified. Although
diversification is not a guarantee against loss, it is an effective strategy to help you manage
investment risk.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In deciding how to invest your retirement savings, you should take into account all of your
assets, including any retirement savings outside of the Plan. No single approach is right for
everyone because, among other factors, individuals have different financial goals, different time
horizons for meeting their goals, and different tolerance for risk. Therefore, you should
carefully consider the rights described here and how these rights affect the amount of money that
you invest in OmniAmerican Bancorp, Inc. common stock through the Plan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It is also important to periodically review your investment portfolio, your investment
objectives, and the investment options under the Plan to help ensure that your retirement savings
will meet your retirement goals.
</DIV>
<DIV align="left">
<A name="127"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Additional ERISA Considerations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As noted above, the Plan is subject to certain provisions of ERISA, including special
provisions relating to control over the Plan&#146;s assets by participants and beneficiaries. The
Plan&#146;s feature that allows you to direct the investment of your account balances is intended to
satisfy the requirements of Section 404(c) of ERISA relating to control over plan assets by a
participant or beneficiary. The effect of this is two-fold. First, you will not be deemed a
&#147;fiduciary&#148; because of your exercise of investment discretion. Second, no person who otherwise is
a fiduciary, such as OmniAmerican Bank, the Plan Administrator, or the Plan&#146;s trustee is liable
under the fiduciary responsibility provision of ERISA for any loss which results from your exercise
of control over the assets in your Plan account.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Because you will be entitled to invest all or a portion of your account balance in the Plan in
OmniAmerican Bancorp, Inc. common stock, the regulations under Section 404(c) of ERISA require that
the Plan establish procedures that ensure the confidentiality of your decision to purchase, hold,
or sell employer securities, except to the extent that disclosure of such information is necessary
to comply with federal or state laws not preempted by ERISA. These regulations also require that
your exercise of voting and similar rights with respect to the common stock be conducted in a way
that ensures the confidentiality of your exercise of these rights.
</DIV>
<DIV align="left">
<A name="128"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Securities and Exchange Commission Reporting and Short-Swing Profit Liability</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section&nbsp;16 of the Securities Exchange Act of 1934, as amended, imposes reporting and liability
requirements on officers, directors, and persons beneficially owning more than 10% of public
companies such as OmniAmerican Bancorp, Inc. Section 16(a) of the Securities Exchange Act of 1934
requires the filing of reports of beneficial ownership. Within 10&nbsp;days of becoming an officer,
director or person beneficially owning more than 10% of the shares of OmniAmerican Bancorp, Inc., a
Form&nbsp;3 reporting initial beneficial ownership must be filed with the Securities and Exchange
Commission. Changes in beneficial ownership, such as purchases,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">sales and gifts generally must be reported periodically, either on a Form&nbsp;4 within two
business days after the change occurs, or annually on a Form&nbsp;5 within 45&nbsp;days after the close of
OmniAmerican Bancorp, Inc.&#146;s fiscal year. Discretionary transactions in and beneficial ownership
of the common stock through the OmniAmerican Bancorp, Inc. Stock Fund of the Plan by officers,
directors and persons beneficially owning more than 10% of the common stock of OmniAmerican
Bancorp, Inc. generally must be reported to the Securities and Exchange Commission by such
individuals.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the reporting requirements described above, Section 16(b) of the Securities
Exchange Act of 1934, as amended, provides for the recovery by OmniAmerican Bancorp, Inc. of
profits realized by an officer, director or any person beneficially owning more than 10% of
OmniAmerican Bancorp, Inc.&#146;s common stock resulting from non-exempt purchases and sales of
OmniAmerican Bancorp, Inc. common stock within any six-month period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Securities and Exchange Commission has adopted rules that provide exemptions from the
profit recovery provisions of Section 16(b) for all transactions in employer securities within an
employee benefit plan, provided certain requirements are met. These requirements generally involve
restrictions upon the timing of elections to acquire or dispose of employer securities for the
accounts of Section 16(b) persons.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except for distributions of common stock due to death, disability, retirement, termination of
employment or under a qualified domestic relations order, persons affected by Section 16(b) are
required to hold shares of common stock distributed from the Plan for six months following such
distribution and are prohibited from directing additional purchases within the OmniAmerican
Bancorp, Inc. Stock Fund for six months after receiving such a distribution.
</DIV>
<DIV align="left">
<A name="129"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Financial Information Regarding Plan Assets</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financial information representing the assets available for plan benefits at April&nbsp;30, 2009,
are available upon written request to the Plan Administrator at the address shown above.
</DIV>
<DIV align="left">
<A name="130"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>LEGAL OPINION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The validity of the issuance of the common stock has been passed upon by Luse Gorman Pomerenk
&#038; Schick, A Professional Corporation, Washington, D.C., which firm acted as special counsel to
OmniAmerican Bancorp, Inc. in connection with OmniAmerican Bancorp, Inc.&#146;s stock offering.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>PROSPECTUS</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OMNIAMERICAN BANCORP, INC.<BR>
(Proposed Holding Company for OmniAmerican Bank)<BR>
Up to 10,350,000 Shares of Common Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc., a Maryland corporation, is offering up to 10,350,000 shares of
common stock on a best efforts basis in connection with the conversion of OmniAmerican Bank, a
federally chartered savings bank, from the mutual to the stock form of organization. We may sell
up to 11,902,500 shares of common stock because of demand for the shares or changes in market
conditions without resoliciting subscribers. We must sell a minimum of 7,650,000 shares in order
to complete the offering. All shares of common stock are being offered for sale at a price of
$10.00 per share. Depending on the number of shares we sell, we expect that our common stock will
be traded on the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol &#147;OABC,&#148;
upon conclusion of the stock offering. There is currently no public market for the shares of our
common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are offering the shares of common stock in a &#147;subscription offering.&#148; Depositors of
OmniAmerican Bank with aggregate account balances of at least $50 as of the close of business on
March&nbsp;31, 2008 will have first priority rights to buy our shares of common stock. Shares of common
stock not purchased in the subscription offering may be offered for sale to the general public in a
&#147;community offering.&#148; We also may offer for sale shares of common stock not purchased in the
subscription offering or community offering through a &#147;syndicated community offering&#148; managed by
Keefe, Bruyette &#038; Woods, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The minimum number of shares of common stock you may order is 25 shares. The maximum number
of shares of common stock that can be ordered through a single qualifying account is 30,000 shares,
and no person by himself or with an associate or group of persons acting in concert may purchase
more than 50,000 shares. The offering is expected to expire at 12:00 noon, local time, on
&#091;expiration date&#093;. We may extend this expiration date without notice to you until &#091;extension
date&#093;, unless the Office of Thrift Supervision approves a later date, which may not be beyond
&#091;final date&#093;. Once submitted, orders are irrevocable unless the offering is terminated or is
extended beyond &#091;extension date&#093;, or the number of shares of common stock to be sold is increased
to more than 11,902,500 shares or decreased to fewer than 7,650,000 shares. If the offering is
extended beyond &#091;extension date&#093;, or if the number of shares of common stock to be sold is
increased to more than 11,902,500 shares or decreased to fewer than 7,650,000 shares, we will
resolicit subscribers, giving them an opportunity to change or cancel their orders. Funds received
during the offering will be held in a segregated account at OmniAmerican Bank, or, in our
discretion, at another insured depository institution, and will earn interest at <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>%,
which is our current passbook savings rate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Keefe, Bruyette &#038; Woods, Inc. will assist us in selling our shares of common stock on a best
efforts basis. Keefe, Bruyette &#038; Woods, Inc. is not required to purchase any shares of the common
stock that are being offered. Purchasers will not pay a commission to purchase shares of common
stock in the offering. Keefe, Bruyette &#038; Woods, Inc. has advised us that following the offering it
intends to make a market in the common stock, but is under no obligation to do so.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>This investment involves a degree of risk, including the possible loss of your investment.<BR>
Please read &#147;Risk Factors&#148; beginning on page 16.</B>
</DIV>



<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>OFFERING SUMMARY<BR>
Price: $10.00 per Share</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Minimum</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Adjusted Maximum</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,650,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,350,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,902,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross offering proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">76,500,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">103,500,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">119,025,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Estimated offering expenses (excluding selling agent fees and expenses)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,556,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,556,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,556,505</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Estimated selling agent fees and expenses<SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">982,8755</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,293,375</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,471,913</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">73,960,620</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">100,650,120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">115,996,582</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Estimated net proceeds per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">9.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">9.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">9.75</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>See &#147;The Conversion; Plan of Distribution&#151;Marketing and Distribution;
Compensation&#148; for a discussion of Keefe, Bruyette &#038; Woods, Inc.&#146;s compensation for this
offering.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>These securities are not deposits or accounts and are not federally insured or guaranteed by
the Federal Deposit Insurance Corporation or any other government agency.</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Neither the Securities and Exchange Commission, the Office of Thrift Supervision, nor any
state securities regulator has approved or disapproved of these securities or determined if this
prospectus is truthful or complete. Any representation to the contrary is a criminal offense.</I></B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>For assistance, please call the Stock Information Center at &#091;stock info #&#093;.</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">K<FONT style="font-variant: SMALL-CAPS">eefe</FONT>, B<FONT style="font-variant: SMALL-CAPS">ruyette</FONT> &#038; W<FONT style="font-variant: SMALL-CAPS">oods</FONT>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">The date of this prospectus is &#091;prospectus date&#093;.

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">&#091;MAP SHOWING MARKET AREA APPEARS ON INSIDE FRONT COVER&#093;
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Page</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#131">SUMMARY</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#132">RISK FACTORS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#133">SELECTED FINANCIAL AND OTHER DATA</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#134">CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#135">HOW WE INTEND TO USE THE PROCEEDS FROM THE OFFERING</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#136">OUR POLICY REGARDING DIVIDENDS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#137">MARKET FOR THE COMMON STOCK</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#138">HISTORICAL AND PRO FORMA REGULATORY CAPITAL COMPLIANCE</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#139">CAPITALIZATION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#140">PRO FORMA DATA</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#141">MANAGEMENT&#146;S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#142">BUSINESS OF OMNIAMERICAN BANCORP, INC.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#143">BUSINESS OF OMNIAMERICAN BANK</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#144">SUPERVISION AND REGULATION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">102</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#145">TAXATION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">113</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#146">MANAGEMENT OF OMNIAMERICAN BANCORP, INC.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">114</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#147">SUBSCRIPTIONS BY DIRECTORS AND EXECUTIVE OFFICERS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">139</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#148">THE CONVERSION; PLAN OF DISTRIBUTION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">140</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#149">RESTRICTIONS ON ACQUISITION OF OMNIAMERICAN BANCORP, INC.</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">161</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#150">DESCRIPTION OF CAPITAL STOCK</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">166</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#151">TRANSFER AGENT</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#152">EXPERTS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#153">LEGAL AND TAX MATTERS</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#154">WHERE YOU CAN FIND ADDITIONAL INFORMATION</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#155">INDEX TO FINANCIAL STATEMENTS OF OMNIAMERICAN BANK</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">F-1</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left">
<!-- /TOC -->
</DIV>




<P align="center" style="font-size: 10pt"><!-- Folio -->i<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<A name="131"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SUMMARY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>The following summary highlights material information in this prospectus. It may not contain
all the information that is important to you. For additional information, you should read this
entire prospectus carefully, including the Financial Statements and the notes to the Financial
Statements.</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In this prospectus, the terms &#147;we, &#147;our,&#148; and &#147;us&#148; refer to OmniAmerican Bancorp, Inc. and
OmniAmerican Bank unless the context indicates another meaning.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank is a federally chartered savings bank headquartered in Fort Worth, Texas.
OmniAmerican Bank was originally chartered in 1956 as a federal credit union serving the active and
retired military personnel of Carswell Air Force Base. On January&nbsp;1, 2006, OmniAmerican Bank
completed its conversion from a credit union to a federal mutual savings bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As
of June&nbsp;30, 2009, OmniAmerican Bank had assets of
$1.0&nbsp;billion, net loans of $725.1&nbsp;million,
deposits of $759.8&nbsp;million and equity capital of $90.3&nbsp;million. We provide financial services to
individuals, families and businesses through our 16 banking offices located in the Dallas-Fort
Worth Metroplex and surrounding communities in North Texas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank&#146;s business consists primarily of accepting deposits from the general public
and investing those deposits, together with funds generated from operations and borrowings, in
mortgage loans secured by residential real estate, consumer loans, consisting primarily of indirect
automobile loans (automobile loan applications referred to us by an automobile dealership), and to
a lesser extent, commercial real estate, real estate construction, commercial business loans and
direct automobile loans (applications taken directly from the automobile purchaser). We also invest
in investment securities, primarily consisting of mortgage-backed securities. OmniAmerican Bank
offers a variety of deposit accounts, including demand accounts, savings accounts, certificates of
deposit and money market accounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We recently started offering wealth management services to individuals in our market area.
Our wealth management group offers a variety of products including deposit products such as money
market and high yield checking accounts, customized lending, and financial planning services. We
also offer brokerage services for the purchase and sale of non-deposit investment and insurance
products through a third party brokerage agreement. We anticipate increasing our assets under
management as part of the growth of our wealth management group, which in turn should contribute to
our net income. At June&nbsp;30, 2009, our wealth management group had $18.7&nbsp;million in loans and $19.5
million in deposits under management.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank&#146;s executive offices are located at 1320 South University Drive, Suite&nbsp;900,
Fort Worth, Texas 76107. Our telephone number at this address is (817)&nbsp;367-4640. Our website
address is <U>www.omniamerican.com.</U> Information on our website is not incorporated into this
prospectus and should not be considered part of this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bancorp, Inc.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc. is a newly formed Maryland corporation that will own all of the
outstanding shares of common stock of OmniAmerican Bank upon completion of the mutual-to-stock
conversion and the offering. OmniAmerican Bancorp, Inc. has not engaged in any business to date.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our executive offices are located at 1320 South University Drive, Suite&nbsp;900, Fort Worth, Texas
76107. Our telephone number at this address is (817)&nbsp;367-4640.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Our Organizational Structure</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank is a mutual savings bank that has no stockholders. Pursuant to the terms of
OmniAmerican Bank&#146;s plan of conversion, OmniAmerican Bank will convert from the mutual to the stock
form of ownership. As part of the conversion, we are offering for sale in a subscription offering,
and, if necessary, a community offering and a syndicated community offering, shares of common stock
of OmniAmerican Bancorp, Inc. Upon the completion of the conversion and offering, OmniAmerican
Bank will be a wholly owned subsidiary of OmniAmerican Bancorp, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Business Strategy</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our business strategy is to grow and improve our profitability by:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>diversifying our loan portfolio by emphasizing the origination of one- to
four-family residential mortgage loans, commercial real estate loans and commercial
business loans;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>continuing conservative underwriting guidelines and aggressive monitoring of our
loan portfolio in order to maintain asset quality;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>emphasizing lower cost core deposits to reduce the funding costs of our loan growth;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>managing interest rate risk;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>increasing our sources of noninterest income; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>implementing a controlled growth strategy.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our strategy is designed to expand our banking relationships with customers and to diversify
our revenue stream. We have begun offering wealth management services to individuals in our market
area. A full description of our products and services begins on page 69 of this prospectus under
the heading &#147;Business of OmniAmerican Bank.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These strategies are intended to guide our investment of the net proceeds of the offering. We
intend to continue to pursue our business strategy after the conversion and the offering, subject
to changes necessitated by future market conditions and other factors. See &#147;Management&#146;s
Discussion and Analysis of Financial Condition and Results of Operations&#151;Business Strategy&#148; for a
further discussion of our business strategy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Reasons for the Conversion</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary reasons for converting and raising additional capital through the offering are:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to increase our capital levels to support future growth;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to have greater flexibility to structure and finance the expansion of our
operations, including potential acquisitions of other financial institutions, although
we have no current arrangements or agreements with respect to any such acquisitions;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to have a broader platform through the holding company structure to offer products
and services that will expand our banking relationships with our customers;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to provide better capital management tools, including the ability to pay dividends
and to repurchase shares of our common stock, subject to market conditions; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to attract and retain qualified personnel by establishing stock-based benefit plans
for management and employees.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We believe that the additional capital raised in the offering may enable us to take advantage
of business opportunities that may not otherwise be available to us. As of June&nbsp;30, 2009,
OmniAmerican Bank was considered &#147;well capitalized&#148; for regulatory purposes and is not subject to a
directive or a recommendation from the Office of Thrift Supervision to raise capital.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Terms of the Conversion and the Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under OmniAmerican Bank&#146;s plan of conversion, our organization will convert to stock form and
OmniAmerican Bank will become a subsidiary of OmniAmerican Bancorp, Inc. In connection with the
conversion, we are offering between 7,650,000 and 10,350,000 shares of common stock to eligible
depositors of OmniAmerican Bank, to our employee benefit plans and, to the extent shares remain
available, to the general public. The number of shares of common stock to be sold may be increased
to up to 11,902,500 as a result of demand for the shares or changes in the market for financial
institution stocks. Unless the number of shares of common stock to be offered is increased to more
than 11,902,500 or decreased to less than 7,650,000, or the offering is extended beyond &#091;extension
date&#093;, subscribers will not have the opportunity to change or cancel their stock orders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The purchase price of each share of common stock to be issued in the offering is $10.00. All
investors will pay the same purchase price per share. Investors will not be charged a commission
to purchase shares of common stock in the offering. Keefe, Bruyette &#038; Woods, Inc., our marketing
advisor in the offering, will use its best efforts to assist us in selling shares of our common
stock. Keefe, Bruyette &#038; Woods, Inc. is not obligated to purchase any shares of common stock in
the offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Persons Who May Order Shares of Common Stock in the Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are offering the shares of common stock in a &#147;subscription offering&#148; in the following
descending order of priority:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>First, to depositors of OmniAmerican Bank with aggregate account balances of at
least $50 as of the close of business on March&nbsp;31, 2008.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Second, to OmniAmerican Bank&#146;s tax-qualified employee benefit plans.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Third, to depositors of OmniAmerican Bank with aggregate account balances of at
least $50 as of the close of business on &#091;supplemental date&#093;.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Fourth, to depositors of OmniAmerican Bank as of &#091;other member date&#093;.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Shares of common stock not purchased in the subscription offering may be offered for sale to
the general public in a &#147;community offering,&#148; with a preference given to natural persons residing
in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman, Johnson,
Rockwall, Parker,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Tarrant and Wise. The community offering may begin concurrently with, during or promptly
after the subscription offering as we may determine at any time. If shares remain available for
sale following the subscription offering or community offering, we also may offer for sale shares
of common stock through a &#147;syndicated community offering&#148; managed by Keefe, Bruyette &#038; Woods, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have the right to accept or reject, in our sole discretion, orders received in the
community offering or syndicated community offering. We have not established any set criteria for
determining whether to accept or reject a purchase order in the community offering or the
syndicated community offering and, accordingly, any determination to accept or reject purchase
orders in the community offering and the syndicated community offering will be based on the facts
and circumstances known to us at the time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To ensure a proper allocation of stock, each subscriber eligible to purchase stock in the
subscription offering must list on his or her stock order and certification form all deposit
accounts in which he or she had an ownership interest at March&nbsp;31, 2008, &#091;supplemental date&#093; or
&#091;other member date&#093;, as applicable. Failure to list all accounts, or providing incorrect
information, could result in the loss of all or part of a subscriber&#146;s stock allocation. Our
interpretation of the terms and conditions of the plan of conversion and of the acceptability of
the order forms will be final.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we receive orders for more shares than we are offering, we may not be able to fully or
partially fill your order. Shares will be allocated first in the order of priority to subscribers
in the subscription offering. A detailed description of share allocation procedures can be found
in the section entitled &#147;The Conversion; Plan of Distribution.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How We Determined the Offering Range</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The amount of common stock that we are offering is based on an independent appraisal of the
estimated market value of OmniAmerican Bancorp, Inc., assuming the conversion and the offering are
completed. RP Financial, LC., our independent appraiser, has estimated that, as of August&nbsp;28,
2009, this market value ranged from $76.5&nbsp;million to $103.5&nbsp;million, with a midpoint of $90.0
million. Based on this valuation and a $10.00 per share price, the number of shares of common
stock being offered for sale by us will range from 7,650,000 shares to 10,350,000 shares. We may
sell up to 11,902,500 shares of common stock because of demand for the shares or changes in market
conditions without resoliciting subscribers. The $10.00 per share price was selected primarily
because it is the price most commonly used in mutual-to-stock conversions of financial
institutions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The appraisal is based in part on our financial condition and results of operations, the
effect of the additional capital raised by the sale of shares of common stock in the offering and
an analysis of a peer group of ten publicly traded savings bank and thrift holding companies that
RP Financial, LC. considered comparable to us.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The peer group consists of 10 thrift holding companies with assets between $531&nbsp;million and
$1.2&nbsp;billion.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Company Name and Ticker Symbol</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Exchange</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Headquarters</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Total Assets</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3">(in millions)</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">BCSB Bancorp, Inc. (BCSB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Baltimore, MD</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">587</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Beacon Federal Bancorp, Inc. (BFED)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left" nowrap>East Syracuse, NY</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,046</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Citizens Community Bancorp, Inc.<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>(CZWI)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Eau Claire, WI</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">547</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Citizens South Banking Corporation (CSBC)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Gastonia, NC</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">836</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Community Financial Corp. (CFFC)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Staunton, VA</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">531</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">ESSA Bancorp, Inc. (ESSA)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Stroudsburg, PA</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,053</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">HF Financial Corp.<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>(HFFC)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Sioux Falls, SD</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,172</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">HopFed Bancorp, Inc. (HFBC)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Hopkinsville, KY</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1,002</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jefferson Bancshares, Inc.<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>(JFBI)<SUP style="font-size: 85%; vertical-align: text-top"> </SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Morristown, TN</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">663</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Teche Holding Company (TSH)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center">NYSE AMEX</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left">Franklin, LA</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">790</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Assets are as of June&nbsp;30, 2009.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Assets are as of March&nbsp;31, 2009.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following are average financial ratios for the peer group companies:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>average assets of $823&nbsp;million;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>average non-performing assets of 1.2% of total assets;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>average loans of 74.8% of total assets;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>average equity of 10.5% of total assets; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>average net income of 0.12% of average assets.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents a summary of selected pricing ratios for OmniAmerican Bancorp,
Inc. and the peer group companies identified by RP Financial, LC. Ratios are based on earnings for
the twelve months ended June&nbsp;30, 2009 and book value as of June&nbsp;30, 2009, except as noted in the
table above where company information is as of March&nbsp;31, 2009, the most recent information
available. Tangible book value is total equity, less intangible assets. Compared to the median
pricing of the peer group, our pro forma pricing ratios at the maximum of the offering range
indicated a premium of 5,888.31% on a price-to- earnings basis, a premium of 1.5% on a
price-to-book value basis and a discount of 20.1% on a price-to-tangible book value basis. The
pricing ratios result from our generally having higher levels of equity but lower core earnings
than the companies in the peer group on a pro forma basis. The pricing ratios also reflect recent
volatile market conditions, particularly for stock of financial institution holding companies, and
the effect of such conditions on the trading market for recent mutual-to-stock conversions. Our
board of directors, in reviewing and approving the valuation, considered the range of price-to-core
earnings multiples and the range of price-to-book value ratios and price-to-tangible book value
ratios at the different amounts of shares to be sold in the offering. The appraisal did not
consider one valuation approach to be more important than the other.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Price-to- earnings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Price-to-book</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Price-to-tangible</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>multiple</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>value ratio</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>book value ratio</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>OmniAmerican Bancorp,
Inc. (pro
forma)</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Maximum, as adjusted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,471.36x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">62.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">62.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Maximum</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">804.23x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">58.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">58.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Minimum</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">238.67x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">49.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">49.33</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Valuation of peer group
companies using stock
prices as of August&nbsp;28,
2009</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Averages</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17.70x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">66.09</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">74.69</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Medians</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.43x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">57.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">72.55</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Based on earnings for the twelve months ended June&nbsp;30, 2009 and book value as of June&nbsp;30,
2009.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RP Financial, LC. advised the board of directors that the appraisal was prepared in
conformance with the regulatory appraisal methodology. That methodology requires a valuation based
on an analysis of the trading prices of comparable public companies whose stocks have traded for at
least one year prior to the valuation date, and as a result of this analysis, RP Financial, LC.
determined that our pro forma price-to-core earnings ratios were higher than the peer group
companies and our pro forma price-to-book and price-to-tangible book ratios were lower than the
peer group companies. See &#147;&#151;How We Determined the Offering Range.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our board of directors carefully reviewed the information provided to it by RP Financial, LC.
through the appraisal process, but did not make any determination regarding whether prior standard
mutual-to-stock conversions have been undervalued, nor did the board draw any conclusions regarding
how the historical data reflected above may affect OmniAmerican Bancorp, Inc.&#146;s appraisal.
Instead, we engaged RP Financial, LC. to help us understand the regulatory process as it applies to
the appraisal and to advise the board of directors as to how much capital OmniAmerican Bancorp,
Inc. would be required to raise under the regulatory appraisal guidelines.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>The independent appraisal does not indicate per share market value. Do not assume or expect
that the valuation of OmniAmerican Bancorp, Inc. as indicated above means that, after the
conversion and the offering, the shares of common stock will trade at or above the $10.00 offering
price. Furthermore, the pricing ratios presented above were utilized by RP Financial, LC. to
estimate our market value and not to compare the relative value of shares of our common stock with
the value of the capital stock of the peer group. The value of the capital stock of a particular
company may be affected by a number of factors such as financial performance, asset size and market
location.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The independent appraisal will be updated prior to the completion of the conversion. If the
appraised value decreases below $76.5&nbsp;million or increases above $119.0&nbsp;million, subscribers may be
resolicited with the approval of the Office of Thrift Supervision and be given the opportunity to
change or cancel their orders. If you do not respond, we will cancel your stock order and return
your subscription funds, with interest, and cancel any authorization to withdraw funds from your
deposit accounts for the purchase of shares of common stock. For a more complete discussion of the
amount of common stock we are offering for sale and the independent appraisal, see &#147;The Conversion;
Plan of Distribution&#151;Determination of Share Price and Number of Shares to be Issued.&#148;
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>After-Market Stock Price Performance Provided by Independent Appraiser</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents stock price appreciation information for all standard
mutual-to-stock conversions completed between January&nbsp;1, 2008 and August&nbsp;28, 2009. These companies
did not constitute the group of ten comparable public companies utilized in RP Financial, LC.&#146;s
valuation analysis.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Mutual-to-Stock Conversion Offerings with Closing Dates<BR>
between January&nbsp;1, 2008 and August&nbsp;28, 2009</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15"><B>Percentage Price Appreciation (Depreciation)</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>From Initial Trading Date</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Company Name and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Conversion</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Through August</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Ticker Symbol</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Date</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Exchange</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>One Day</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>One Week</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>One Month</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>28, 2009</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Territorial Bancorp, Inc. (TBNK)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7/13/09</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">49.9</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">47.5</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">48.7</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">60.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">St. Joseph Bancorp, Inc. (SJBA)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2/2/2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">OTCBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hibernia Homestead Bancorp, Inc. (HIBE)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/28/2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">OTCBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40.0</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">First Savings Financial Group, Inc.
(FSFG)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10/7/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1.0</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(0.1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7.8</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.0</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Home Bancorp, Inc. (HBCP)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10/3/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14.9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20.1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cape Bancorp, Inc. (CBNJ)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2/1/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1.0</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2.0</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(17.2</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Danvers Bancorp, Inc. (DNBK)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/10/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">NASDAQ</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2.6</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3.1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.6</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29.4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Average</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20.0</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Median</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.60</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20.1</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock price appreciation is affected by many factors, including, but not limited to: general
market and economic conditions; the interest rate environment; the amount of proceeds a company
raises in its offering; and numerous factors relating to the specific company, including the
experience and ability of management, historical and anticipated operating results, the nature and
quality of the company&#146;s assets, and the company&#146;s market area. The companies listed in the table
above may not be similar to OmniAmerican Bancorp, Inc., the pricing ratios for their stock
offerings were in some cases different from the pricing ratios for OmniAmerican Bancorp, Inc.&#146;s
common stock and the market conditions in which these offerings were completed were, in some cases,
different from current market conditions. Any or all of these differences may cause our stock to
perform differently from these other offerings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>There can be no assurance that our stock price will not trade below $10.00 per share, as has
been the case for many mutual-to-stock conversions. Before you make an investment decision, we
urge you to carefully read this prospectus, including, but not limited to, the section entitled
&#147;Risk Factors&#148; beginning on page 16.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Limits on How Much Common Stock You May Purchase</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The minimum number of shares of common stock that may be purchased is 25. Generally, no
individual, or individuals exercising subscription rights through a single qualifying account held
jointly, may purchase more than 30,000 shares ($300,000) of common stock. If any of the following
persons purchases shares of common stock, their purchases, in all categories of the offering, when
combined with your purchases, cannot exceed 50,000 shares ($500,000):
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>your spouse or relatives of you or your spouse living in your house;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>most companies, trusts or other entities in which you are a trustee, have a
substantial beneficial interest or hold a senior management position; or</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>other persons who may be your associates or persons acting in concert with you.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See the detailed descriptions of &#147;acting in concert&#148; and &#147;associate&#148; in &#147;The Conversion; Plan
of Distribution&#151;Limitations on Common Stock Purchases.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How You May Purchase Shares of Common Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the subscription offering and community offering, you may pay for your shares only by:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>personal check, bank check or money order, made payable to OmniAmerican Bancorp,
Inc.; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>authorizing us to withdraw funds from the types of OmniAmerican Bank deposit
accounts permitted on the stock order and certification form.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank is not permitted to knowingly lend funds to anyone for the purpose of
purchasing shares of common stock in the offering. Additionally, you may not use a check drawn on
an OmniAmerican Bank line of credit or a third-party check to pay for shares of common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You can subscribe for shares of common stock in the offering by delivering a signed and
completed original stock order and certification form, together with full payment or authorization
to withdraw from one or more of your OmniAmerican Bank deposit accounts, so that it is received
(not postmarked) before 12:00 noon, local time, on &#091;expiration date&#093;, which is the expiration of
the offering period. For orders paid for by check or money order, the funds will be cashed
promptly and held in a segregated account at OmniAmerican Bank, or in our discretion at another
insured depository institution. We will pay interest on those funds calculated at OmniAmerican
Bank&#146;s current passbook savings rate from the date funds are received until completion or
termination of the conversion and the offering. Withdrawals from certificates of deposit to
purchase shares of common stock in the offering may be made without incurring an early withdrawal
penalty; however, if a withdrawal results in a certificate account with a balance less than the
applicable minimum balance requirement, the certificate will be canceled at the time of withdrawal
without penalty and the remaining balance will be transferred to a savings account and earn
interest at our passbook savings rate subsequent to the withdrawal. All funds authorized for
withdrawal from deposit accounts with OmniAmerican Bank must be in the accounts at the time the
stock order is received. However, funds will not be withdrawn from the accounts until the
completion of the conversion and offering and will earn interest at the applicable deposit account
rate until that time. A hold will be placed on those funds when your stock order is received,
making the designated funds unavailable to you. After we receive your order, your order cannot be
changed or canceled unless the number of shares of common stock to be offered is increased to more
than 11,902,500 shares or decreased to fewer than 7,650,000 shares, or the offering is extended
beyond &#091;extension date&#093;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By signing the stock order and certification form, you are acknowledging receipt of a
prospectus and that the shares of common stock are not deposits or savings accounts that are
federally insured or otherwise guaranteed by OmniAmerican Bank, the Federal Deposit Insurance
Corporation or any other government agency.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may be able to subscribe for shares of common stock using funds in your individual
retirement account, or IRA. However, shares of common stock must be purchased through and held in
a self-directed retirement account, such as those offered by a brokerage firm. By regulation,
OmniAmerican Bank&#146;s individual retirement accounts are not self-directed, so they cannot be used to
purchase or hold shares of our common stock. If you wish to use some or all of the funds in your
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">OmniAmerican Bank individual retirement account to purchase our common stock, the applicable
funds must be transferred to a self-directed account maintained by an independent trustee, such as
a brokerage firm, and the purchase must be made through that account. If you do not have such an
account, you will need to establish one before placing your stock order. It will take time to
transfer your OmniAmerican Bank individual retirement account to an independent trustee, so please
allow yourself sufficient time to take this action. An annual administrative fee may be payable to
the independent trustee. Because individual circumstances differ and processing of retirement fund
orders takes additional time, we recommend that you contact our Stock Information Center promptly,
preferably at least two weeks before the &#091;expiration date&#093; expiration of the offering period, for
assistance with purchases using your OmniAmerican Bank individual retirement account or any other
retirement account that you may have. Whether you may use such funds for the purchase of shares in
the stock offering may depend on time constraints and, possibly, limitations imposed by the
brokerage firm or institution where the funds are held.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Delivery of Stock Certificates</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certificates representing shares of common stock sold in the offering will be mailed to the
persons entitled thereto at the certificate registration address noted by them on the order form,
as soon as practicable following consummation of the offering and receipt of all necessary
regulatory approvals. <B>It is possible that, until certificates for the common stock are delivered,
purchasers might not be able to sell the shares of common stock that they ordered, even though the
common stock will have begun trading.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How We Intend to Use the Proceeds From the Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Assuming we sell 11,902,500 shares of common stock in the stock offering, and we have net
proceeds of $116.0&nbsp;million, we intend to distribute the net proceeds as follows:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>$58.0&nbsp;million (50.0% of the net proceeds) will be invested in OmniAmerican Bank;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>$9.5&nbsp;million (8.2% of the net proceeds) will be loaned to our employee stock
ownership plan to fund its purchase of our shares of common stock; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>$48.5&nbsp;million (41.8% of the net proceeds) will be retained by us.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may use the remaining funds we receive for investments, to pay cash dividends, to
repurchase shares of common stock and for other general corporate purposes. OmniAmerican Bank may
use the proceeds it receives to support increased lending and other products and services, and to
repay short-term borrowings. The net proceeds retained by OmniAmerican Bancorp, Inc. and
OmniAmerican Bank also may be used for future business expansion through acquisitions of banks,
thrifts and other financial services companies, and opening or acquiring branch offices. We have
no current arrangements or agreements with respect to any such acquisitions. Initially, a
substantial portion of the net proceeds will be invested in short-term investments and
mortgage-backed securities consistent with our investment policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please see the section of this prospectus entitled &#147;How We Intend to Use the Proceeds From the
Offering&#148; for more information on the proposed use of the proceeds from the offering.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>You May Not Sell or Transfer Your Subscription Rights</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office of Thrift Supervision regulations prohibit you from transferring your subscription
rights. If you order shares of common stock in the subscription offering, you will be required to
state that you are purchasing the shares of common stock for yourself and that you have no
agreement or understanding to sell or transfer your subscription rights. <B>We intend to take legal
action, including reporting persons to federal or state regulatory agencies, against anyone who we
believe has sold or given away his or her subscription rights. We will not accept your order if we
have reason to believe that you have sold or transferred your subscription rights. </B>When completing
your stock order and certification form, you should not add the name(s) of persons who do not have
subscription rights or who qualify in a lower subscription priority than you do. In addition, the
stock order and certification form requires that you list all deposit or loan accounts, giving all
names on each account and the account number at the applicable eligibility record date. Your
failure to provide this information, or providing incomplete or incorrect information, may result
in a loss of part or all of your share allocation, if there is an oversubscription.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Deadline for Orders of Common Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you wish to purchase shares of common stock in the offering, we must receive a properly
completed original stock order and certification form, together with full payment for the shares of
common stock, at the Stock Information Center or any of our branch offices no later than 12:00
noon, local time, on &#091;expiration date&#093;. A postmark prior to &#091;expiration date&#093; will not entitle you
to purchase shares of common stock unless we receive the envelope by 12:00 noon, local time on
&#091;expiration date&#093;. You may submit your stock order and certification form by mail using the order
reply envelope provided, by overnight courier to the indicated address on the order form, or by
hand delivery to our Stock Information Center, located at 1320 South University Drive, Suite&nbsp;900,
Fort Worth, Texas 76107, or to any of our branch offices. Once we receive it, your order is
irrevocable unless the offering is terminated or extended beyond &#091;extension date&#093; or the number of
shares of common stock to be sold is decreased to less than 7,650,000 shares or increased to more
than 11,902,500 shares. If the offering is extended beyond &#091;extension date&#093;, or if the number of
shares of common stock to be sold is decreased to less than 7,650,000 shares or is increased to
more than 11,902,500 shares, we will, with the approval of the Office of Thrift Supervision,
resolicit subscribers, giving them the opportunity to confirm, cancel or change their stock orders
during a specified resolicitation period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although we will make reasonable attempts to provide a prospectus and offering materials to
holders of subscription rights, the subscription offering and all subscription rights will expire
at 12:00 noon, local time, on &#091;expiration date&#093;, whether or not we have been able to locate each
person entitled to subscription rights.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Steps We May Take If We Do Not Receive Orders for the Minimum Number of Shares</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we do not receive orders for at least 7,650,000 shares of common stock, we may take steps
to issue the minimum number of shares of common stock in the offering range. Specifically, we may:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>increase the purchase limitations; and/or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>seek the approval of the Office of Thrift Supervision to extend the offering beyond
&#091;extension date&#093;, so long as we resolicit subscriptions that we have previously
received in the offering.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If a purchase limitation is increased, subscribers in the subscription offering who ordered
the maximum amount will be, and, in our sole discretion, some other large subscribers may be, given
the opportunity to increase their subscriptions up to the then-applicable limit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Possible Change in the Offering Range</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RP Financial, LC. will update its appraisal before we complete the offering. If, as a result
of demand for the shares, or changes in market conditions, RP Financial, LC. determines that our
pro forma market value has increased, we may sell up to 11,902,500 shares in the offering without
further notice to you. If our pro forma market value at that time is either below $76.5&nbsp;million or
above $119.0&nbsp;million, then, after consulting with the Office of Thrift Supervision, we may:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>terminate the stock offering and promptly return all funds;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>set a new offering range and give all subscribers the opportunity to confirm, modify
or rescind their purchase orders for shares of OmniAmerican Bancorp, Inc.&#146;s common
stock; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>take such other actions as may be permitted by the Office of Thrift Supervision and
the Securities and Exchange Commission.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Possible Termination of the Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may terminate the offering at any time prior to the special meeting of members of
OmniAmerican Bank that is being called to vote upon the conversion, and at any time after member
approval with the approval of the Office of Thrift Supervision.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We must sell a minimum of 7,650,000 shares to complete the offering. If we terminate the
offering because we fail to sell the minimum number of shares or for any other reason, we will
promptly return your funds with interest at our passbook savings rate and we will cancel deposit
account withdrawal authorizations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Purchases by Officers and Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We expect our directors and executive officers, together with their associates, to subscribe
for 175,000 shares of common stock in the offering, or 2.3% of the shares to be sold at the minimum
of the offering range. However, there can be no assurance that any individual director or
executive officer, or the directors and executive officers as a group, will purchase any specific
number of shares of our common stock. The purchase price paid by our directors and executive
officers for their subscribed shares will be the same $10.00 per share price paid by all other
persons who purchase shares of common stock in the offering. Purchases by directors, executive
officers and their associates will be included in determining whether the required minimum number
of shares has been subscribed for in the offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Benefits to Management and Potential Dilution to Stockholders Following the Conversion</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We expect our tax-qualified employee stock ownership plan to purchase 8% of the total number
of shares of common stock that we sell in the offering, or 828,000 shares of common stock, assuming
we sell the maximum of the shares proposed to be sold. If we receive orders for more shares of
common stock than the maximum of the offering range, the employee stock ownership plan will have
first priority to purchase shares over this maximum, up to a total of 8% of the total number of
shares of common stock
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">sold in the offering. This plan is a tax-qualified retirement plan for the benefit of all our
employees. Purchases by the employee stock ownership plan will be included in determining whether
the required minimum number of shares has been sold in the offering. Assuming the employee stock
ownership plan purchases 828,000 shares in the offering, we will recognize additional pre-tax
compensation expense of $8.3&nbsp;million over a 25-year period, assuming the shares of common stock
have a fair market value of $10.00 per share for the full 25-year period. If, in the future, the
shares of common stock have a fair market value greater or less than $10.00, the compensation
expense will increase or decrease accordingly.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also intend to implement one or more stock-based benefit plans no earlier than six months
after completion of the conversion. Stockholder approval of these plans will be required, and the
stock-based benefit plans cannot be implemented until at least six months after the completion of
the conversion pursuant to applicable Office of Thrift Supervision regulations. If adopted within
12&nbsp;months following the completion of the conversion, the stock-based benefit plan will reserve a
number of shares of common stock equal to not more than 4% of the shares sold in the offering, or
up to 414,000 shares of common stock at the maximum of the offering range, for restricted stock
awards to key employees and directors, at no cost to the recipients. If adopted within 12&nbsp;months
following the completion of the conversion, the stock-based benefit plan will also reserve a number
of stock options equal to not more than 10% of the shares of common stock sold in the offering, or
up to 1,035,000 shares of common stock at the maximum of the offering range, for key employees and
directors. If the stock-based benefit plans are adopted after one year from the date of the
completion of the conversion, the 4% and 10% limitations described above will no longer apply, and
we may adopt stock-based benefit plans encompassing more than 1,449,000 shares of our common stock.
We have not yet determined whether we will present these plans for stockholder approval within 12
months following the completion of the conversion or whether we will present these plans for
stockholder approval more than 12&nbsp;months after the completion of the conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If 4% of the shares of common stock sold in the offering are awarded under a stock-based
benefit plan and come from authorized but unissued shares of common stock, stockholders&#146; ownership
interest in OmniAmerican Bancorp, Inc. would be diluted by approximately 3.8%. If 10% of the
shares of common stock sold in the offering are issued upon the exercise of options granted under a
stock-based benefit plan and come from authorized but unissued shares of common stock,
stockholders&#146; ownership interest in OmniAmerican Bancorp, Inc. would be diluted by approximately
9.1% .
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to enter into a new employment agreement with Tim Carter, our President and Chief
Executive Officer and change in control agreements with Deborah B. Wilkinson, our Senior Executive
Vice President and Chief Financial Officer, Terry Almon, our Senior Executive Vice President and
Chief Operating Officer and Anne Holland, our Senior Executive Vice President and Chief Lending
Officer. See &#147;Management of OmniAmerican Bancorp, Inc.&#151;Executive Officer Compensation&#148; for a
further discussion of these agreements, including their terms and potential costs, as well as a
description of other benefits arrangements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table summarizes the number of shares of common stock and aggregate dollar value
of grants (valuing each share granted at the offering price of $10.00) that are available under one
or more stock-based benefit plans if such plans are adopted within one year following the
completion of the conversion and the offering. The table shows the dilution to stockholders if all
these shares are issued from authorized but unissued shares, instead of shares purchased in the
open market. The table also sets forth the number of shares of common stock to be acquired by the
employee stock ownership plan for allocation to all employees. A portion of the stock grants shown
in the table below may be made to non-management employees.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Dilution</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>Number of Shares to be Granted or Purchased</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Resulting</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Value of Grants (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>As a</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>From</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percentage</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Issuance of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Minimum</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Minimum</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Common</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Shares for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Offering</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Offering</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Stock to be</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Stock Benefit</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Offering</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Offering</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Range</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Range</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Issued (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Plans</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Range</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Range</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Employee stock ownership plan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">612,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">828,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,280</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock awards</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">306,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">414,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,060</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,140</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">765,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,035,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">9.1</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,810</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,154</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,683,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,277,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">22.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.3</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">12,990</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">17,574</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>The actual value of restricted stock grants will be determined based on their fair value as
of the date grants are made. For purposes of this table, fair value is assumed to be the same
as the offering price of $10.00 per share. The fair value of stock options has been estimated
at $4.98 per option using the Black-Scholes option pricing model with the following
assumptions: a grant-date share price and option exercise price of $10.00; dividend yield of
0%; an expected option life of ten years; a risk-free interest rate of 3.53%; and a volatility
rate of 32.17% based on an index of publicly traded thrift institutions. The actual expense
of stock options granted under a stock-based benefit plan will be determined by the grant-date
fair value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted, which may or may not be the
Black-Scholes model.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>The stock-based benefit plans may award a greater number of options and shares, respectively,
if the plans are adopted more than 12&nbsp;months after the completion of the conversion.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The actual value of restricted stock grants will be determined based on their fair value (the
closing market price of shares of common stock of OmniAmerican Bancorp, Inc.) as of the date grants
are made. The following table presents the total value of all shares to be available for awards of
restricted stock under the stock-based benefit plan, assuming the shares for the plan are purchased
or issued in a range of market prices from $8.00 per share to $16.00 per share at the time of the
grant.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>476,100 Shares</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>306,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>360,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>414,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awarded at Maximum</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awarded at Minimum</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awarded at Midpoint of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Awarded at Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Offering Range, As</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Share Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>of Offering Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Offering Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>of Offering Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Adjusted</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="19"><B>(In thousands, except share price information)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="right">$</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,448</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,880</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,312</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,809</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,060</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,761</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD>&nbsp;</TD>
    <TD align="right">12.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,672</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,968</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,713</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD align="right">14.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,284</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,040</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,796</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,665</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD>&nbsp;</TD>
    <TD align="right">16.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,896</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,760</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,624</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,618</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The grant-date fair value of the stock options granted under the stock-based benefit plans
will be based, in part, on the closing price of shares of common stock of OmniAmerican Bancorp,
Inc. on the date the options are granted. The fair value will also depend on the various
assumptions utilized in the option-pricing model ultimately adopted. The following table presents
the total estimated value of the stock options to be available for grant under the stock-based
benefit plans, assuming the range of market prices for the shares are $8.00 per share to $16.00 per
share at the time of the grant.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>1,035,000 Options</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>1,190,250 Options</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Grant-Date Fair</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>765,000 Options at</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>900,000 Options at</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>at Maximum of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>at Maximum of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Exercise Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Value Per Option</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Minimum of Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Midpoint of Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Range, As Adjusted</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="23"><B>(In thousands, except share price information)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="right">$</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,045</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,582</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">4,119</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">4,737</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,810</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,482</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,154</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,927</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD>&nbsp;</TD>
    <TD align="right">12.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,567</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,373</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,179</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,106</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD>&nbsp;</TD>
    <TD align="right">14.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,332</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,273</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,296</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD>&nbsp;</TD>
    <TD align="right">16.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.96</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,089</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,164</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,239</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,474</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>The tables presented above are provided for informational purposes only. There can be no
assurance that our stock price will not trade below $10.00 per share. Before you make an
investment decision, we urge you to carefully read this prospectus, including, but not limited to,
the section entitled &#147;Risk Factors&#148; beginning on page 16.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Market for Common Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depending on the number of shares we sell, we expect that our common stock will be listed on
the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol &#147;OABC.&#148; Keefe,
Bruyette &#038; Woods, Inc. currently intends to make a market in the shares of our common stock, but is
under no obligation to do so. See &#147;Market for the Common Stock.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Our Policy Regarding Dividends</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following completion of the stock offering, our board of directors will have the authority to
declare dividends on our common stock, subject to statutory and regulatory requirements. However,
no decision has been made with respect to the amount, if any, and timing of any dividend payments.
The payment and amount of any dividend payments will depend upon a number of factors, including the
following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>regulatory capital requirements;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our financial condition and results of operations;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>tax considerations;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>statutory and regulatory limitations; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>general economic conditions and forecasts.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Tax Consequences</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a general matter, the conversion will not be a taxable transaction for federal or state
income tax purposes to OmniAmerican Bank, OmniAmerican Bancorp, Inc., or persons eligible to
subscribe in the subscription offering. See &#147;Taxation&#148; for additional information.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Conditions to Completion of the Conversion and the Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We cannot complete the conversion and the offering unless:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the plan of conversion is approved by at least <I>a majority of votes eligible </I>to be
cast by members of OmniAmerican Bank. A special meeting of members to consider and
vote upon the plan of conversion has been set for &#091;meeting date&#093;;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>we have received orders to purchase at least the minimum number of shares of common
stock offered; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>we receive final approval of the Office of Thrift Supervision to complete the
conversion and the offering.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>How You Can Obtain Additional Information</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our branch office personnel may not, by law, assist with investment-related questions about
the offering. If you have any questions regarding the conversion or the offering, please call our
Stock Information Center at &#091;stock info #&#093;, Monday through Friday between 9:00 a.m. and 4:00 p.m.,
local time, or visit the Stock Information Center located at 1320 South University Drive, Suite
900, Fort Worth, Texas. The Stock Information Center will be closed on weekends and bank holidays.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>TO ENSURE THAT EACH PERSON RECEIVES A PROSPECTUS AT LEAST 48 HOURS PRIOR TO THE EXPIRATION DATE OF
&#091;EXPIRATION DATE&#093; IN ACCORDANCE WITH FEDERAL LAW, NO PROSPECTUS WILL BE MAILED OR HAND-DELIVERED
ANY LATER THAN FIVE DAYS OR TWO DAYS, RESPECTIVELY, PRIOR TO &#091;EXPIRATION DATE&#093;.</B>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="132"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RISK FACTORS</B>
</DIV>

<P>
<DIV style="width: 100%; border: 1px solid black; padding: 5px;">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>You
should consider carefully the following risk factors in evaluating an
investment in our <BR>shares of common stock.</B>

</DIV> </DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Risks Related to Our Business</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Our loan portfolio has greater risk than those of many savings banks due to the substantial number
of automobile and other consumer loans in our portfolio.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have a diversified loan portfolio with a substantial number of loans secured by collateral
other than owner-occupied one- to four-family residential real estate. Our loan portfolio includes
a substantial number of indirect automobile loans which are automobile loans referred to us by a
participating automobile dealership. At June&nbsp;30, 2009, our consumer loans totaled $249.2&nbsp;million,
or 33.9% of our total loan portfolio, and indirect automobile loans were the largest category of
consumer loans representing 27.0% of total loans at June&nbsp;30, 2009. Our consumer loan portfolio
also includes direct automobile loans, unsecured loans and loans secured by other personal
property. Consumer loans generally have greater risk of loss or default than one- to four-family
residential mortgage loans, particularly in the case of loans that are secured by rapidly
depreciable assets, such as automobiles, or loans that are unsecured. In these cases, we face the
risk that any collateral for a defaulted loan may not provide an adequate source of repayment of
the outstanding loan balance. Thus, the recovery and sale of such property could be insufficient to
compensate us for the principal outstanding on these loans. Furthermore, the application of
various federal and state laws, including bankruptcy and insolvency laws, may limit our ability to
recover on such loans. Finally, because indirect automobile loan applications are written by
automobile dealerships, we assume the risks associated with a dealership properly complying with
federal, state and local consumer protection laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a result of our relatively large portfolio of consumer loans, it may become necessary to
increase our provision for loan losses in the event our losses on these loans increase, which would
reduce our profits. In addition, a portion of our automobile loans are made to borrowers with
credit scores that would cause such loans to be considered subprime. At June&nbsp;30, 2009, $14.6
million, or 6.4% of our total automobile loan portfolio, consisted of automobile loans where the
borrower&#146;s credit score was 660 or less (a possible indication of a credit-impaired borrower). See
&#147;Business of OmniAmerican Bank &#151; Lending Activities &#151; Consumer Loans.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>A portion of our loan portfolio consists of loans made to persons with impaired credit or with
reduced documentation, which presents greater risk of loss or delinquency.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of June&nbsp;30, 2009, $22.1&nbsp;million, or 8.4%, of our one- to four-family residential mortgage
loans were to borrowers with a credit score of 660 or less (a possible indication of a
credit-impaired borrower) and additional credit weakness. Weakened credit characteristics of a
borrower may include prior loan payment delinquencies, foreclosure of prior loans, bankruptcies or
prior non-payment of loans. Loans to such borrowers may also present a greater credit risk to us
based upon the borrower&#146;s debt to income ratio, the results of a credit review or other criteria
that indicates that the borrower may have an insufficient or impaired credit history.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also have loans to borrowers who provide limited or no documentation of assets or income,
known as stated income loans. At June&nbsp;30, 2009, we had $14.7&nbsp;million of stated income loans, or
5.6% of our one- to four-family residential loans. As of June&nbsp;30, 2009, we had $10.9&nbsp;million of
interest-only one-
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">to four-family mortgage loans. This amount represents 4.2% of our total one- to four-family
residential mortgage loans, with $8.0&nbsp;million of our interest-only loans comprised of
adjustable-rate loans. The interest rate on these loans is initially fixed for three, five or
seven year terms and then adjusts in accordance with the terms of the loan to require payment of
both principal and interest in order to amortize the loan for the remainder of the term.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In 2008, we began purchasing one- to four-family residential loans, which included subprime,
stated income and interest-only loans, at a discount to the original principal balance of the
mortgage loan. As of June&nbsp;30, 2009, the total outstanding balance of all purchased one- to
four-family residential mortgage loans was $32.4&nbsp;million, or 12.4% of our one- to four-family
residential loans and 4.4% of our total loans, while the carrying value of such loans, net of
purchase discounts, was $27.3&nbsp;million. Our purchased one- to four-family residential mortgage
loans included $6.8&nbsp;million of subprime loans as of June&nbsp;30, 2009. In addition, these purchased
one- to four-family residential mortgage loans included $14.1&nbsp;million of stated income loans and
$7.4&nbsp;million of interest-only loans (of which $5.9&nbsp;million were also stated income loans). At June
30, 2009, the purchased subprime, stated income and interest-only loans represented 2.6%, 5.4% and
2.8%, respectively, of our total one- to four-family residential mortgage loans. We intend to
continue to purchase subprime, stated income and interest-only loans that we service, as market
conditions permit, and we are able to obtain the loans at a sufficient discount to the loan
balance to compensate us for the added risk associated with such loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These types of one- to four-family residential mortgage loans are generally considered to have
a greater risk of delinquency and foreclosure than conforming loans and may require greater
provisions for loan losses. Although we have not yet experienced large increases in delinquencies
or foreclosures in this portfolio, our residential mortgage loan portfolio may be adversely
affected in the event of a continued downturn in regional or national economic conditions. In
addition, the value of the real estate securing these loans may become less than any remaining loan
balance if local property values deteriorate further. Consequently, we could sustain loan losses
and be required to establish a higher provision for loan losses.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Our loan portfolio has more risk due to the recent change in our lending emphasis resulting in a
greater percentage of new one- to four-family residential mortgage loans.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Between 2004 and 2009, the composition of our loan portfolio changed significantly as the
dollar amount and percentage of our loans secured by one- to four-family residential real estate
increased to $261.3&nbsp;million, or 35.5% of total loans, at June&nbsp;30, 2009, from $153.4&nbsp;million, or
17.7% of total loans, at December&nbsp;31, 2004. During this period, our consumer loans decreased to
$249.2&nbsp;million, or 33.9% of total loans, at June&nbsp;30, 2009, from $622.8&nbsp;million, or 71.7% of total
loans, at December&nbsp;31, 2004. As a result of this change in our lending emphasis, a significant
portion of our one- to four-family residential mortgage loans are relatively new or &#147;unseasoned,&#148;
have not been outstanding for a sufficient period of time to demonstrate performance and indicate
the potential risks in the loan portfolio. For example, our unseasoned adjustable-rate residential
mortgage loans have not been subject to an interest rate environment that required them to adjust
to the maximum interest rate level and may involve risks resulting from potentially increasing
payment obligations by borrowers.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We have increased our levels of non-residential mortgage loans and commercial business loans which
has increased our exposure to credit risk.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Since our conversion from a credit union to a savings bank, we have increased the amount of
loans secured by commercial real estate, as well as real estate construction and commercial
business loans. At June&nbsp;30, 2009, our portfolio of commercial real estate loans totaled $95.6
million, or 13.0% of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">our total loans, compared to $74.2&nbsp;million, or 10.2% of our total loans, at December&nbsp;31, 2006.
At June&nbsp;30, 2009, our portfolio of real estate construction loans totaled $40.5&nbsp;million, or 5.5% of
our total loans, compared to $28.8&nbsp;million, or 4.0% of our total loans, at December&nbsp;31, 2006. At
June&nbsp;30, 2009, our portfolio of commercial business loans totaled $61.4&nbsp;million, or 8.3% of our
total loans, compared to $11.6&nbsp;million, or 1.6%, of our total loans at December&nbsp;31, 2006. We
intend to continue to emphasize the origination of these types of loans consistent with safety and
soundness standards.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;However, commercial real estate loans, real estate construction loans and commercial business
loans generally have a greater risk of loss than owner-occupied one- to four-family residential
mortgage loans. Repayment of commercial real estate, real estate construction and commercial
business loans generally depends, in large part, on sufficient income from the property or the
borrower&#146;s business to cover operating expenses and debt service. These types of loans typically
involve larger loan balances to single borrowers or groups of related borrowers compared to one- to
four-family residential mortgage loans. Changes in economic conditions that are beyond the control
of the borrower and lender may affect the value of the security for the loan, the future cash flow
of the affected property or business, or the marketability of a construction project with respect
to loans originated for the acquisition and development of property. As we increase our portfolio
of these loans, our level of non-performing loans may increase.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to emphasize business lending and marketing our products and services to small and
medium-sized businesses. These small and medium-sized businesses generally have fewer financial
resources in terms of capital or borrowing capacity than larger entities. If general economic
conditions negatively affect these businesses, our results of operations and financial condition
may be adversely affected.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Protecting our business from identity theft and the theft of other customer data increases our cost
of operations. To the extent that we, or our third party providers, are unable to prevent the loss
of customer information, our operations may become disrupted and our net income may be adversely
affected.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In recent years, the breach of computer and network systems of businesses, such as banks, by
national and international criminals (cyber-fraud) has become more prevalent. Financial fraud is a
growing risk of doing business for financial institutions. In January&nbsp;2008, we experienced a breach
of security involving our ATM/debit card system. Moreover, in August&nbsp;2009, law enforcement
authorities arrested members of the largest identity theft operation ever conducted in the United
States. The identity theft operation included the theft of information from a number of retail
companies and Heartland Payment Systems, a payment transaction processing center used by many
merchants. As a result of this recent identity theft operation, a number of our customers who had
their debit card transactions processed through Heartland Payment Systems had their customer
information breached. We have remediated the problem and have filed a claim with our insurance
carrier to reimburse us for our costs associated with the breach of Heartland Payment Systems. We
currently estimate that the cost of addressing the identity theft will be approximately $1.3
million, which includes the losses incurred resulting directly from the identity theft and the
costs to reissue debit cards. At this time we are unable to determine the extent to which our
insurance will cover the costs associated with addressing the identity theft.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We must protect our computer systems and network from physical break-ins, security breaches,
and other disruptive problems caused by the Internet or other users. Moreover, third party
providers such as Heartland Payment Systems, must also take similar actions to protect customer
information. We rely on encryption and authentication technology to provide the security and
authentication necessary to effect
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">secure transmissions of confidential information, as do our third party providers. However,
security measures implemented by us or our third party providers may not prevent cyber-fraud.
Advances in computer capabilities, new discoveries in the field of cryptography or other
developments could result in a compromise or breach of the algorithms we and our third-party
service providers use to protect customer transaction data. If any compromise of our security or
the security of our third party providers were to occur, it could have a material adverse effect on
our business, financial condition and results of operations.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We could record future impairment losses on our holdings of investment securities. We may not
receive full future interest payments on these securities.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our investment portfolio includes trust preferred securities and private label collateralized
mortgage obligations. We periodically review the performance of these securities and conduct tests
for their impairment. As of June&nbsp;30, 2009, we determined that no other than temporary impairment
loss associated with our investment securities was required to be charged to income. A number of
factors or combinations of factors could cause us to conclude in one or more future reporting
periods that an unrealized loss that exists with respect to these securities constitutes an
additional impairment that is other than temporary, which could result in material losses to us.
These factors include, but are not limited to, continued failure to make scheduled interest
payments, an increase in the severity of the unrealized loss on a particular security, an increase
in the continuous duration of the unrealized loss without an improvement in value or changes in
market conditions and/or industry or issuer specific factors that would render us unable to
forecast a full recovery in value. In addition, the fair values of these investment securities
could decline if the overall economy and the financial condition of some of the issuers continue to
deteriorate and there remains limited liquidity for these securities.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>If our allowance for loan losses is not sufficient to cover actual loan losses, our earnings will
decrease.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We make various assumptions and judgments about the collectability of our loan portfolio,
including the creditworthiness of our borrowers and the value of the real estate and other assets
serving as collateral for the repayment of many of our loans. In determining the amount of the
allowance for loan losses, we review our loans and our loss and delinquency experience, and we
evaluate economic conditions. If our assumptions are incorrect, our allowance for loan losses may
not be sufficient to cover probable incurred losses in our loan portfolio, requiring us to make
additions to our allowance for loan losses. While our allowance for loan losses was 1.20% of total
loans at June&nbsp;30, 2009, material additions to our allowance could materially decrease our net
income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, bank regulators periodically review our allowance for loan losses and may require
us to increase our allowance for loan losses or recognize further loan charge-offs. Any increase
in our allowance for loan losses or loan charge-offs as required by these regulatory authorities
may have a material adverse effect on our financial condition and results of operations.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Our expenses may increase as a result of increases in Federal Deposit Insurance Corporation
insurance premiums.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On February&nbsp;27, 2009, the Federal Deposit Insurance Corporation issued a final rule that
alters the way the Federal Deposit Insurance Corporation calculates federal deposit insurance
assessment rates. Under the rule, the Federal Deposit Insurance Corporation first establishes an
institution&#146;s initial base assessment rate. This initial base assessment rate ranges from 12 to 45
basis points, depending on the risk
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">category of the institution. The Federal Deposit Insurance Corporation then adjusts the
initial base assessment (higher or lower) to obtain the total base assessment rate. The
adjustments to the initial base assessment rate are based upon an institution&#146;s levels of unsecured
debt, secured liabilities, and brokered deposits. The total base assessment rate ranges from 7 to
77.5 basis points of the institution&#146;s deposits. Additionally, the Federal Deposit Insurance
Corporation on May&nbsp;22, 2009, issued a final rule that imposes a special 5 basis point assessment on
each FDIC-insured depository institution&#146;s assets, minus its Tier 1 capital as of June&nbsp;30, 2009,
which will be collected on September&nbsp;30, 2009. The special assessment will be capped at 10 basis
points of an institution&#146;s domestic deposits. This special assessment resulted in additional
noninterest expense of $478,000 during the six months ended June&nbsp;30, 2009. The Federal Deposit
Insurance Corporation may impose additional special assessments in the future.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Emergency Economic Stabilization Act of 2008 temporarily increased the limit on Federal
Deposit Insurance Corporation insurance coverage for deposits to $250,000, which was further
extended through December&nbsp;31, 2013 by the Helping Families Save Their Homes Act of 2009, and the
Federal Deposit Insurance Corporation took action to provide coverage for newly-issued senior
unsecured debt and noninterest-bearing transaction and certain NOW accounts in excess of the
$250,000 limit, for which institutions will be assessed additional premiums. These actions will
significantly increase our noninterest expense in 2009 and in future years as long as the increased
premiums are in place.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Future changes in interest rates could reduce our profits.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our ability to make a profit largely depends on our net interest income, which could be
negatively affected by changes in interest rates. Net interest income is the difference between:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the interest income we earn on our interest-earning assets, such as loans and
securities; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the interest expense we pay on our interest-bearing liabilities, such as deposits
and borrowings.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a result of our focus on one- to four-family residential mortgage loans, the interest rates
we earn on our loans are generally fixed for a longer period of time. Additionally, many of our
securities investments have lengthy maturities with fixed interest rates. Like many savings
institutions, our focus on deposit accounts as a source of funds, which have no stated maturity
date or shorter contractual maturities, results in our liabilities having a shorter duration than
our assets. For example, as of June&nbsp;30, 2009, 38.4% of our loans had maturities of 15&nbsp;years or
longer, while 84.0% of our certificates of deposits had maturities of one year or less. This
imbalance can create significant earnings volatility, because market interest rates change over
time. In a period of rising interest rates, the interest income we earn on our assets, such as
loans and investments, may not increase as rapidly as the interest we pay on our liabilities, such
as deposits. In a period of declining interest rates, the interest income we earn on our assets
may decrease more rapidly than the interest we pay on our liabilities, as borrowers prepay mortgage
loans, and mortgage-backed securities and callable investment securities are called or prepaid,
thereby requiring us to reinvest these cash flows at lower interest rates. See &#147;Management&#146;s
Discussion and Analysis of Financial Condition and Results of Operations&#151;Management of Market
Risk.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, changes in interest rates can affect the average life of loans and
mortgage-backed and related securities. A reduction in interest rates results in increased
prepayments of loans and mortgage-backed and related securities, as borrowers refinance their debt
in order to reduce their borrowing costs. This creates reinvestment risk, which is the risk that we
may not be able to reinvest prepayments at rates
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">that are comparable to the rates we earned on the prepaid loans or securities. Additionally,
increases in interest rates may decrease loan demand and/or make it more difficult for borrowers to
repay adjustable-rate loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in interest rates also affect the current fair value of our interest-earning
securities portfolio. Generally, the value of securities moves inversely with changes in interest
rates. At June&nbsp;30, 2009, the fair value of our available for sale securities portfolio, consisting
of mortgage-backed securities issued by U.S. Government sponsored enterprises, collateralized
mortgage obligations, municipal obligations, trust preferred securities, agency bonds and equity
securities totaled $184.0&nbsp;million. Gross unrealized losses on these securities totaled $2.8
million at June&nbsp;30, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We evaluate interest rate sensitivity using an the Office of Thrift Supervision model that
estimates the change in our net portfolio value over a range of interest rate scenarios, also known
as a &#147;rate shock&#148; analysis. Net portfolio value is the discounted present value of expected cash
flows from assets, liabilities and off-balance sheet contracts. At June&nbsp;30, 2009, the Office of
Thrift Supervision &#147;rate shock&#148; analysis indicated that our net portfolio value would decrease by
$9.2&nbsp;million if there was an instantaneous 200 basis point increase in market interest rates. See
&#147;Management&#146;s Discussion and Analysis of Financial Condition and Results of Operations&#151;Management
of Market Risk.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>A legislative proposal has been introduced that would eliminate our primary federal regulator,
require us to convert to a national bank or state bank, and require OmniAmerican Bancorp, Inc. to
become a bank holding company.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The U.S. Treasury Department recently introduced proposed legislation that would affect
significant changes to the current bank regulatory system. The proposal would create a new federal
banking regulator, the National Bank Supervisor, and merge our current primary federal regulator,
the Office of Thrift Supervision, as well as the Office of the Comptroller of the Currency (the
primary federal regulator for national banks) into the new federal bank regulator. The proposal
would also eliminate federal savings banks and require all federal savings banks, such as
OmniAmerican Bank, to elect, within six months of the effective date of the legislation, to convert
to either a national bank, state bank or state savings association. A federal savings bank that
does not make the election would, by operation of law, be converted to a national bank within one
year of the effective date of the legislation. If OmniAmerican Bank is required to convert to a
national bank, state bank or a state savings association, OmniAmerican Bancorp, Inc. would become a
bank holding company subject to regulation and supervision by the Board of Governors of the Federal
Reserve System instead of the Office of Thrift Supervision. As a bank holding company,
OmniAmerican Bancorp, Inc. may become subject to regulatory capital requirements and certain
additional restrictions on its activities.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Negative developments in the financial industry and the domestic and international credit markets
may adversely affect our operations and results.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Negative developments in the global credit and securitization markets during the past two
years have resulted in a global recession and significant uncertainty in the financial markets.
Loan portfolio quality has deteriorated at many institutions, reflecting in part, the severely
weakened U.S. economy and rising unemployment. In addition, the values of real estate collateral
supporting many commercial loans and home mortgages have declined and may continue to decline.
Bank and bank holding company stock prices have been negatively affected, as has the ability of
banks and bank holding companies to raise capital or borrow in the debt markets. Specifically, the
Federal Deposit Insurance Corporation Quarterly Banking Profile has reported that noncurrent assets
plus other real estate owned as a percentage of assets for FDIC-insured financial institutions rose
to 2.77% as of June&nbsp;30, 2009, compared to 1.89% as of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">December&nbsp;31, 2008 and 0.95% as of December&nbsp;31, 2007. For the six months ended June&nbsp;30, 2009, the
Federal Deposit Insurance Corporation Quarterly Banking Profile has reported that annualized return
on average assets was 0.04% for FDIC-insured financial institutions compared to 0.04% for the year
ended December&nbsp;31, 2008 and 0.81% for the year ended December&nbsp;31, 2007. The NASDAQ Bank Index
declined 42.0% between December&nbsp;31, 2007 and June&nbsp;30, 2009. At June&nbsp;30, 2009, our noncurrent assets
plus other real estate owned as a percentage of assets was 0.60%, and our return on average assets
was 0.06% for the year ended December&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
response to the deteriorating economy, Congress enacted the Emergency Economic Stabilization
Act of 2008, under which the U.S. Department of the Treasury has the authority to expend up to $700
billion to assist in stabilizing and providing liquidity to the U.S. financial system. Although it
was originally contemplated that these funds would be used primarily to purchase troubled assets
under the Troubled Asset Relief Program, in October&nbsp;2008, the U.S. Department of the Treasury
announced the Capital Purchase Program and has committed to purchase up to $250&nbsp;billion of
non-voting senior preferred shares of certain qualified financial institutions in an attempt to
encourage financial institutions to build capital to increase the flow of credit to businesses and
consumers, and to support the economy. In addition, Congress temporarily increased Federal Deposit
Insurance Corporation deposit insurance from $100,000 to $250,000 per depositor through December
31, 2013. The Federal Deposit Insurance Corporation also announced the creation of the Temporary
Liquidity Guarantee Program which is intended to strengthen confidence and encourage liquidity in
financial institutions by temporarily guaranteeing newly issued senior unsecured debt of
participating organizations and fully insuring noninterest-bearing transaction deposit accounts
(such as business checking accounts, interest-bearing transaction accounts paying 50 basis points
or less, and lawyers&#146; trust accounts), regardless of dollar amount until June&nbsp;30, 2010.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The potential exists for additional federal or state laws and regulations regarding lending
and funding practices and liquidity standards, and bank regulatory agencies are expected to be
active in responding to concerns and trends identified in examinations, including the expected
issuance of many formal enforcement orders. Actions taken to date, as well as potential actions,
may not have the beneficial effects that are intended. In addition, new laws, regulations, and
other regulatory changes will increase our Federal Deposit Insurance Corporation insurance premiums
and may also increase our costs of regulatory compliance and of doing business, and may otherwise
adversely affect our operations. New laws, regulations, and other regulatory changes, along with
negative developments in the financial services industry and the domestic and international credit
markets, may significantly affect the markets in which we do business, the markets for and value of
our loans and investments, and our ongoing operations, costs and profitability. Further, continued
declines in the stock market in general, or for stock of financial institutions and their holding
companies, may affect our stock performance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Strong competition within our market areas may limit our growth and profitability.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Competition in the banking and financial services industry is intense. In our market areas,
we compete with commercial banks, savings institutions, mortgage brokerage firms, credit unions,
finance companies, mutual funds, insurance companies, and brokerage and investment banking firms
operating locally and elsewhere. Some of our competitors have greater name recognition and market
presence that benefit them in attracting business, and offer certain services that we do not or
cannot provide. In addition, larger competitors may be able to price loans and deposits more
aggressively than we do, which could affect our ability to grow and remain profitable on a
long-term basis. Our profitability depends upon our continued ability to successfully compete in
our market areas. If we must raise interest rates paid on deposits or lower interest rates charged
on our loans, our net interest margin and profitability
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">could be adversely affected. For additional information see &#147;Business of OmniAmerican
Bank&#151;Competition.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We operate in a highly regulated environment and may be adversely affected by changes in laws and
regulations.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are subject to extensive regulation, supervision, and examination by the Office of Thrift
Supervision and the Federal Deposit Insurance Corporation. Such regulators govern the activities
in which we may engage, primarily for the protection of depositors. These regulatory authorities
have extensive discretion in connection with their supervisory and enforcement activities,
including the imposition of restrictions on the operation of a bank, the classification of assets
by a bank, and the adequacy of a bank&#146;s allowance for loan losses. Any change in such regulation
and oversight, whether in the form of regulatory policy, regulations, or legislation, could have a
material impact on our results of operations. Because our business is highly regulated, the laws,
rules and applicable regulations are subject to regular modification and change. There can be no
assurance that proposed laws, rules and regulations, or any other laws, rules or regulations, will
not be adopted in the future, which could make compliance more difficult or expensive or otherwise
adversely affect our business, financial condition or prospects.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Risks Related to this Stock Offering</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>The future price of the shares of common stock may be less than the purchase price in the stock
offering.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you purchase shares of common stock in the stock offering, you may not be able to sell them
at or above the purchase price in the stock offering. The purchase price in the offering is based
upon an independent, third-party appraisal of the pro forma market value of OmniAmerican Bank,
pursuant to federal banking regulations and subject to review and approval by the Office of Thrift
Supervision. The appraisal is not intended, and should not be construed, as a recommendation of
any kind as to the advisability of purchasing shares of common stock. Our aggregate pro forma
market value as reflected in the final, approved independent appraisal may exceed the market price
of our shares of common stock after the completion of the offering, which may result in our stock
trading below the initial offering price of $10.00 per share.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>The capital we raise in the stock offering will reduce our return on equity. This could negatively
affect the trading price of our shares of common stock.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net income divided by average equity, known as &#147;return on equity,&#148; is a ratio many investors
use to compare the performance of a financial institution to its peers. For the year ended
December&nbsp;31, 2008, our return on average equity was 0.72%. Following the stock offering, we expect
our equity to increase from $90.3&nbsp;million to between $155.0&nbsp;million at the minimum of the offering
range and $192.0&nbsp;million at the adjusted maximum of the offering range. Based upon our earnings
for the year ended December&nbsp;31, 2008, and these pro forma equity levels, our return on equity would
be 0.42% and 0.34% at the minimum and adjusted maximum of the offering range, respectively. We
expect our return on equity to remain lower until we are able to leverage the additional capital we
receive from the stock offering. Although we will be able to increase net interest income using
proceeds of the stock offering, our return on equity will be reduced by the capital raised in the
stock offering, higher expenses from the costs of being a public company, and added expenses
associated with our employee stock ownership plan and the stock-based benefit plan we intend to
adopt. Until we can increase our net interest income and noninterest income, we expect our return
on equity to remain lower, which may reduce the value of our shares of common stock.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We will need to implement additional finance and accounting systems, procedures and controls in
order to satisfy our new public company reporting requirements.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon completion of the stock offering, we will become a public reporting company. The federal
securities laws and regulations of the Securities and Exchange Commission require that we file
annual, quarterly and current reports, and that we maintain effective disclosure controls and
procedures and internal controls over financial reporting. We expect that the obligations of being
a public company, including substantial public reporting obligations, will require significant
expenditures and place additional demands on our management team. These obligations will increase
our operating expenses and could divert management&#146;s attention from our banking operations.
Compliance with the Sarbanes-Oxley Act of 2002 and the related rules and regulations of the
Securities and Exchange Commission will require us to certify the adequacy of our internal controls
and procedures, which could require us to upgrade our systems, and/or hire additional staff, which
would increase our operating costs.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Our stock-based benefit plans will increase our costs, which will reduce our income.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We anticipate that our employee stock ownership plan will purchase 8% of the total shares of
common stock sold in the stock offering, with funds borrowed from OmniAmerican Bancorp, Inc. The
cost of acquiring the shares of common stock for the employee stock ownership plan will be between
$6.1&nbsp;million at the minimum of the offering range and $9.5&nbsp;million at the adjusted maximum of the
offering range. We will record annual employee stock ownership plan expense in an amount equal to
the fair value of shares of common stock committed to be released to employees. If shares of
common stock appreciate in value over time, compensation expense relating to the employee stock
ownership plan will increase.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also intend to adopt a stock-based benefit plan after the stock offering that would award
participants (at no cost to them) shares of our common stock and/or options to purchase shares of
our common stock. The number of shares of restricted stock or stock options reserved for issuance
under any initial stock-based benefit plan may not exceed 4% and 10%, respectively, of our total
outstanding shares, if these plans are adopted within 12&nbsp;months after the completion of the
conversion. We may grant shares of common stock and stock options in excess of these amounts
provided the stock-based benefit plan is adopted more than one year following the stock offering.
Assuming the market price of the common stock is $10.00 per share; the options are granted with an
exercise price of $10.00 per share; the dividend yield on the stock is 0%; the expected option life
is ten years; the risk free interest rate is 3.53% (based on the ten-year Treasury rate) and the
volatility rate on the shares of common stock is 32.17% (based on an index of publicly traded
thrift institutions), the estimated grant-date fair value of the options using a Black-Scholes
option pricing analysis is $4.98 per option granted. Assuming this value is amortized over a
five-year vesting period, the corresponding annual pre-tax expense associated with all the stock
options would be $1.2&nbsp;million at the adjusted maximum of the offering range. In addition, assuming
that all shares of restricted stock are awarded at a price of $10.00 per share, and that the awards
vest over a five-year period, the corresponding annual pre-tax expense associated with restricted
stock awarded under the stock-based benefit plan would be $952,200 at the adjusted maximum of the
offering range. Moreover, if we grant shares of common stock or options in excess of these
amounts, such grants would increase our costs further.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The shares of restricted stock granted under the stock-based benefit plan will be expensed by
us over their vesting period at the fair market value of the shares on the date they are awarded.
If the shares of restricted stock to be granted under the plan are repurchased in the open market
(rather than issued directly from authorized but unissued shares by OmniAmerican Bancorp, Inc.) and
cost the same as the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">purchase price in the stock offering, the reduction to stockholders&#146; equity due to the plan
would be between $3.1&nbsp;million at the minimum of the offering range and $4.8&nbsp;million at the adjusted
maximum of the offering range. To the extent we repurchase shares of common stock in the open
market to fund the grants of shares under the plan, and the price of such shares exceeds the
offering price of $10.00 per share, the reduction to stockholders&#146; equity would exceed the range
described above. Conversely, to the extent the price of such shares is below the offering price of
$10.00 per share, the reduction to stockholders&#146; equity would be less than the range described
above.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>The implementation of stock-based benefit plans may dilute your ownership interest. Historically,
the overwhelming majority of stock-based benefit plans adopted by savings institutions and their
holding companies following mutual-to-stock conversions have been approved by stockholders.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to adopt one or more stock-based benefit plans, which will allow participants to be
awarded shares of common stock (at no cost to them) or options to purchase shares of our common
stock, following the stock offering. These stock-based benefit plans will be funded through either
open market purchases of shares of common stock, if permitted, or from the issuance of authorized
but unissued shares of common stock. Stockholders would experience a reduction in ownership
interest totaling 12.3% in the event newly issued shares are used to fund stock options or awards
of shares of common stock under these plans in an amount equal to 10% and 4%, respectively, of the
shares issued in the stock offering. We may grant shares of common stock and stock options in
excess of these amounts provided the stock-based benefit plan is adopted more than one year
following the stock offering. The implementation of the stock-based benefit plan will be subject
to stockholder approval and historically the overwhelming majority of stock-based benefit plans
adopted by savings institutions and their holding companies following mutual-to-stock conversions
have been approved by stockholders.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We have not determined whether we will adopt stock-based benefit plans more than one year following
the stock offering. Stock-based benefit plans implemented more than one year following the stock
offering may exceed regulatory restrictions on the size of stock-based benefit plans implemented
within one year, which would increase our costs.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we adopt stock-based benefit plans within one year following the completion of the stock
offering, then we may grant shares of common stock or stock options under our stock-based benefit
plans for up to 4% and 10%, respectively, of our total outstanding shares. The amount of stock
awards and stock options available for grant under the stock-based benefit plans may exceed these
amounts, provided the stock-based benefit plans are implemented more than one year following the
stock offering. Although the implementation of the stock-based benefit plan will be subject to
stockholder approval, the determination as to the timing of the implementation of such a plan will
be at the discretion of our board of directors. Stock-based benefit plans that provide for awards
in excess of these amounts would increase our costs beyond the amounts estimated in &#147;&#151;Our
stock-based benefit plans will increase our costs, which will reduce our income.&#148; Stock-based
benefit plans that provide for awards in excess of these amounts could also result in dilution to
stockholders in excess of that described in &#147;&#151;The implementation of stock-based benefit plans may
dilute your ownership interest. Historically, the overwhelming majority of stock-based benefit
plans adopted by savings institutions and their holding companies following mutual-to-stock
conversions have been approved by stockholders.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We will enter into an employment agreement and three change in control agreements that may increase
our compensation costs.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to enter into a new employment agreement with Tim Carter, our President and Chief
Executive Officer and change in control agreements with Deborah B. Wilkinson, our Senior Executive
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Vice President and Chief Financial Officer, Terry Almon, our Senior Executive Vice President
and Chief Operating Officer and Anne Holland, our Senior Executive Vice President and Chief Lending
Officer. In the event of an involuntary or good reason termination of employment, or certain types
of termination following a change in control, as set forth in the employment agreement, the
employment agreement provides for cash severance benefits that would cost approximately $1.4
million based on information as of June&nbsp;30, 2009. Similarly, in the event of an involuntary or
good reason termination of employment following a change in control, the change in control
agreements provide for cash severance benefits that would cost approximately $1.3&nbsp;million in the
aggregate based on information as of June&nbsp;30, 2009 (assuming Ms.&nbsp;Almon was employed by us on that
date at her current base salary). For additional information see &#147;Management of OmniAmerican
Bancorp, Inc.&#151;Executive Officer Compensation.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We have broad discretion in using the proceeds of the stock offering. Our failure to effectively
use such proceeds could reduce our profits.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will use a portion of the net proceeds to finance the purchase of shares of common stock in
the stock offering by the employee stock ownership plan and may use the remaining net proceeds to
pay dividends to stockholders, repurchase shares of common stock, purchase investment securities,
deposit funds in OmniAmerican Bank, acquire other financial services companies or for other general
corporate purposes. OmniAmerican Bank may use the proceeds it receives to fund new loans,
establish or acquire new branches, purchase investment securities, reduce a portion of our
borrowings, or for general corporate purposes. We have not identified specific amounts of proceeds
for any of these purposes and we will have significant flexibility in determining the amount of net
proceeds we apply to different uses and the timing of such applications. Our failure to utilize
these funds effectively could reduce our profitability. We have not established a timetable for the
effective deployment of the proceeds and we cannot predict how long we will require to effectively
deploy the proceeds.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Our stock value may be negatively affected by federal regulations that restrict takeovers.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For three years following the stock offering, Office of Thrift Supervision regulations
prohibit any person from acquiring or offering to acquire more than 10% of our common stock without
the prior written approval of the Office of Thrift Supervision. See &#147;Restrictions on Acquisition
of OmniAmerican Bancorp, Inc.&#148; for a discussion of applicable Office of Thrift Supervision
regulations regarding acquisitions.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>The corporate governance provisions in our articles of incorporation and bylaws, and the corporate
governance provisions under Maryland law, may prevent or impede the holders of our common stock
from obtaining representation on our Board of Directors and may impede takeovers of the company
that our Board might conclude are not in the best interest of OmniAmerican Bancorp, Inc. or its
stockholders.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provisions in our articles of incorporation and bylaws may prevent or impede holders of our
common stock from obtaining representation on our board of directors and may make takeovers of
OmniAmerican Bancorp, Inc. more difficult. For example, our board of directors is divided into
three classes, only one of which will stand for election annually. A classified board makes it
more difficult for stockholders to change a majority of the directors because it generally takes at
least two annual elections of directors for this to occur. Our articles of incorporation include a
provision that provides that, without the approval of a majority of the unaffiliated directors, no
person will be entitled to vote any shares of our common stock in excess of 10% of our outstanding
shares of common stock. This limitation does not apply to the purchase of shares by a
tax-qualified employee stock benefit plan established by us. In addition, our articles of
incorporation and bylaws restrict who may call special meetings of stockholders
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">and how directors may be removed from office. Additionally, in certain instances, the
Maryland General Corporation Law requires a supermajority vote of our stockholders to approve a
merger or other business combination with a large stockholder, if the proposed transaction is not
approved by a majority of our directors. See &#147;Restrictions on Acquisition of OmniAmerican Bancorp,
Inc.&#148;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We have never issued common stock and there is no guarantee that a liquid market for our common
stock will develop.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have never issued capital stock and there is no established market for our common stock.
Depending on the number of shares we sell, we expect that our common stock will be traded on the
Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol &#147;OABC,&#148; subject to
completion of the offering and compliance with certain conditions, including the presence of at
least three registered and active market makers. Keefe Bruyette &#038; Woods, Inc. has advised us that
it intends to make a market in shares of our common stock following the offering, but it is under
no obligation to do so or to continue to do so once it begins. While we will attempt before
completion of the offering to obtain commitments from at least two other broker-dealers to make a
market in shares of our common stock, there can be no assurance that we will be successful in
obtaining such commitments.
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>We may take other actions to meet the minimum required sales of shares if we cannot find enough
purchasers in the community.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we do not sell enough shares to reach the minimum of the offering range through the
subscription and community offerings, shares may be offered for sale to the general public in a
syndicated community offering to be managed by Keefe Bruyette &#038; Woods, Inc., acting as our agent.
If we are not able to reach the minimum of the offering range after Keefe Bruyette &#038; Woods, Inc.,
uses its best efforts in a syndicated community offering we may do any of the following: increase
the maximum purchase limitations and allow all maximum purchase subscribers to increase their
orders to the new maximum purchase limitations; terminate the offering and promptly return all
funds; set a new offering range, notifying all subscribers of the opportunity to confirm, cancel or
change their orders; or take such other actions as may be permitted by the Office of Thrift
Supervision.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="133"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SELECTED FINANCIAL AND OTHER DATA</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following tables set forth selected historical financial and other data of OmniAmerican
Bank for the years and at the dates indicated. The information at December&nbsp;31, 2008 and 2007 and
for the years ended December&nbsp;31, 2008, 2007 and 2006 is derived in part from, and should be read
together with, the audited financial statements and notes thereto of OmniAmerican Bank beginning at
page F-1 of this prospectus. The information at December&nbsp;31, 2006, 2005 and 2004 and for the years
ended December&nbsp;31, 2005 and 2004 is derived in part from audited financial statements that are not
included in this prospectus. The information at June&nbsp;30, 2009 and for the six months ended June
30, 2009 and 2008 is unaudited and reflects all normal recurring adjustments that are, in the
opinion of management, necessary for a fair presentation of the results for the interim periods
presented. The results of operations for the six months ended June&nbsp;30, 2009 are not necessarily
indicative of the results to be achieved for the remainder of 2009 or any other period.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(unaudited)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19"><B>(In thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Selected Financial Condition Data:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,038,306</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,067,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,051,021</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,062,874</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,118,733</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,279,784</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98,317</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,653</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,597</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Securities available for sale, at fair value</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">230,304</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">244,585</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">150,904</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">183,530</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">251,559</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,014</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,065</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,715</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,585</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans receivable, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">725,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">715,774</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">707,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">728,847</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">799,152</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">870,802</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Foreclosed assets, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">248</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">936</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">551</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">739,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">729,895</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">794,152</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">689,057</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">742,011</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank of Dallas advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">117,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">169,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">128,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">253,479</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">317,204</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">66,156</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,796</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">124,577</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total equity capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,722</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,718</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,985</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>For the Six Months Ended</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18" style="border-bottom: 1px solid #000000"><B>For the Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>(unaudited)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Selected Operating Data:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27,651</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">28,820</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">57,696</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">54,915</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">52,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">53,462</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">55,679</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,163</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,677</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,688</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,521</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,385</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,827</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,019</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,227</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,077</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31,852</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Provision for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,825</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,113</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,730</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,433</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net interest income after provision for
loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,088</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,194</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,577</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,376</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,419</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,362</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,257</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,269</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,569</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,187</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,614</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,502</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,974</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,077</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,433</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,957</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38,145</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,021</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income (loss)&nbsp;before income tax expense
(benefit)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">507</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,287</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,256</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,389</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,012</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax expense (benefit)<SUP style="font-size: 85%; vertical-align: text-top"> (1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">286</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">742</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,115</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,332</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net income (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">221</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,389</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,012</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Until its conversion to a federally chartered mutual savings bank on January&nbsp;1, 2006,
OmniAmerican Bank was a credit union, and generally exempt from federal and state income
taxes. As a result of the change in tax status on January&nbsp;1, 2006, OmniAmerican Bank recorded
a deferred tax asset in the amount of $6.1&nbsp;million, as well as a related tax benefit of $4.5
million. The following table provides a reconciliation to pro forma net income for the periods
presented prior to January&nbsp;1, 2006, had OmniAmerican Bank been subject to federal and state
income taxes:</TD>
</TR>

</TABLE>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Historical net (loss)&nbsp;income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,389</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,012</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: pro forma tax expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,832</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,044</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: tax benefit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,541</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pro forma net (loss)&nbsp;income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(5,465</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,557</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,968</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>At or For the Six</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Months Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19" style="border-bottom: 1px solid #000000"><B>At or For the Years Ended December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Selected Financial Ratios and Other Data:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Performance Ratios:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Return (loss)&nbsp;on average assets (ratio of net income
(loss)&nbsp;to average total assets) (1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.09</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.04</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(0.21</TD>
    <TD nowrap>)%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(0.09</TD>
    <TD nowrap>)%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.53</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Return on average assets tax effected</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.35</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Return (loss)&nbsp;on average equity (ratio of net income
(loss)&nbsp;to average equity) (1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.02</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.48</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.72</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2.46</TD>
    <TD nowrap>)%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1.00</TD>
    <TD nowrap>)%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.66</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.01</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Return on average equity tax effected</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">n/a</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.63</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest rate spread (1) (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.12</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.38</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.58</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.63</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.62</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest margin (1)(3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.36</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.81</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.02</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.70</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.77</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.74</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Efficiency ratio (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">86.53</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">89.35</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">88.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">99.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">104.89</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">77.43</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">75.89</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest expense to average total assets<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>(1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.70</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.82</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.17</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.38</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.20</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest-earning assets to average
interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">110.64</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">110.05</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">109.88</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">110.08</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">107.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">105.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">105.75</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average equity to average total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.53</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.42</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.32</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.68</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.84</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.75</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.61</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Asset Quality Ratios:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-performing assets to total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.60</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.81</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.59</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.35</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.37</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.21</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.28</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-performing loans to total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.76</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.13</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.79</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.42</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.23</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.30</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Allowance for loan losses to non-performing loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">158.30</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">92.91</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">145.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">248.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">213.67</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">256.81</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">205.71</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Allowance for loan losses to total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.20</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.14</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.04</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.96</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.60</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.62</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Capital Ratios:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total capital (to risk-weighted assets)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">12.25</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.44</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.82</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.66</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.09% </TD>
    <TD nowrap>(5)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">9.19% </TD>
    <TD nowrap>(5)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tier I capital (to risk-weighted assets)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.46</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.73</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.68</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.83</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.54% </TD>
    <TD nowrap>(5)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.64% </TD>
    <TD nowrap>(5)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tier I capital (to total assets)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.48</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.71</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.76</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.95</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.22% </TD>
    <TD nowrap>(5)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.80% </TD>
    <TD nowrap>(5)</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Other Data:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of full service offices</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Full-time equivalent employees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">351</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">346</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">345</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">338</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">387</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">336</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">378</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Ratios for the six months ended June&nbsp;30, 2009 and 2008 are annualized.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>The average interest rate spread represents the difference between the weighted-average yield
on interest-earning assets and the weighted-average cost of interest-bearing liabilities for
the period.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>The net interest margin represents net interest income as a percent of average
interest-earning assets for the period.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>The efficiency ratio represents noninterest expense divided by the sum of net interest income
and noninterest income.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>On January&nbsp;1, 2006, OmniAmerican Bank converted its charter to a federal mutual savings bank
charter and became subject to regulation and examination by the Office of Thrift Supervision
and the Federal Deposit Insurance Corporation. Prior to January&nbsp;1, 2006, OmniAmerican Bank
was a credit union and was subject to various regulatory capital requirements administered by
the National Credit Union Administration and the Texas Credit Union Department. The capital
ratios at December&nbsp;31, 2005 and 2004 are presented as if OmniAmerican Bank had been subject to
the regulatory capital requirements of the federal banking regulators on those dates. The
National Credit Union Administration and the Texas Credit Union Department categorized
OmniAmerican Bank as &#147;well capitalized&#148; under the regulatory framework for prompt corrective
action as of December&nbsp;31, 2005 and 2004. To be categorized as &#147;well capitalized,&#148; as a credit
union, OmniAmerican Bank was required to maintain a minimum net worth ratio of 7% of total
assets. The actual net worth to total assets ratios as of December&nbsp;31, 2005 and 2004 were
7.84% and 7.20%, respectively.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="left">
<A name="134"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This prospectus contains forward-looking statements, which can be identified by the use of
words such as &#147;estimate,&#148; &#147;project,&#148; &#147;believe,&#148; &#147;intend,&#148; &#147;anticipate,&#148; &#147;plan,&#148; &#147;seek,&#148; &#147;expect,&#148;
&#147;will,&#148; &#147;may&#148; and words of similar meaning. These forward-looking statements include, but are not
limited to:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>statements of our goals, intentions and expectations;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>statements regarding our business plans, prospects, growth and operating strategies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>statements regarding the asset quality of our loan and investment portfolios; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>estimates of our risks and future costs and benefits.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These forward-looking statements are based on our current beliefs and expectations and are
inherently subject to significant business, economic and competitive uncertainties and
contingencies, many of which are beyond our control. In addition, these forward-looking statements
are subject to assumptions with respect to future business strategies and decisions that are
subject to change. We are under no duty to and do not take any obligation to update any
forward-looking statements after the date of this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following factors, among others, could cause actual results to differ materially from the
anticipated results or other expectations expressed in the forward-looking statements:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>general economic conditions, either nationally or in our market areas, that are
worse than expected;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>competition among depository and other financial institutions;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>inflation and changes in the interest rate environment that reduce our margins or
reduce the fair value of financial instruments;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>adverse changes in the securities markets;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in laws or government regulations or policies affecting financial
institutions, including changes in regulatory fees and capital requirements;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our ability to enter new markets successfully and capitalize on growth
opportunities;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our ability to successfully integrate acquired entities, if any;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in consumer spending, borrowing and savings habits;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in accounting policies and practices, as may be adopted by the bank
regulatory agencies, the Financial Accounting Standards Board, the Securities and
Exchange Commission and the Public Company Accounting Oversight Board;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in our organization, compensation and benefit plans;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in our financial condition or results of operations that reduce capital
available to pay dividends; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in the financial condition or future prospects of issuers of securities that
we own.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Because of these and a wide variety of other uncertainties, our actual future results may be
materially different from the results indicated by these forward-looking statements. Please see
&#147;Risk Factors&#148; beginning on page 16.
</DIV>
<DIV align="left">
<A name="135"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>HOW WE INTEND TO USE THE PROCEEDS FROM THE OFFERING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although we cannot determine what the actual net proceeds from the sale of the shares of
common stock in the offering will be until the offering is completed, we anticipate that the net
proceeds will be between $74.0&nbsp;million and $100.7&nbsp;million, or $116.0&nbsp;million if the offering range
is increased by 15%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to distribute the net proceeds from the stock offering as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="30" style="border-bottom: 1px solid #000000"><B>Based Upon the Sale at $10.00 Per Share of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>7,650,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>9,000,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>10,350,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>11,902,500 Shares (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Net</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Net</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Net</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>of Net</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Proceeds</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Proceeds</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Proceeds</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Proceeds</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="30"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock offering proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">103.4</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">103.1</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">103,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">102.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">119,025</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">102.6</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less offering expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,539</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,695</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,850</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.8</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,028</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net offering proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">73,961</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">87,305</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">100,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">115,997</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Use of net proceeds:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">To OmniAmerican Bank</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,981</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">50.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">43,653</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">50.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50,325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">50.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">57,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50.0</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">To fund loan to
employee stock
ownership plan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,280</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,522</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Retained by
OmniAmerican
Bancorp, Inc</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">30,860</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">41.7</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,452</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">41.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">42,045</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">41.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">48,476</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">41.8</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>As adjusted to give effect to an increase in the number of shares, which could occur due to a
15% increase in the offering range to reflect demand for the shares or changes in market
conditions following the commencement of the offering.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payments for shares of common stock made through withdrawals from existing deposit accounts
will not result in the receipt of new funds for investment but will result in a reduction of
OmniAmerican Bank&#146;s deposits. The net proceeds may vary because the total expenses relating to the
offering may be more or less than our estimates. For example, our expenses would increase if a
syndicated community offering were used to sell shares of common stock not purchased in the
subscription and community offerings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc. may use the proceeds it retains from the stock offering:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to fund a loan to the employee stock ownership plan to purchase shares of common
stock in the stock offering;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to invest in mortgage-backed securities, collateralized mortgage obligations and
debt securities issued by United States Government-sponsored agencies or entities;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to finance the acquisition of financial institutions or other financial services
companies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to pay cash dividends to stockholders;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to repurchase shares of our common stock; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>for other general corporate purposes.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With the exception of the funding of the loan to the employee stock ownership plan,
OmniAmerican Bancorp, Inc. has not determined how much of the net offering proceeds it intends to
use for each of the foregoing purposes. Initially, we intend to invest a substantial portion of the
net proceeds in short-term investments, investment-grade debt obligations and mortgage-backed
securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under current Office of Thrift Supervision regulations, we may not repurchase shares of our
common stock during the first year following the conversion, except to fund equity benefit plans
other than stock options or except when extraordinary circumstances exist and with prior regulatory
approval.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank may use the net proceeds it receives from the Offering:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to expand its banking franchise by establishing or acquiring new branches, or by
acquiring other financial institutions or other financial services companies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to fund new loans;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to repay short-term borrowings;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to invest in mortgage-backed securities and collateralized mortgage obligations, and
debt securities issued by United States Government-sponsored agencies or entities; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>for other general corporate purposes.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">OmniAmerican Bank has not determined how much of the net offering proceeds it intends to use for
each of the foregoing purposes. Our short-term and long-term growth plans anticipate that, upon
completion of the offering, we will experience growth through increased lending and investment
activities and, possibly, acquisitions. We currently have no understandings or agreements to
acquire other banks, thrifts, or other financial services companies.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Initially, the net proceeds we retain will be invested in short-term investments,
investment-grade debt obligations and mortgage-backed securities.
</DIV>
<DIV align="left">
<A name="136"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OUR POLICY REGARDING DIVIDENDS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following completion of the stock offering, our board of directors will have the authority to
declare dividends on our shares of common stock, subject to statutory and regulatory requirements.
However, no decision has been made with respect to the payment of dividends. In determining whether
to pay a cash dividend and the amount of such cash dividend, the board of directors is expected to
take into account a number of factors, including capital requirements, our financial condition and
results of operations, tax considerations, statutory and regulatory limitations and general
economic conditions. No assurances can be given that any dividends will be paid or that, if paid,
will not be reduced or eliminated
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">in the future. Special cash dividends, stock dividends or returns of capital, to the extent
permitted by Office of Thrift Supervision policy and regulations, may be paid in addition to, or in
lieu of, regular cash dividends. We will file a consolidated tax return with OmniAmerican Bank.
Accordingly, it is anticipated that any cash distributions made by us to our stockholders would be
treated as cash dividends and not as a non-taxable return of capital for federal and state tax
purposes. Additionally, pursuant to Office of Thrift Supervision regulations, during the
three-year period following the stock offering, we will not take any action to declare an
extraordinary dividend to stockholders that would be treated by recipients as a tax-free return of
capital for federal income tax purposes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to our Articles of Incorporation, we are authorized to issue preferred stock. If we
issue preferred stock, the holders thereof may have a priority over the holders of our shares of
common stock with respect to the payment of dividends. For a further discussion concerning the
payment of dividends on our shares of common stock, see &#147;Description of Capital Stock&#151;Common
Stock.&#148; Dividends we can declare and pay will depend, in part, upon receipt of dividends from
OmniAmerican Bank, because initially we will have no source of income other than dividends from
OmniAmerican Bank, earnings from the investment of proceeds from the sale of shares of common
stock, and interest payments received in connection with the loan to the employee stock ownership
plan. A regulation of the Office of Thrift Supervision imposes limitations on &#147;capital
distributions&#148; by savings institutions. See &#147;Supervision and Regulation&#151;Federal Banking
Regulation&#151;Capital Distributions.&#148;
</DIV>
<DIV align="left">
<A name="137"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>MARKET FOR THE COMMON STOCK</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have never issued capital stock and there is no established market for our shares of common
stock. We expect that, depending on the number of shares we sell, our shares of common stock will
be traded on the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol &#147;OABC,&#148;
subject to completion of the offering and compliance with certain conditions, including the
presence of at least three registered and active market makers. Keefe Bruyette &#038; Woods, Inc. has
advised us that it intends to make a market in shares of our common stock following the offering,
but it is under no obligation to do so or to continue to do so once it begins. While we will
attempt before completion of the offering to obtain commitments from at least two other
broker-dealers to make a market in shares of our common stock, there can be no assurance that we
will be successful in obtaining such commitments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The development and maintenance of a public market, having the desirable characteristics of
depth, liquidity and orderliness, depends on the existence of willing buyers and sellers, the
presence of which is not within our control or that of any market maker. The number of active
buyers and sellers of shares of our common stock at any particular time may be limited, which may
have an adverse effect on the price at which shares of our common stock can be sold. There can be
no assurance that persons purchasing the shares of common stock will be able to sell their shares
at or above the $10.00 offering purchase price per share. You should have a long-term investment
intent if you purchase shares of our common stock and you should recognize that there may be a
limited trading market in the shares of common stock.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->33<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="138"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>HISTORICAL AND PRO FORMA REGULATORY CAPITAL COMPLIANCE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, OmniAmerican Bank exceeded all of the applicable regulatory capital
requirements. The table below sets forth the historical equity capital and regulatory capital of
OmniAmerican Bank at June&nbsp;30, 2009, and the pro forma regulatory capital of OmniAmerican Bank,
after giving effect to the sale of shares of common stock at a $10.00 per share purchase price.
The table assumes the receipt by OmniAmerican Bank of at least 50% of the net offering proceeds.
See &#147;How We Intend to Use the Proceeds from the Offering.&#148;
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>OmniAmerican Bank</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="30" style="border-bottom: 1px solid #000000"><B>Pro Forma at June 30, 2009, Based Upon the Sale in the Offering of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Historical at June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>7,650,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>9,000,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>10,350,000 Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>11,902,500 Shares (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Assets (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Assets (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>of Assets (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Assets (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Assets (2)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="38"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.69</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">121,127</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.26</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">126,719</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.71</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">132,311</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">138,743</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.66</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tangible capital (3)(4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">113,326</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.62</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">118,918</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">124,510</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">130,942</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.03</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tangible requirement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,458</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,013</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,113</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,213</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,328</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Excess</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">97,313</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">9.12</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">102,805</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">9.57</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">108,297</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.02</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">114,613</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.53</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Core capital (3)(4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">113,326</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.62</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">118,918</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">124,510</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">130,942</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.03</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Core requirement (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,222</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,701</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,968</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,235</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Excess</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">41,243</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,625</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.62</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">75,950</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">7.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">81,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">7.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">87,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.03</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tier 1 risk-based
capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">113,326</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">14.84</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">118,918</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">15.51</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">124,510</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">16.17</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">130,942</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">16.92</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Risk-based requirement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,799</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,538</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,672</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,805</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,959</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Excess</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">52,666</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">7.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.84</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,246</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">11.51</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">93,705</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.17</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">99,983</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.92</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total risk-based
capital (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">91,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">12.25</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">122,148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">16.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">127,740</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">16.66</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">133,332</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">17.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">139,764</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">18.06</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Risk-based requirement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,597</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,076</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,343</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,917</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Excess</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">31,690</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.25</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">61,072</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">66,397</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.66</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">71,722</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">9.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">77,847</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.06</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD colspan="1" align="left"><DIV style="margin-left:30px; text-indent:-15px">Reconciliation
of capital infused into OmniAmerican Bank:</DIV></TD>
<TD colspan="8" align="left">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">

<TD colspan="1" align="left"><DIV style="margin-left:30px; text-indent:-15px">Net
proceeds</DIV></TD>
<TD colspan="8" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,981</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">43,653</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50,325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">57,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD colspan="1" align="left"><DIV style="margin-left:30px; text-indent:-15px">Less:
Common stock acquired by employee stock ownership plan</DIV></TD>
<TD colspan="8" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">

<TD colspan="1" align="left"><DIV style="margin-left:30px; text-indent:-15px">Pro
forma increase</DIV></TD>
<TD colspan="8" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">30,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,453</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">42,045</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">48,477</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>As adjusted to give effect to an increase in the number of shares which could occur due to a
15% increase in the offering range to reflect demand for the shares or changes in market
conditions following the commencement of the offering.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>The current Office of Thrift Supervision core capital requirement for financial institutions
is 3% of total adjusted assets for financial institutions that receive the highest supervisory
rating for safety and soundness and a 4% to 5% core capital ratio requirement for all other
financial institutions.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Tangible and core capital levels are shown as a percentage of total adjusted assets.
Risk-based capital levels are shown as a percentage of risk-weighted assets.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Pro forma capital levels assume that the employee stock ownership plan purchases 8% of the
shares of common stock to be outstanding immediately following the stock offering with funds
we lend. Pro forma GAAP and regulatory capital have been reduced by the amount required to
fund this plan. See &#147;Management of OmniAmerican Bancorp, Inc.&#148; for a discussion of the
employee stock ownership plan.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Pro forma amounts and percentages assume net proceeds are invested in assets that carry a 50%
risk weighting.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->34<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="left">
<A name="139"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CAPITALIZATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents the historical capitalization of OmniAmerican Bank at June&nbsp;30,
2009 and the pro forma consolidated capitalization of OmniAmerican Bancorp, Inc., after giving
effect to the conversion and the offering, based upon the assumptions set forth in the &#147;Pro Forma
Data&#148; section.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>OmniAmerican Bancorp, Inc. Pro Forma,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>OmniAmerican Bank</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Based Upon the Sale in the Offering at $10.00 per Share of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Historical at June</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>7,650,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>9,000,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>10,350,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>11,902,500</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deposits (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total deposits and borrowed funds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">935,731</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">935,731</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">935,731</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">935,731</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">935,731</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Preferred stock $0.01 par value,
50,000,000 shares authorized; none
issued or outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Common stock $0.01 par value,
100,000,000 shares authorized;
assuming shares outstanding as
shown (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">119</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Additional paid-in capital (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,885</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,215</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,547</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,878</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Retained earnings (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accumulated other comprehensive
loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Common stock to be acquired by
employee stock ownership plan (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Common stock to be acquired by
stock-based benefit plans (7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,060</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,600</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,761</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total stockholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">155,048</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">166,771</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">178,497</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">191,980</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total stockholders&#146; equity as a
percentage of total assets (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.69</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">14.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">14.96</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">15.84</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">16.84</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>As adjusted to give effect to an increase in the number of shares of common stock that
could occur due to a 15% increase in the offering range to reflect demand for shares or
changes in market conditions following the commencement of the subscription and community
offerings.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Does not reflect withdrawals from deposit accounts for the purchase of shares of common
stock in the conversion and offering. These withdrawals would reduce pro forma deposits
and assets by the amount of the withdrawals.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>No effect has been given to the issuance of additional shares of OmniAmerican Bancorp, Inc.
common stock pursuant to one or more stock-based benefit plans. If these plans are
implemented within 12&nbsp;months following the completion of the stock offering, an amount up to
10% and 4% of the shares of OmniAmerican Bancorp, Inc. common stock sold in the offering will
be reserved for issuance upon the exercise of stock options and for issuance as restricted
stock awards, respectively. See &#147;Management of OmniAmerican Bancorp, Inc.&#148;</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>The sum of the par value of the total shares outstanding and additional paid-in capital
equals the net stock offering proceeds at the offering price of $10.00 per share.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See &#147;Our Policy Regarding Dividends,&#148; &#147;The Conversion; Plan of
Distribution&#151;Liquidation Rights&#148; and &#147;Supervision and Regulation.&#148;</TD>
</TR>

</TABLE>



<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><I>(footnotes continue on following page)</I>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->35<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>(continued from previous page)</I>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 6pt; width: 18%; border-top: 0px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Assumes that 8% of the shares sold in the offering will be acquired by the employee stock
ownership plan financed by a loan from OmniAmerican Bancorp, Inc. The loan will be repaid
principally from OmniAmerican Bank&#146;s contributions to the employee stock ownership plan.
Since OmniAmerican Bancorp, Inc. will finance the employee stock ownership plan debt, this
debt will be eliminated through consolidation and no asset or liability will be reflected
on OmniAmerican Bancorp, Inc.&#146;s consolidated financial statements. Accordingly, the
amount of shares of common stock acquired by the employee stock ownership plan is shown in
this table as a reduction of total stockholders&#146; equity.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(7)</TD>
    <TD>&nbsp;</TD>
    <TD>Assumes a number of shares of common stock equal to 4% of the shares of common stock to
be sold in the offering will be purchased for grant by one or more stock-based benefit
plans in open market purchases. The dollar amount of common stock to be purchased is
based on the $10.00 per share subscription price in the offering and represents unearned
compensation. This amount does not reflect possible increases or decreases in the value of
common stock relative to the subscription price in the offering. As OmniAmerican Bancorp,
Inc. accrues compensation expense to reflect the vesting of shares pursuant to the
stock-based benefit plans, the credit to equity will be offset by a charge to noninterest
expense. Implementation of the stock stock-based benefit plans will require stockholder
approval. The funds to be used by the stock-based benefit plans will be provided by
OmniAmerican Bancorp, Inc.</TD>
</TR>

</TABLE>



<P align="center" style="font-size: 10pt"><!-- Folio -->36<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="140"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PRO FORMA DATA</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following tables summarize historical data of OmniAmerican Bank and pro forma data of
OmniAmerican Bancorp, Inc. at and for the six months ended June&nbsp;30, 2009 and the year ended
December&nbsp;31, 2008. This information is based on assumptions set forth below and in the table, and
should not be used as a basis for projections of market value of the shares of common stock
following the conversion and offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The net proceeds in the tables are based upon the following assumptions:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>all shares of common stock will be sold in the subscription and community offerings;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>175,000 shares of common stock will be purchased by our executive officers and
directors, and their associates;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our employee stock ownership plan will purchase 8% of the shares of common stock
sold in the stock offering with a loan from OmniAmerican Bancorp, Inc. The loan will
be repaid in substantially equal payments of principal and interest over a period of 25
years;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Keefe Bruyette &#038; Woods, Inc. will receive a fee equal to 1.25% of the dollar amount
of the shares of common stock sold in the stock offering. Shares purchased by our
employee benefit plans or by our officers, directors and employees, and their immediate
families will not be included in calculating the shares of common stock sold for this
purpose; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>expenses of the stock offering, other than fees and expenses to be paid to Keefe
Bruyette &#038; Woods, Inc., will be $1.6&nbsp;million.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We calculated pro forma consolidated net income for the six months ended June&nbsp;30, 2009 and the
year ended December&nbsp;31, 2008 as if the estimated net proceeds we received had been invested at an
assumed interest rate of 1.64% and 1.00%, respectively (1.08% and 0.66% on an after-tax basis).
This represents the three-year United States Treasury Note as of June&nbsp;30, 2009 and December&nbsp;31,
2008, which, in light of current market interest rates, we consider to more accurately reflect the
pro forma reinvestment rate than the arithmetic average of the weighted average yield earned on our
interest-earning assets and the weighted average rate paid on our deposits, which is the
reinvestment rate generally required by Office of Thrift Supervisions regulations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We calculated historical and pro forma per share amounts by dividing historical and pro forma
amounts of consolidated net income and stockholders&#146; equity by the indicated number of shares of
common stock. We adjusted these figures to give effect to the shares of common stock purchased by
the employee stock ownership plan. We computed per share amounts for each period as if the shares
of common stock were outstanding at the beginning of each period, but we did not adjust per share
historical or pro forma stockholders&#146; equity to reflect the earnings on the estimated net proceeds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The pro forma tables give effect to the implementation of stock-based benefit plans. Subject
to the receipt of stockholder approval, we have assumed that the stock-based benefit plans will
acquire for restricted stock awards a number of shares of common stock equal to 4% of our
outstanding shares of common stock at the same price for which they were sold in the stock
offering. We assume that shares of common stock are granted under the plans in awards that vest
over a five-year period.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->37<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have also assumed that the stock-based benefit plans will grant options to acquire shares
of common stock equal to 10% of our outstanding shares of common stock. In preparing the tables
below, we assumed that stockholder approval was obtained, that the exercise price of the stock
options and the market price of the stock at the date of grant were $10.00 per share and that the
stock options had a term of ten years and vested over five years. We applied the Black-Scholes
option pricing model to estimate a grant-date fair value of $4.98 for each option. In addition to
the terms of the options described above, the Black-Scholes option pricing model assumed an
estimated volatility rate of 32.17% for the shares of common stock, a dividend yield of 0.0%, an
expected option life of ten years and a risk-free interest rate of 3.53%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may grant options and award shares of common stock under one or more stock-based benefit
plans in excess of 10% and 4%, respectively, of our total outstanding shares if the stock-based
benefit plans are adopted more than one year following the stock offering. In addition, we may
grant options and award shares that vest sooner than over a five-year period if the stock-based
benefit plans are adopted more than one year following the stock offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As discussed under &#147;How We Intend to Use the Proceeds from the Stock Offering,&#148; we intend to
contribute at least 50% of the net proceeds from the stock offering to OmniAmerican Bank, and we
will retain the remainder of the net proceeds from the stock offering. We will use a portion of
the proceeds we retain for the purpose of making a loan to the employee stock ownership plan and
retain the rest of the proceeds for future use.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The pro forma table does not give effect to:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>withdrawals from deposit accounts for the purpose of purchasing shares of common
stock in the stock offering;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our results of operations after the stock offering; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>changes in the market price of the shares of common stock after the stock offering.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following pro forma information may not represent the financial effects of the stock
offering at the date on which the stock offering actually occurs and you should not use the table
to indicate future results of operations. Pro forma stockholders&#146; equity represents the difference
between the stated amount of our assets and liabilities, computed in accordance with GAAP. We did
not increase or decrease stockholders&#146; equity to reflect the difference between the carrying value
of loans and other assets and their market value. Pro forma stockholders&#146; equity is not intended
to represent the fair market value of the shares of common stock and may be different than the
amounts that would be available for distribution to stockholders if we liquidated. Pro forma
stockholders&#146; equity does not give effect to the impact of intangible assets or the liquidation
account we will establish in the conversion in the unlikely event we are liquidated.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->38<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>At or For the Six Months Ended June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Based Upon the Sale at $10.00 Per Share of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>7,650,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>9,000,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>10,350,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>11,902,500</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>(Dollars in thousands, except per share amounts)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross Proceeds of Offering</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">103,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">119,025</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,539</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,695</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,850</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,028</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,961</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,305</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,997</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: Common stock purchased by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,060</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,600</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,761</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net cash proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">64,781</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,230</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">101,714</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>For the Six Months Ended June&nbsp;30, 2009</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consolidated net income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma income on net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">351</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">414</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">478</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">551</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma ESOP adjustment(2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(81</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(95</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(110</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(126</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock award adjustment (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(202</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(238</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(273</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(314</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock option adjustment (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(349</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(410</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(472</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(543</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">178</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">130</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Per share net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.07</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.04</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma income on net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.05</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma ESOP adjustment (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.01</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.01</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.01</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.01</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock award adjustment (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.03</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.03</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.03</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.03</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock option adjustment (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.05</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.05</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.05</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.05</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma net income per share (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.03</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.02</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.01</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.00</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Offering price as a multiple of pro forma
net earnings per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">166.67</TD>
    <TD>x&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">250.00</TD>
    <TD>x&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">500.00</TD>
    <TD>x&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="1" align="right">NM</TD>
    <TD>(7)&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares outstanding for pro forma net
income per share calculations (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,050,240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,294,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,538,560</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,969,344</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>At June&nbsp;30, 2009</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,961</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,305</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,997</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock acquired by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3) (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,060</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,600</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,761</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma stockholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">155,047</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">166,771</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">178,496</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">191,980</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity per share:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10.03</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7.58</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.70</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.75</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock acquired by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3) (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma stockholders&#146; equity per share (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">20.27</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">18.53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">17.24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16.13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Offering price as percentage of pro forma
stockholders&#146; equity per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">49.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">53.97</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">58.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">62.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares outstanding for pro forma book value
per share calculations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,650,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,350,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,902,500</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->39<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>(Footnotes from previous page)</I>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>As adjusted to give effect to an increase in the number of shares which could occur due
to a 15% increase in the offering range to reflect demand for the shares or changes in
market conditions following the commencement of the offering.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Assumes that 8% of shares of common stock sold in the offering will be purchased by the
employee stock ownership plan. For purposes of this table, the funds used to acquire
these shares are assumed to have been borrowed by the employee stock ownership plan from
OmniAmerican Bancorp, Inc. OmniAmerican Bank intends to make annual contributions to the
employee stock ownership plan in an amount at least equal to the required principal and
interest payments on the debt. OmniAmerican Bank&#146;s total annual payments on the employee
stock ownership plan debt are based upon 25 equal annual installments of principal and
interest. Statement of Position 93-6, &#147;Employers&#146; Accounting for Employee Stock Ownership
Plans&#148; (&#147;SOP 93-6&#148;), requires that an employer record compensation expense in an amount
equal to the fair value of the shares committed to be released to employees. The pro
forma adjustments assume that the employee stock ownership plan shares are allocated in
equal annual installments based on the number of loan repayment installments assumed to be
paid by OmniAmerican Bank, the fair value of the common stock remains equal to the
subscription price and the employee stock ownership plan expense reflects an effective
combined federal and state tax rate of 34.0%. The unallocated employee stock ownership
plan shares are reflected as a reduction of stockholders&#146; equity. No reinvestment is
assumed on proceeds contributed to fund the employee stock ownership plan. The pro forma
net income further assumes that 12,240, 14,400, 16,560 and 19,044 shares were committed to
be released during the six months ended June&nbsp;30, 2009 at the minimum, midpoint, maximum,
and adjusted maximum of the offering range, respectively, and in accordance with SOP 93-6,
only the employee stock ownership plan shares committed to be released during the period
were considered outstanding for purposes of income per share calculations.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>If approved by OmniAmerican Bancorp, Inc.&#146;s stockholders, one or more stock-based benefit
plans plan may purchase an aggregate number of shares of common stock equal to 4% of the
shares to be sold in the offering (or possibly a greater number of shares if the plan is
implemented more than one year after completion of the conversion). Stockholder approval
of the stock-based benefit plans, and purchases by the plan may not occur earlier than six
months after the completion of the conversion. The shares may be acquired directly from
OmniAmerican Bancorp, Inc. or through open market purchases. The funds to be used by the
stock-based benefit plans to purchase the shares will be provided by OmniAmerican Bancorp,
Inc. The table assumes that (i)&nbsp;the stock-based benefit plans acquire the shares through
open market purchases at $10.00 per share, (ii)&nbsp;20% of the amount contributed to the
stock-based benefit plans is amortized as an expense during the fiscal year and (iii)&nbsp;the
stock-based benefit plans expense reflects an effective combined federal and state tax
rate of 34%. Assuming stockholder approval of the stock-based benefit plans and that
shares of common stock (equal to 4% of the shares sold in the offering) are awarded
through the use of authorized but unissued shares of common stock, stockholders would have
their ownership and voting interests diluted by approximately 3.8%.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>If approved by OmniAmerican Bancorp, Inc.&#146;s stockholders, one of more stock-based benefit
plans may grant options to acquire an aggregate number of shares of common stock equal to
10% of the shares to be sold in the offering (or possibly a greater number of shares if
the plan is implemented more than one year after completion of the conversion).
Stockholder approval of the stock-based benefit plans may not occur earlier than six
months after the completion of the conversion. In calculating the pro forma effect of the
stock options to be granted under stock-based benefit plans, it is assumed that the
exercise price of the stock options and the trading price of the common stock at the date
of grant were $10.00 per share, the estimated grant-date fair value determined using the
Black-Scholes option pricing model was $4.98 for each option, the aggregate grant-date
fair value of the stock options was amortized to expense on a straight-line basis over a
five-year vesting period of the options. The actual expense of the stock options to be
granted under the stock-based benefit plans will be determined by the grant-date fair
value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted. Under the above
assumptions, the adoption of the stock-based benefit plans will result in no additional
shares under the treasury stock method for purposes of calculating earnings per share.
There can be no assurance that the actual exercise price of the stock options will be
equal to the $10.00 price per share. If a portion of the shares to satisfy the exercise
of options under the stock-based benefit plans is obtained from the issuance of authorized
but unissued shares, our net income per share and stockholders&#146; equity per share would
decrease. Assuming stockholder approval of the stock-based benefit plans and that shares
of common stock used to fund stock options (equal to 10% of the shares sold in the
offering) are awarded through the use of authorized but unissued shares of common stock,
stockholders would have their ownership and voting interests diluted by approximately
9.1%.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Income per share computations are determined by taking the number of shares assumed to be
sold in the offering and, in accordance with SOP 93-6, subtracting the employee stock
ownership plan shares that have not been committed for release during the period and
subtracting non-vested stock awards granted under one or more stock-based benefit plans.
See note 2, above.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See &#147;Our Policy Regarding Dividends,&#148; &#147;The Conversion; Plan of
Distribution&#151;Liquidation Rights&#148; and &#147;Supervision and Regulation.&#148; The number of shares
used to calculate pro forma stockholders&#146; equity per share is equal to the total number of
shares to be outstanding upon completion of the offering.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(7)</TD>
    <TD>&nbsp;</TD>
    <TD>NM is not meaningful.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->40<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>At or For the Year Ended December 31, 2008</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Based Upon the Sale at $10.00 Per Share of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>7,650,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>9,000,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>10,350,000</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>11,902,500</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares (1)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>(Dollars in thousands, except per share amounts)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross Proceeds of Offering</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">103,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">119,025</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,539</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,695</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,850</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,028</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,961</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,305</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,997</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: Common stock purchased by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,060</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,600</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,761</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net cash proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">64,781</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,230</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">101,714</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>For the Year Ended December&nbsp;31, 2008</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consolidated net income (loss):</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma income on net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">582</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">671</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma
ESOP adjustment (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(162</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(190</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(219</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(251</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock award adjustment (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(404</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(475</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(546</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(628</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock option adjustment (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(697</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(820</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(943</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,085</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma net income (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(191</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(336</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(482</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(649</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Per share net income (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.09</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.07</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma income on net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.06</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma ESOP adjustment (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.02</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.02</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.02</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.02</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock award adjustment (3)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.06</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.06</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.06</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.06</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pro forma stock option adjustment (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.10</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.10</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.10</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.10</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma net income (loss)&nbsp;per share (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(0.03</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(0.04</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(0.05</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(0.06</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Offering price as a multiple of pro forma
net earnings per share(7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="right">NM</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="right">NM</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="right">NM</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="right">NM</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares outstanding for pro forma net
income (loss)&nbsp;per share calculations (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,062,480</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,308,800</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,555,120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,988,388</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>At December&nbsp;31, 2008</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,961</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87,305</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,997</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock acquired by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,120</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,200</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,280</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,522</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3) (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,060</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,600</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,761</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma stockholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">154,110</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">165,834</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">177,559</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">191,043</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity per share:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Historical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11.68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7.51</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Estimated net proceeds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.70</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9.75</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock acquired by ESOP (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.80</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less: Common stock awarded under stock-based
benefit plans (3) (4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(0.40</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Pro forma stockholders&#146; equity per share (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">20.15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">18.43</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">17.15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16.06</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Offering price as percentage of pro forma
stockholders&#146; equity per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">49.63</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">54.26</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">58.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">62.27</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of shares outstanding for pro forma book value
per share calculations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,650,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,350,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,902,500</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><I>(footnotes begin on following page)</I>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->41<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>(Footnotes from previous page)</I>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>As adjusted to give effect to an increase in the number of shares which could occur due
to a 15% increase in the offering range to reflect demand for the shares or changes in
market conditions following the commencement of the offering.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Assumes that 8% of shares of common stock sold in the offering will be purchased by the
employee stock ownership plan. For purposes of this table, the funds used to acquire
these shares are assumed to have been borrowed by the employee stock ownership plan from
OmniAmerican Bancorp, Inc. OmniAmerican Bank intends to make annual contributions to the
employee stock ownership plan in an amount at least equal to the required principal and
interest payments on the debt. OmniAmerican Bank&#146;s total annual payments on the employee
stock ownership plan debt are based upon 25 equal annual installments of principal and
interest. Statement of Position 93-6, &#147;Employers&#146; Accounting for Employee Stock Ownership
Plans&#148; (&#147;SOP 93-6&#148;), requires that an employer record compensation expense in an amount
equal to the fair value of the shares committed to be released to employees. The pro
forma adjustments assume that the employee stock ownership plan shares are allocated in
equal annual installments based on the number of loan repayment installments assumed to be
paid by OmniAmerican Bank, the fair value of the common stock remains equal to the
subscription price and the employee stock ownership plan expense reflects an effective
combined federal and state tax rate of 34.0%. The unallocated employee stock ownership
plan shares are reflected as a reduction of stockholders&#146; equity. No reinvestment is
assumed on proceeds contributed to fund the employee stock ownership plan. The pro forma
net income further assumes that 24,480, 28,800, 33,120 and 38,088 shares were committed to
be released during the year at the minimum, midpoint, maximum, and adjusted maximum of the
offering range, respectively, and in accordance with SOP 93-6, only the employee stock
ownership plan shares committed to be released during the period were considered
outstanding for purposes of income per share calculations.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>If approved by OmniAmerican Bancorp, Inc.&#146;s stockholders, one or more stock-based benefit
plans plan may purchase an aggregate number of shares of common stock equal to 4% of the
shares to be sold in the offering (or possibly a greater number of shares if the plan is
implemented more than one year after completion of the conversion). Stockholder approval
of the stock-based benefit plans, and purchases by the plan may not occur earlier than six
months after the completion of the conversion. The shares may be acquired directly from
OmniAmerican Bancorp, Inc. or through open market purchases. The funds to be used by the
stock-based benefit plans to purchase the shares will be provided by OmniAmerican Bancorp,
Inc. The table assumes that (i)&nbsp;the stock-based benefit plans acquire the shares through
open market purchases at $10.00 per share, (ii)&nbsp;20% of the amount contributed to the
stock-based benefit plans is amortized as an expense during the fiscal year and (iii)&nbsp;the
stock-based benefit plans expense reflects an effective combined federal and state tax
rate of 34.0%. Assuming stockholder approval of the stock-based benefit plans and that
shares of common stock (equal to 4% of the shares sold in the offering) are awarded
through the use of authorized but unissued shares of common stock, stockholders would have
their ownership and voting interests diluted by approximately 3.8%.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>If approved by OmniAmerican Bancorp, Inc.&#146;s stockholders, one of more stock-based benefit
plans may grant options to acquire an aggregate number of shares of common stock equal to
10% of the shares to be sold in the offering (or possibly a greater number of shares if
the plan is implemented more than one year after completion of the conversion).
Stockholder approval of the stock-based benefit plans may not occur earlier than six
months after the completion of the conversion. In calculating the pro forma effect of the
stock options to be granted under stock-based benefit plans, it is assumed that the
exercise price of the stock options and the trading price of the common stock at the date
of grant were $10.00 per share, the estimated grant-date fair value determined using the
Black-Scholes option pricing model was $4.98 for each option, the aggregate grant-date
fair value of the stock options was amortized to expense on a straight-line basis over a
five-year vesting period of the options. The actual expense of the stock options to be
granted under the stock-based benefit plans will be determined by the grant-date fair
value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted. Under the above
assumptions, the adoption of the stock-based benefit plans will result in no additional
shares under the treasury stock method for purposes of calculating earnings per share.
There can be no assurance that the actual exercise price of the stock options will be
equal to the $10.00 price per share. If a portion of the shares to satisfy the exercise
of options under the stock-based benefit plans is obtained from the issuance of authorized
but unissued shares, our net income per share and stockholders&#146; equity per share would
decrease. Assuming stockholder approval of the stock-based benefit plans and that shares
of common stock used to fund stock options (equal to 10% of the shares sold in the
offering) are awarded through the use of authorized but unissued shares of common stock,
stockholders would have their ownership and voting interests diluted by approximately
9.1%.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Income per share computations are determined by taking the number of shares assumed to be
sold in the offering and, in accordance with SOP 93-6, subtracting the employee stock
ownership plan shares that have not been committed for release during the period and
subtracting non-vested stock awards granted under one or more stock-based benefit plans.
See note 2, above.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See &#147;Our Policy Regarding Dividends,&#148; &#147;The Conversion; Plan of
Distribution&#151;Liquidation Rights&#148; and &#147;Supervision and Regulation.&#148; The number of shares
used to calculate pro forma stockholders&#146; equity per share is equal to the total number of
shares to be outstanding upon completion of the offering.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(7)</TD>
    <TD>&nbsp;</TD>
    <TD>NM is not meaningful.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->42<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="left">
<A name="141"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION<BR>
AND RESULTS OF OPERATIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This section is intended to help potential investors understand our financial performance
through a discussion of the factors affecting our financial condition at June&nbsp;30, 2009, December
31, 2008 and 2007, and our results of operations for the six months ended June&nbsp;30, 2009 and 2008
and the years ended December&nbsp;31, 2008, 2007 and 2006. This section should be read in conjunction
with the financial statements and notes to the financial statements that appear elsewhere in this
prospectus. OmniAmerican Bancorp, Inc. did not exist at June&nbsp;30, 2009; therefore, the information
reflected in this section reflects the financial performance of OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Overview</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our results of operations depend mainly on our net interest income, which is the difference
between the interest income we earn on our loan and investment portfolios and the interest expense
we pay on our deposits and borrowings. Results of operations are also affected by service charges
and other fees, provision for loan losses, commissions, gains (losses)&nbsp;on sales of securities and
loans and other income. Our noninterest expense consists primarily of salaries and benefits,
operations, occupancy, professional services, loan servicing expense, marketing and income tax
expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our results of operations are also significantly affected by general economic and competitive
conditions (such as changes in energy prices which have an impact on the Texas economy), as well as
changes in interest rates, government policies and actions of regulatory authorities. Future
changes in applicable law, regulations or government policies may materially affect our financial
condition and results of operations. In recent periods, increases in computer fraud affecting our
operations and the operations of third party providers have increased our costs of doing business.
See &#147;Risk Factors&#148; beginning on page 16.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior to our conversion to a federal savings bank in 2006, we operated as a Texas chartered
credit union, concentrating our lending efforts on the origination of consumer loans, primarily the
origination of indirect automobile loans. Since our conversion to a federal savings bank, we have
changed the relative composition of our loan portfolio by emphasizing the origination of one- to
four-family residential mortgage loans, commercial business loans, commercial real estate loans and
real estate construction loans. As a result, between December&nbsp;31, 2004 and June&nbsp;30, 2009, our
consumer loans as a percentage of total loans decreased from 71.7% to 33.9%. We have significantly
increased our personnel, systems and administration to support the growth of our one- to
four-family residential mortgage, commercial real estate and commercial business lending activity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Business Strategy</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary objective is to remain an independent, community-oriented financial institution
serving customers in our primary market areas. Our board of directors has sought to accomplish
this objective by adopting a business strategy designed to maintain profitability, a strong capital
position and high asset quality. This business strategy includes the following elements:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Diversifying our loan portfolio by emphasizing the origination of one- to four-family
residential mortgage loans, commercial real estate loans and commercial business loans. </I></B>Our
strategy for increasing net income includes increasing our loan production and continuing to
diversify our loan composition. We intend to continue to emphasize the origination and purchase of
one- to four-family residential mortgage loans, and the origination of commercial real estate loans
and commercial business loans, which increased to 35.5%, 13.0% and 8.4%, respectively, of our
total loans at June&nbsp;30, 2009, from
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->43<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">17.7%, 5.0% and 1.6% of our total loans at December&nbsp;31, 2004. During 2008 and 2007, we also
entered into a number of commercial business loan participations. At June&nbsp;30, 2009, our commercial
business loan participations totaled $47.4&nbsp;million. In the future, we intend to focus our
commercial business lending on the origination of small to medium size business loans in our local
market area. By contrast, consumer loans decreased to 33.9% of our total loans at June&nbsp;30, 2009,
compared to 71.7% of our total loans at December&nbsp;31, 2004. We anticipate the total dollar amount of
our consumer loans to remain stable in the near term. The increase in our one- to four-family
residential mortgage loans reflects the demand for these loans in our primary market areas. The
increases in commercial real estate loans and commercial business loans reflect our emphasis on
this type of lending. We anticipate that our commercial business and commercial real estate
portfolios will increase in connection with the growth of our wealth management services group.
Commercial real estate loans and commercial business loans generally are originated with higher
interest rates compared to one- to four-family residential mortgage loans and, therefore, have a
positive effect on our net interest rate spread and net interest income. In addition, the majority
of these loans are originated with adjustable interest rates, which assist us in managing interest
rate risk.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Continuing conservative underwriting guidelines and aggressive monitoring of our loan
portfolio in order to maintain asset quality</I></B>. Our asset quality is reflected in our ratio of
non-performing assets to total assets, which was 0.60%, 0.59% and 0.35% at June&nbsp;30, 2009, December
31, 2008 and 2007, respectively. We introduce loan products only when we are confident that our
staff has the necessary expertise and that sound underwriting and collection procedures are in
place. For example, a relatively high percentage of our loan portfolio consists of consumer loans
which are generally considered to have higher risk than owner occupied one- to four-family
residential loans. For the six months and twelve months ended June&nbsp;30, 2009 and December&nbsp;31, 2008,
our average ratio of losses from consumer loans to average total loans was 0.37% and 0.29% of the
average loan portfolio, respectively. Our credit and collections department actively monitors the
performance of our consumer and residential mortgage loan portfolios. When a loan becomes past
due, we promptly contact the borrower by telephone or by written communication. During each
personal contact, the borrower is required to provide updated information and is counseled on the
terms of the loan and the importance of making payments on or before the due date. With respect to
our commercial real estate and commercial business lending, collection efforts are carried out
directly by our commercial loan officers. Commercial loan officers review past due accounts weekly
and promptly contact delinquent borrowers. Past due notices are typically sent to commercial real
estate customers and commercial business customers at 15&nbsp;days past due.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Emphasizing lower cost core deposits to reduce the funding costs of our loan growth. </I></B>We offer
interest-bearing and non-interest-bearing demand accounts, money market accounts and savings
accounts (collectively referred to as core deposits), which generally are lower-cost sources of
funds than certificates of deposits, and are less sensitive to withdrawal when interest rates
fluctuate. At June&nbsp;30, 2009, 54.35% of our total deposits consisted of these lower cost core
deposits. For the six months ended June&nbsp;30, 2009 and the years ended December&nbsp;31, 2008, 2007 and
2006, average core deposits represented 54.35%, 53.71%, 57.23% and 60.12%, respectively, of average
total deposits. We intend to continue emphasizing our core deposits as a source of funding. In this
regard, we generally require that commercial banking borrowers open checking accounts with us at
the time they establish a borrowing relationship with us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Managing interest rate risk. </I></B>As with most financial institutions, successfully managing
interest rate risk is an integral part of our business strategy. Management and the board of
directors evaluate the interest rate risk inherent in our assets and liabilities, and determine the
level of risk that is appropriate and consistent with our capital levels, liquidity and performance
objectives. In particular, during the current low interest rate environment we have sought to
minimize the risk of originating long-term fixed rate loans by selling into the secondary market,
and in particular selling to Fannie Mae all qualifying one-
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->44<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">to four- family fixed-rate residential mortgage loans with terms in excess of 15&nbsp;years. In
addition, we have a significant percentage of our loan portfolio in commercial business loans and
consumer loans which generally have shorter terms and provide higher yields than one- to four-
family residential mortgage loans. We also monitor our deposits, a majority of which have been
lower cost core deposits. Our strategy is to continue managing interest rate risk in response to
changes in the local and national economy and to increase our assets as we deploy the proceeds from
the offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Increasing our sources of noninterest income. </I></B>We offer a variety of insurance and investment
products through a third party brokerage agreement. We expect these fees to increase as we grow the
wealth management services portion of our business. Fees generated from these services increase our
noninterest income and reduce our exposure to interest rate fluctuations that may cause a reduction
in net interest income. In particular, we have sought to increase our fee income by offering our
customers incentives for debit card usage and increasing the number of our business deposit
accounts as we grow our commercial loan portfolio. We also receive fees from the sale of fixed-rate
loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Implementing a controlled growth strategy. </I></B>We believe our infrastructure, personnel and fixed
operating base can support a substantially larger institution. Following the completion of the
offering, we intend to use our capital to grow organically and we may use a portion of the net
proceeds of the offering to pursue future acquisitions of commercial banks, savings institutions,
financial services companies and branch offices of such companies, including possible supervisory
acquisitions. We have no current arrangements or agreements with respect to any such acquisitions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The successful implementation of these strategies will allow us to offer our clients a full
range of deposit and loan products. In addition, we have begun offering wealth management services
to individuals in our market area. Our goal is to have full relationship banking with our clients.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Anticipated Increase in Noninterest Expense</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the completion of the conversion and offering, we anticipate that our noninterest
expense will increase as a result of the increased costs associated with managing a public company,
increased compensation expenses associated with the purchases of shares of common stock by our
employee stock ownership plan, and the adoption of one or more stock-based incentive plans, if
approved by OmniAmerican Bancorp, Inc.&#146;s stockholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Assuming that the adjusted maximum number of shares are sold in the offering:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our employee stock ownership plan would acquire 952,200 shares of common stock
with a $9.5&nbsp;million loan that is expected to be repaid over 25&nbsp;years, resulting in
an annual pre-tax expense of approximately $476,100 (assuming that the common stock
maintains a value of $10.00 per share);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our stock option plan would grant options to purchase shares equal to 10% of the
total shares issued in the offering, or 1,190,250 shares, to eligible participants,
which would result in compensation expense over the vesting period of the options.
Assuming the market price of the common stock is $10.00 per share; all options are
granted with an exercise price of $10.00 per share and have a term of 10&nbsp;years; the
dividend yield on the stock is zero; the risk free interest rate is 3.53%; and the
volatility rate on the common stock is 32.17%, the estimated grant-date fair value
of the options utilizing a Black-Scholes option pricing analysis is $4.98 per
option granted. Assuming this value is amortized over the five-year vesting
period, the corresponding annual pre-tax expense associated with the stock option
plan would be approximately $1.2&nbsp;million; and</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->45<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="6%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our stock-based benefit plan would award a number of shares equal to 4% of the shares issued in the offering, or 476,100 shares, to eligible participants, which
would be expensed as the awards vest. Assuming that all shares are awarded under
the stock-based benefit plan at a price of $10.00 per share, and that the awards
vest over a five-year period, the corresponding annual pre-tax expense associated
with shares awarded under the recognition and retention plan would be approximately
$952,200.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The actual expense that will be recorded for the employee stock ownership plan will be
determined by the market value of the shares of common stock as they are released to employees over
the term of the loan, and whether the loan is repaid faster than its contractual term. Accordingly,
increases in the stock price above $10.00 per share will increase the total employee stock
ownership plan expense, and any accelerated repayment of the loan would increase the annual
employee stock ownership plan expense. Additionally, the actual expense of the restricted stock awards under
the stock-based benefit
plan will be determined by the fair market value of the stock on the grant date, which might be
greater than $10.00 per share. Further, the actual expense of the stock option plan would be
determined by the grant-date fair value of the options, which would depend on a number of factors,
including the valuation assumptions used in the Black-Scholes option pricing model.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Critical Accounting Policies</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We consider accounting policies that require management to exercise significant judgment or
discretion or make significant assumptions that have, or could have, a material impact on the
carrying value of certain assets or on income, to be critical accounting policies. We consider the
following to be our critical accounting policies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Allowance for Loan Losses. </I></B>We believe that the allowance for loan losses and related
provision for loan losses are particularly susceptible to change in the near term, due to changes
in credit quality which are evidenced by trends in charge-offs and in the volume and severity of
past due loans. In addition, our loan mix is changing as we increase our emphasis on commercial
real estate and commercial business loans. Commercial real estate and commercial business loans
generally have a higher credit risk profile than one- to four-family residential real estate and
consumer loans due to these loans being larger in amount and non-homogenous.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for loan losses is maintained at a level to cover probable credit losses
inherent in the loan portfolio at the balance sheet date. Based on our estimate of the level of
allowance for loan losses required, we record a provision for loan losses as a charge to earnings
to maintain the allowance for loan losses at an appropriate level. The estimate of our credit
losses is applied to two general categories of loans:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>loans that we evaluate individually for impairment under Statement of Financial
Accounting Standards (&#147;SFAS&#148;) No.&nbsp;114, &#147;Accounting by Creditors for Impairment of a
Loan;&#148; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>groups of loans with similar risk characteristics that we evaluate collectively for
impairment under SFAS No.&nbsp;5, &#147;Accounting for Contingencies.&#148;</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for loan losses is evaluated on a regular basis by management and reflects
consideration of all significant factors that affect the collectability of the loan portfolio. The
factors used to evaluate the collectability of the loan portfolio include, but are not limited to,
current economic conditions, our historical loss experience, the nature and volume of the loan
portfolio, the financial strength of the borrower, and estimated value of any underlying
collateral. This evaluation is inherently
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->46<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">subjective as it requires estimates that are subject to significant revision as more
information becomes available. Actual loan losses may be significantly more than the allowance for
loan losses we have established which could have a material negative effect on our financial
results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Impairment of Investment Securities. </I></B>The evaluation of the investment portfolio for
other-than-temporary impairment is also a critical accounting policy. In evaluating the investment
portfolio for other-than-temporary impairment, management considers the issuer&#146;s credit rating,
credit outlook, payment status and financial condition, the length of time the security has been in
a loss position, the size of the loss position and other meaningful information. If a decline in
the fair value of an investment security below its cost is judged to be other-than-temporary, the
cost basis of the investment security is written down to fair value as a new cost basis. The amount
of the credit related impairment write-down is recognized in our earnings and the non-credit
related impairment for securities not expected to be sold is recognized in other comprehensive
income (loss). A number of factors or combinations of factors could cause us to conclude in one or
more future reporting periods that an unrealized loss that exists with respect to these securities
constitutes an impairment that is other than temporary. These factors include failure to make
scheduled principal and/or interest payments, an increase in the severity of the unrealized loss on
a particular security, an increase in the continuous duration of the unrealized loss without an
improvement in value or changes in market conditions and/or industry or issuer specific factors
that would render us unable to forecast a full recovery in value.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Defined Benefit Retirement Plan. </I></B>Our costs and obligations related to our defined benefit
pension plan are calculated using various actuarial assumptions and methodologies as prescribed
under SFAS 87, &#147;Employers&#146; Accounting for Pensions.&#148; Management evaluates, reviews with the plan
actuaries and updates as appropriate the assumptions used in the determination of the pension
obligation and expense and the fair value of pension assets, including the discount rate and the
expected rate of return on plan assets. The discount rate and the expected rate of return on plan
assets have a significant impact on the actuarially computed present value of future pension plan
benefits that is recorded on the balance sheet as a liability and the corresponding pension
expense. Actual experience that differs from the assumptions could have a significant effect on
our financial position and results of operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To compute our pension expense in the six months ended June&nbsp;30, 2009, we used actuarial
assumptions that included a discount rate and an expected long-term rate of return on plan assets.
The discount rate of 5.50%, used in this calculation, is the rate used in computing the benefit
obligation as of December&nbsp;31, 2008. The expected long-term rate of return on plan assets of 7.50%
is based on the weighted average expected long-term returns for the target allocation of plan
assets as of the measurement date, December&nbsp;31, 2008, and was developed through analysis of
historical market returns, current market conditions and the pension plan assets&#146; past experience.
Although we believe that the assumptions used are appropriate, differences between assumed and
actual experience may affect our operating results. See Note 10 &#151; Employee Benefit Plans of the
notes to financial statements included in this prospectus for additional information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Income Taxes. </I></B>OmniAmerican Bank became a taxable entity after converting from a credit union
to a federally chartered savings bank on January&nbsp;1, 2006. On that date, we established a net
deferred tax asset of $6.1&nbsp;million as a result of timing differences for certain items, including
depreciation of premises and equipment, unrealized gains and losses on investment securities, and
bad debt deductions. The calculation of our income tax provision and deferred tax asset is complex
and requires the use of estimates and judgment in their determination. We assess the appropriate
tax treatment of transactions and filing positions after considering statutes, regulations,
judicial precedent and other pertinent information, and we maintain tax accruals consistent with
our evaluation. Changes in the estimate of accrued taxes occur periodically due to changes in tax
rates, interpretations of tax laws, and newly enacted statutory, judicial, and regulatory guidance
that could affect the relative merits of the tax
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->47<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">positions. These changes, when they occur, impact accrued taxes and can materially affect our
operating results. In addition, positions taken by OmniAmerican Bank in preparing our federal and
state tax returns are subject to the review of taxing authorities, and the review of the positions
we have taken by taxing authorities could result in a material adjustment to our financial
statements. On January&nbsp;1, 2009, we adopted FIN 48&#151;FASB Interpretation No.&nbsp;48, &#147;Accounting for
Uncertainty in Income Taxes,&#148; an interpretation of FASB Statement No.&nbsp;109. See Note 12 &#151; Income
Taxes of the notes to financial statements included in this prospectus for additional information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Comparison of Financial Condition at June&nbsp;30, 2009 and December&nbsp;31, 2008</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets decreased $29.6&nbsp;million, or 2.8%, to $1.04&nbsp;billion at June&nbsp;30, 2009 from $1.07
billion at December&nbsp;31, 2008. The decrease was primarily the result of a decrease in securities
classified as available for sale, partially offset by the increase in cash and cash equivalents and
loans, net of the allowance for loan losses and deferred fees and discounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Securities classified as available for sale decreased $46.3&nbsp;million, or 20.1%, to $184.0
million at June&nbsp;30, 2009 from $230.3&nbsp;million at December&nbsp;31, 2008. Securities classified as
available for sale declined due to sales, principal repayments and maturities. We sold $35.7
million of securities during the six months ended June&nbsp;30, 2009. These proceeds were used to reduce
FHLB borrowings as part of our strategy to deleverage the balance sheet. Securities classified as
available for sale consisted primarily of government-sponsored mortgage-backed securities,
government-sponsored and private-label collateralized mortgage obligations, trust preferred
securities, FHLB zero coupon callable discount notes and municipal obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total cash and cash equivalents increased $12.0&nbsp;million, or 29.1%, to $53.2&nbsp;million at June
30, 2009 from $41.2&nbsp;million at December&nbsp;31, 2008. The increase in total cash and cash equivalents
was primarily the result of a $15.0&nbsp;million increase during the six months ended June&nbsp;30, 2009 in
short-term interest-earning deposits in other financial institutions due to cash received from loan
principal repayments of $126.5&nbsp;million, the proceeds of $50.6&nbsp;million in longer term (greater than
15&nbsp;years) one- to four-family residential mortgage loan sales, proceeds of $66.0&nbsp;million from
sales, principal repayments and maturities of securities and $20.0&nbsp;million in net additions to
deposits. These cash proceeds were partially offset by $188.9&nbsp;million in cash used to originate and
purchase loans and $52.0&nbsp;million used to repay FHLB advances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans, net increased $9.3&nbsp;million, or 1.3%, to $725.1&nbsp;million at June&nbsp;30, 2009 from $715.8
million at December&nbsp;31, 2008. During the six months ended June&nbsp;30, 2009, we focused our loan
growth on real estate and commercial business loans while continuing to reduce our consumer loan
portfolio, primarily automobile loans. One- to four-family residential real estate loans increased
$15.8&nbsp;million, or 6.4%, to $261.3&nbsp;million at June&nbsp;30, 2009. Commercial real estate loans increased
$6.6&nbsp;million, or 7.4%, to $95.6&nbsp;million at June&nbsp;30, 2009. Commercial business loans increased $10.5
million, or 20.5%, to $61.4&nbsp;million at June&nbsp;30, 2009. Automobile loans (consisting of direct and
indirect loans) decreased $14.7&nbsp;million, or 6.0%, to $229.5&nbsp;million at June&nbsp;30, 2009. In addition,
our real estate construction loans decreased $5.3&nbsp;million, or 11.6% to $40.5&nbsp;million at June&nbsp;30,
2009 from $45.8&nbsp;million at December&nbsp;31, 2008 due to the economic downturn in our market area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposits increased $20.0&nbsp;million, or 2.7%, to $759.8&nbsp;million at June&nbsp;30, 2009 from $739.8
million at December&nbsp;31, 2008. Certificates of deposit decreased $3.9&nbsp;million, or 1.1%, to $338.5
million at June&nbsp;30, 2009 from $342.4&nbsp;million at December&nbsp;31, 2008. Our core deposits (consisting
of interest-bearing and non-interest-bearing demand accounts, money market accounts and savings
accounts) increased $23.9&nbsp;million, or 6.1%, to $421.3&nbsp;million at June&nbsp;30, 2009 from $397.4&nbsp;million
at December&nbsp;31,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->48<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">2008. The general increase in our deposits was primarily attributed to an increase in our core
deposits as management believes the recession generally caused many investors to seek FDIC-insured
deposits.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal Home Loan Bank borrowings decreased $52.0&nbsp;million, or 30.6%, to $117.9&nbsp;million at June
30, 2009 from $169.9&nbsp;million at December&nbsp;31, 2008, as a result of our decision to deleverage our
balance sheet. Securities sold under agreements to repurchase were essentially unchanged at $58.0
million at June&nbsp;30, 2009 from December&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Equity capital increased $937,000, or 1.0%, to $90.3&nbsp;million at June&nbsp;30, 2009 from $89.3
million at December&nbsp;31, 2008. The increase resulted primarily from net income of $459,000 during
the six months ended June&nbsp;30, 2009 and a reduction in accumulated other comprehensive loss of
$478,000 due to improvement in the unrealized gains in the investment portfolio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Comparison of Financial Condition at December&nbsp;31, 2008 and 2007</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets increased $16.9&nbsp;million, or 1.6%, to $1.07&nbsp;billion at December&nbsp;31, 2008 from
$1.05&nbsp;billion at December&nbsp;31, 2007. The increase was primarily the result of an increase in total
cash and cash equivalents and loans, net, partially offset by a decrease in securities classified
as available for sale.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total cash and cash equivalents increased $22.2&nbsp;million or 116.8% to $41.2&nbsp;million at December
31, 2008 from $19.0&nbsp;million at December&nbsp;31, 2007. The increase in total cash and cash equivalents
was primarily the result of a $20.8&nbsp;million increase during the year ended December&nbsp;31, 2008 in
short-term interest-earning deposits in other financial institutions due to liquidity from the
$10.0&nbsp;million increase in deposits and cash received from the proceeds of principal repayments,
maturities and sales of $88.6&nbsp;million in securities, which were largely offset by purchases of
$73.6&nbsp;million in securities. We maintained a high level of liquidity at December&nbsp;31, 2008 in
anticipation of funding loan originations and purchases in early 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans, net increased $8.7&nbsp;million, or 1.2%, to $715.8&nbsp;million at December&nbsp;31, 2008 from $707.1
million at December&nbsp;31, 2007. During the year ended December&nbsp;31, 2008, we focused our loan growth
on real estate and commercial business loans while continuing to reduce our consumer loan
portfolio, primarily in automobile loans. One- to four-family residential real estate loans
increased $35.1&nbsp;million, or 16.7%, to $245.6&nbsp;million at December&nbsp;31, 2008. Commercial real estate
loans increased $7.1&nbsp;million, or 8.6%, to $89.0&nbsp;million at December&nbsp;31, 2008. Real estate
construction loans increased $2.8&nbsp;million, or 6.6%, to $45.8&nbsp;million at December&nbsp;31, 2008.
Commercial business loans increased $16.1&nbsp;million, or 46.1%, to $51.0&nbsp;million at December&nbsp;31, 2008.
Our automobile loan portfolio (consisting of direct and indirect loans) decreased $52.3&nbsp;million, or
17.6%, to $244.2&nbsp;million at December&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Securities classified as available for sale decreased $14.3&nbsp;million, or 5.8%, to $230.3
million at December&nbsp;31, 2008 from $244.6&nbsp;million at December&nbsp;31, 2007. Securities classified as
available for sale declined due to principal repayments, maturities and calls of $47.8&nbsp;million. We
sold $40.7&nbsp;million and purchased $73.6&nbsp;million of securities during the year ended December&nbsp;31,
2008. At December&nbsp;31, 2008, securities classified as available for sale consisted primarily of
government-sponsored mortgage-backed securities, government-sponsored and private-label
collateralized mortgage obligations, trust preferred securities and municipal obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deposits increased $10.0&nbsp;million, or 1.4%, to $739.8&nbsp;million at December&nbsp;31, 2008 from $729.9
million at December&nbsp;31, 2007. Certificates of deposit increased $14.8&nbsp;million, or 4.5%, to $342.4
million at December&nbsp;31, 2008 from $327.6&nbsp;million at December&nbsp;31, 2007. Our core deposits
(consisting of interest-bearing and non-interest-bearing demand accounts, money market accounts and
savings accounts) decreased $4.8&nbsp;million, or 1.2%, to $397.4&nbsp;million at December&nbsp;31, 2008 from
$402.3&nbsp;million at
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->49<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">December&nbsp;31, 2007. Management believes the overall increase in our deposits resulted primarily
from increased participation in the Certificate of Deposit Account Registry Service<SUP style="font-size: 85%; vertical-align: text-top"><SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP> </SUP>or
CDARS program. Deposits in the CDARS program increased to $19.9&nbsp;million at December&nbsp;31, 2008 from
$5.1&nbsp;million at December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal Home Loan Bank borrowings increased $13.0&nbsp;million, or 8.3%, to $169.9&nbsp;million at
December&nbsp;31, 2008 from $156.9&nbsp;million at December&nbsp;31, 2007. Other secured borrowings, which
includes securities sold under agreements to repurchase and other secured borrowings, consisting of
automobile loan participations that did not qualify as sales under applicable accounting standards,
decreased $7.5&nbsp;million, or 11.3% to $58.7&nbsp;million at December&nbsp;31, 2008 from $66.2&nbsp;million at
December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Equity capital increased $607,000, or 0.7%, to $89.3&nbsp;million at December&nbsp;31, 2008 from $88.7
million at December&nbsp;31, 2007. The increase resulted primarily from net income of $644,000 during
the year ended December&nbsp;31, 2008, offset in part by an increase in accumulated other comprehensive
loss of $37,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Comparison of Operating Results For The Six Months Ended June&nbsp;30, 2009 and 2008</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General. </I></B>Net income increased $238,000, or 107.7%, to $459,000 for the six months ended June
30, 2009 from $221,000 for the prior year period. Net income for the six months ended June&nbsp;30, 2009
reflected increases in net interest income of $2.4&nbsp;million and noninterest income of $105,000,
partially offset by an increase in noninterest expense of $1.5&nbsp;million, an increase in the
provision for loan losses of $525,000 and an increase in income tax expense of $203,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Income. </I></B>Interest income decreased $1.2&nbsp;million, or 4.2%, to $27.7&nbsp;million for the
six months ended June&nbsp;30, 2009 from $28.8&nbsp;million for the six months ended June&nbsp;30, 2008. The
decrease resulted from a $20.3&nbsp;million, or 2.0% decrease in the average balance of interest-earning
assets to $982.8&nbsp;million for the six months ended June&nbsp;30, 2009 from $1.0&nbsp;billion for the six
months ended June&nbsp;30, 2008. During the six months ended June&nbsp;30, 2009, we decreased the average
balance of our securities portfolio. In addition, the average yield on interest-earning assets
decreased by 12 basis points to 5.63% for the six months ended June&nbsp;30, 2009 from 5.75% for the six
months ended June&nbsp;30, 2008. The decrease in our average yield on interest-earning assets during the
six months ended June&nbsp;30, 2009 as compared to the prior year period was due to the general decline
in short-term market interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on loans increased $655,000, or 3.0%, to $22.8&nbsp;million for the six months
ended June&nbsp;30, 2009 from $22.1&nbsp;million for the six months ended June&nbsp;30, 2008. The average balance
of loans increased $7.5&nbsp;million, or 1.0%, to $731.2&nbsp;million for the six months ended June&nbsp;30, 2009
from $723.7&nbsp;million for the six months ended June&nbsp;30, 2008. The average yield on our loan portfolio
increased by 12 basis points, to 6.24% for the six months ended June&nbsp;30, 2009 from 6.12% for the
six months ended June&nbsp;30, 2008. During this period, we continued to change the composition of our
loan portfolio to include a higher percentage of loans secured by real estate and a lower
percentage of consumer loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on investment securities decreased $1.8&nbsp;million, or 26.9%, to $4.9&nbsp;million for
the six months ended June&nbsp;30, 2009 from $6.7&nbsp;million for the six months ended June&nbsp;30, 2008. The
decrease resulted primarily from a decrease in the average balance of our securities portfolio
which decreased $57.1&nbsp;million, or 21.9%, to $204.0&nbsp;million for the six months ended June&nbsp;30, 2009
from $261.0&nbsp;million for the six months ended June&nbsp;30, 2008 due to increased sales of our
securities, primarily mortgage-backed securities. The average yield on our securities portfolio
(excluding nontaxable investment securities) decreased by 14 basis points, to 4.73% for the six
months ended June&nbsp;30, 2009 from 4.87% for the six months ended June&nbsp;30, 2008.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->50<!-- /Folio -->
</DIV>




<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Expense. </I></B>Interest expense decreased by $3.6&nbsp;million, or 24.5%, to $11.2&nbsp;million for
the six months ended June&nbsp;30, 2009 from $14.7&nbsp;million for the six months ended June&nbsp;30, 2008. The
decrease resulted primarily from a decline in interest expense on deposits of $2.7&nbsp;million, and to
a lesser extent, by a decrease in interest expense on borrowed funds of $848,000. The average rate
we paid on deposits decreased 83 basis points to 2.07% for the six months ended June&nbsp;30, 2009 from
2.90% for the six months ended June&nbsp;30, 2008, as we were able to reprice our deposits as market
rates declined. Partially offsetting the decrease in interest expense was an increase in the
average balance of interest- bearing deposits which increased $9.1&nbsp;million, or 1.3%, to $686.6
million for the six months ended June&nbsp;30, 2009 from $677.4&nbsp;million for the six months ended June
30, 2008. The increase in the average balance of our deposits was primarily due to an increase in
the average balance of our core deposits (consisting of demand accounts, money market accounts and
savings accounts). Management believes that the increase in our core deposits resulted from many
investors seeking FDIC-insured deposits during the current recession.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on certificates of deposit decreased $1.9&nbsp;million, or 25.3%, to $5.7&nbsp;million
for the six months ended June&nbsp;30, 2009 from $7.6&nbsp;million for the six months ended June&nbsp;30, 2008.
The average rate paid on certificates of deposit decreased 110 basis points to 3.30% for the six
months ended June&nbsp;30, 2009 from 4.40% for the six months ended June&nbsp;30, 2008, reflecting lower
market rates. In addition, the average balance of certificates of deposit decreased $1.8&nbsp;million
to $344.3&nbsp;million for the six months ended June&nbsp;30, 2009 from $346.2&nbsp;million for the six months
ended June&nbsp;30, 2008. The interest expense on our core deposits decreased $789,000, or 35.9%, to
$1.4&nbsp;million for the six months ended June&nbsp;30, 2009 from $2.2&nbsp;million for the prior year period due
to the decline in market rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on borrowed funds decreased by $847,000, or 17.2%, to $4.1&nbsp;million for the
six months ended June&nbsp;30, 2009 from $4.9&nbsp;million for the prior year period as FHLB borrowings and
securities sold under agreements to repurchase were reduced as we deleveraged the balance sheet.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Interest Income. </I></B>Net interest income increased by $2.4&nbsp;million, or 17.0%, to $16.5
million for the six months ended June&nbsp;30, 2009 from $14.1&nbsp;million for the prior year period, as a
result of a 60 basis point improvement in our net interest rate spread to 3.12% for the six months
ended June&nbsp;30, 2009 from 2.52% for the six months ended June&nbsp;30, 2008. Our net interest margin
increased 55 basis points to 3.36% for the six months ended June&nbsp;30, 2009 from 2.81% for the six
months ended June&nbsp;30, 2008. The increase in our net interest rate spread and net interest margin
reflected the steepening yield curve as short-term market interest rates used to price our deposits
declined significantly during late 2007 and 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Provision for Loan Losses. </I></B>Based on our analysis of the factors described in &#147;Critical
Accounting Policies &#151; Allowance for Loan Losses,&#148; we recorded a provision for loan losses of $2.4
million for the six months ended June&nbsp;30, 2009 and a provision for loan losses of $1.9&nbsp;million for
the six months ended June&nbsp;30, 2008. The primary reasons for the increase in the provision for loan
losses were an increase in our average loans of $7.5&nbsp;million, an increase of $2.3&nbsp;million in loans
classified as substandard and an increase in net charge-offs of $205,000. Substandard loans
increased to $35.0&nbsp;million at June&nbsp;30, 2009 from $32.7&nbsp;million at June&nbsp;30, 2008. The allowance for
loans losses was $8.8&nbsp;million, or 1.20% of total loans receivable at June&nbsp;30, 2009, compared to
$7.6&nbsp;million, or 1.07% of total loans receivable at June&nbsp;30, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, non-performing loans totaled $5.6&nbsp;million, or 0.76%, of total loans as
compared to $8.2&nbsp;million or 1.13% of total loans at June&nbsp;30, 2008. The allowance for loan
losses as a percentage of non-performing loans increased to 158.30% at June&nbsp;30, 2009 from 92.91% at
June&nbsp;30,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->51<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">2008. To the best of our knowledge, we have provided for all losses that are both probable and
reasonable to estimate at June&nbsp;30, 2009 and 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Income. </I></B>Noninterest income increased $105,000, or 1.3%, to $8.4&nbsp;million for the
six months ended June&nbsp;30, 2009 from $8.3&nbsp;million for the six months ended June&nbsp;30, 2008. The
increase was primarily attributable to $1.1&nbsp;million in net gains on the sale of securities
available for sale, consisting of mortgage-backed securities, and an increase of $765,000 in net gains on the sale
of one- to four-family residential mortgage loans. These gains were offset in part by a decline in
service charges and other fees of $1.0&nbsp;million due to a significant decrease in insufficient funds
and overdraft fees, and a decline in other income of $606,000 due primarily to a $416,000 one-time
payment from VISA in the 2008 period. The one-time payment was related to VISA&#146;s redemption of a
portion of its Class&nbsp;B shares outstanding in connection with its initial public offering that
occurred in March&nbsp;2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Expense. </I></B>Noninterest expense increased $1.5&nbsp;million, or 7.6%, to $21.5&nbsp;million
for the six months ended June&nbsp;30, 2009 from $20.0&nbsp;million for the six months ended June&nbsp;30, 2008.
The increase was primarily attributable to an increase of $2.1&nbsp;million in salaries and benefits
expense and a $461,000 increase in operations expense, partially offset by a $730,000 decrease in
professional and outside services expense. The increase in salaries and benefits was due primarily
to the $1.3&nbsp;million reversal in 2008 of a salary continuation plan liability for our former Chief
Executive Officer which was recorded in 2006 and extinguished in 2008<B>. </B>The increase in operations
expense for the six months ended June&nbsp;30, 2009 compared to the six months ended June&nbsp;30, 2008 was
primarily attributable to a $738,000 increase in the FDIC insurance assessment due to a $478,000
special assessment and an increase in the general assessment rate, a $320,000 increase in
depreciation expense on computer hardware and software and a $290,000 increase in software and
equipment maintenance expense related to expenditures incurred to enhance our network security.
These increases were partially offset by higher expenses in the six months ended June&nbsp;30, 2008 due
to $784,000 in costs related to the breach in our network security that occurred in early 2008.
Professional and outside services expense decreased for the six months ended June&nbsp;30, 2009 compared
to the prior year period due primarily to $300,000 of previously capitalized initial public
offering expenses relating to our terminated initial public offering in late 2007 which were
charged to earnings during the six months ended June&nbsp;30, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Income Tax Expense. </I></B>Income tax expense was $489,000 for the six months ended June&nbsp;30, 2009
compared to $286,000 for the same period in 2008, reflecting the increase in income before income
tax expense during the six months ended June&nbsp;30, 2009 as compared to the same period in 2007. Our
effective tax rate, including provisions for the Texas state margin tax was 51.6% for the six
months ended June&nbsp;30, 2009 compared to 56.4% for the six months ended June&nbsp;30, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Comparison of Operating Results for the Years Ended December&nbsp;31, 2008 and 2007</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General. </I></B>Net income was $644,000 for the year ended December&nbsp;31, 2008 compared to a net loss
of $2.2&nbsp;million for the year ended December&nbsp;31, 2007. Net income in 2008 reflected a $4.8&nbsp;million
increase in net interest income and a $1.4&nbsp;million decrease in noninterest expense, which was
partially offset by a $1.9&nbsp;million increase in income tax expense, a $1.3&nbsp;million decrease in
noninterest income and a $175,000 increase in the provision for loan losses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Income. </I></B>Interest income increased $2.8&nbsp;million, or 5.1%, to $57.7&nbsp;million for the
year ended December&nbsp;31, 2008 from $54.9&nbsp;million for the year ended December&nbsp;31, 2007. The increase
resulted from an increase in the average balance of interest-earning assets, which increased $59.7
million, or 6.4%, to $995.0&nbsp;million for the year ended December&nbsp;31, 2008 from $935.3&nbsp;million for
the year ended December&nbsp;31, 2007. During the year ended December&nbsp;31, 2008, we increased the average
balance of our loans and securities. This increase was offset in part by a decline in the average
yield on interest-earning
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->52<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">assets of seven basis points to 5.80% for the year ended December&nbsp;31, 2008 from 5.87% for the year
ended December&nbsp;31, 2007. The decline in our average yield on interest-earning assets during the
year ended December&nbsp;31, 2008 as compared to the prior year was due primarily to the general decline
in short-term market interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on loans increased $1.1&nbsp;million, or 2.5%, to $45.1&nbsp;million for the year ended
December&nbsp;31, 2008 from $44.0&nbsp;million for the year ended December&nbsp;31, 2007. The average balance of
loans increased $17.6&nbsp;million, or 2.5%, to $732.0&nbsp;million for the year ended December&nbsp;31, 2008 from
$714.4&nbsp;million for the year ended December&nbsp;31, 2007. During this period, we continued to change the
composition of our loan portfolio to include a higher percentage of loans secured by real estate
and a lower percentage of consumer loans. The average yield on our loan portfolio remained constant
at 6.16% for the years ended December&nbsp;31, 2008 and 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on investment securities increased $1.7&nbsp;million, or 15.5%, to $12.6&nbsp;million
for the year ended December&nbsp;31, 2008 from $10.9&nbsp;million for the year ended December&nbsp;31, 2007. The
increase resulted primarily from an increase in the average balance of our securities portfolio
which increased $50.8&nbsp;million, or 26.4%, to $243.1&nbsp;million for the year ended December&nbsp;31, 2008
from $192.3&nbsp;million for the year ended December&nbsp;31, 2007 due to increased investment in higher
yielding mortgage-backed securities, trust preferred securities and tax advantaged municipal
obligations. The average yield on our securities portfolio (excluding nontaxable investment
securities) increased by 12 basis points, to 4.97% for the year ended December&nbsp;31, 2008 from 4.85%
for the year ended December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Expense. </I></B>Interest expense decreased by $2.0&nbsp;million or 6.7% to $27.7&nbsp;million for the
year ended December&nbsp;31, 2008 from $29.7&nbsp;million for the year ended December&nbsp;31, 2007. The decrease
resulted primarily from a decline in interest expense on deposits of $4.6&nbsp;million, partially offset
by an increase in interest expense on borrowed funds of $2.6&nbsp;million. The average rate we paid on
deposits decreased 60 basis points to 2.69% for the year ended December&nbsp;31, 2008 from 3.29% for the
year ended December&nbsp;31, 2007 as we were able to reprice our deposits lower as market rates
declined. The average balance of interest-bearing deposits decreased $19.4&nbsp;million, or 2.8%, to
$672.0&nbsp;million for the year ended December&nbsp;31, 2008 from $691.4&nbsp;million for the year ended December
31, 2007. The decline in the average balance of our deposits was primarily due to a decline in the
average balances of our money market and savings accounts as we changed the pricing strategy of our
core deposits.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on certificates of deposit decreased $1.6&nbsp;million, or 10.3%, to $14.0&nbsp;million
for the year ended December&nbsp;31, 2008 from $15.6&nbsp;million for the year ended December&nbsp;31, 2007. The
decrease reflected a decline in the average rate paid on certificates of deposit which decreased 73
basis points to 4.09% for the year ended December&nbsp;31, 2008 from 4.82% for the year ended December
31, 2007, reflecting lower market rates. The average balance of certificates of deposits increased
$18.0&nbsp;million, or 5.6%, to $342.3&nbsp;million for the year ended December&nbsp;31, 2008 from $324.3&nbsp;million
for the year ended December&nbsp;31, 2007, primarily as a result of increased participation in our CDARS
program.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The interest expense on our core deposits (consisting of interest-bearing and
non-interest-bearing demand accounts, money market accounts and savings accounts) decreased $3.0
million to $4.1&nbsp;million for the year ended December&nbsp;31, 2008 from $7.1&nbsp;million for the prior year
as we changed the pricing strategy of our core deposits.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on borrowed funds increased by $2.6&nbsp;million or 37.1%, to $9.6&nbsp;million for the
year ended December&nbsp;31, 2008 from $7.0&nbsp;million for the prior year as we increased our borrowings,
primarily Federal Home Loan Bank advances and securities sold under agreements to repurchase, to
purchase mortgage-backed securities in order to meet certain regulatory requirements of a federally
chartered savings bank.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->53<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Interest Income. </I></B>Net interest income increased by $4.8&nbsp;million, or 19.1%, to $30.0
million for the year ended December&nbsp;31, 2008 from $25.2&nbsp;million for the prior year. Our net
interest rate spread increased 36 basis points to 2.74% for the year ended December&nbsp;31, 2008 from
2.38% for the year ended December&nbsp;31, 2007, and our net interest margin increased 32 basis points
to 3.02% for the year ended December&nbsp;31, 2008 from 2.70% for the year ended December&nbsp;31, 2007. The
increase in our net interest rate spread and net interest margin reflected the steepening yield
curve as short-term interest rates used to price our deposits declined significantly during late
2007 and 2008 and steady growth in the average balance of our interest-earning assets, such as
loans and securities, which generally are priced based on medium and longer-term interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Provision for Loan Losses. </I></B>Based on our analysis of the factors described in &#147;Critical
Accounting Policies &#151; Allowance for Loan Losses,&#148; we recorded a provision for loan losses of $3.8
million for the year ended December&nbsp;31, 2008 and a provision for loan losses of $3.7&nbsp;million for
the year ended December&nbsp;31, 2007. The primary reasons for the increase in the provision for loan
losses was an increase in our net loans of $8.7&nbsp;million and an increase in non-performing loans. At
December&nbsp;31, 2008, non-performing loans totaled $5.7&nbsp;million or 0.79% of total loans as compared to
$3.0&nbsp;million or 0.42% of total loans at December&nbsp;31, 2007. The increase in non-performing loans was
primarily in the commercial real estate portfolio, a higher risk portfolio as compared to one- to
four-family residential real estate. The allowance for loans losses to total loans receivable
increased to 1.14% at December&nbsp;31, 2008 as compared to 1.04% at December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for loan losses as a percentage of non-performing loans decreased to 145.06% at
December&nbsp;31, 2008 as compared to 248.52% at December&nbsp;31, 2007. This percentage decrease was caused
by the deterioration of loans which were classified as substandard in 2007 and, therefore, had
already been adequately provided for. To the best of our knowledge, we have provided for all
losses that are both probable and reasonable to estimate at December&nbsp;31, 2008 and 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Income. </I></B>Noninterest income decreased $1.3&nbsp;million, or 7.4%, to $16.3&nbsp;million for
the year ended December&nbsp;31, 2008 from $17.6&nbsp;million for the year ended December&nbsp;31, 2007. The
decrease was primarily attributable to a decline in service charges and other fees of $2.7&nbsp;million
due to a $923,000 decrease in insufficient funds fees, a $408,000 decrease in service charges on
savings accounts, a $389,000 decrease in ATM access and transaction fees, and a $256,000 decrease
in debit card interchange income. The decline in service charges and other fees was partially
offset by a $952,000 increase in net gains on the sale of one- to four-family residential mortgage
loans during the year ended December&nbsp;31, 2008 as compared to the prior year. In addition, other
income increased $140,000 due to a $416,000 one-time payment from Visa in connection with its
initial public offering that occurred in March&nbsp;2008, partially offset by a $282,000 decrease in
fees from leasing office space in our headquarters building.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Expense. </I></B>Noninterest expense decreased $1.4&nbsp;million, or 3.2%, to $41.1&nbsp;million
for the year ended December&nbsp;31, 2008 from $42.4&nbsp;million for the year ended December&nbsp;31, 2007. This
decrease was primarily attributable to a $1.7&nbsp;million decrease in salaries and benefits expense and
a $491,000 decrease in marketing expense, partially offset by a $721,000 increase in professional
and outside services expense. The decline in salaries and benefits was primarily attributable to
the $1.3&nbsp;million reversal in 2008 of a salary continuation plan liability for our former Chief
Executive Officer which was recorded in 2006 and extinguished in 2008. Marketing expense decreased
due to a new focus on marketing to internal customers, requiring less advertising through newspaper
and radio. Professional and outside services expense increased due primarily to $537,000 of
previously capitalized initial public offering expenses relating to our terminated initial public
offering in late 2007 which were charged to earnings during the year ended December&nbsp;31, 2008.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->54<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Income Tax Expense (Benefit). </I></B>Income tax expense was $742,000 for the year ended December&nbsp;31,
2008 compared with an income tax benefit of ($1.1&nbsp;million) for 2007, reflecting our income before
income tax expense during 2008 as compared to our net loss in 2007. Our effective tax rate was
53.5% for the year ended December&nbsp;31, 2008 compared to 33.9% for the year ended December&nbsp;31, 2007.
The increase in the effective tax rate was primarily due to the enactment of new income tax laws in
the State of Texas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Comparison of Operating Results for the Years Ended December&nbsp;31, 2007 and 2006</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General. </I></B>Our net loss totaled $2.2&nbsp;million for the year ended December&nbsp;31, 2007, compared to
a net loss of $924,000 for the year ended December&nbsp;31, 2006. The higher net loss reflected a $6.2
million decrease in our income tax benefit resulting from a lower pre-tax loss in 2007 and an
income tax benefit in 2006 relating to the change in our tax status.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our loss before income tax benefit for the year ended December&nbsp;31, 2007, was $3.3&nbsp;million, a
decrease of $5.0&nbsp;million, or 60.4%, from the loss before income tax benefit of $8.3&nbsp;million for the
year ended December&nbsp;31, 2006. The lower loss before income tax benefit in 2007 resulted primarily
from a $3.5&nbsp;million decrease in noninterest expense and a $2.5&nbsp;million decrease in the provision
for loan losses, which was partially offset by a $1.3&nbsp;million decrease in net interest income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Income. </I></B>Interest income increased $2.9&nbsp;million, or 5.6%, to $54.9&nbsp;million for the
year ended December&nbsp;31, 2007 from $52.0&nbsp;million for the year ended December&nbsp;31, 2006. The increase
resulted from a 42 basis point increase in the average yield on interest-earning assets to 5.87%
for the year ended December&nbsp;31, 2007 from 5.45% for the year ended December&nbsp;31, 2006, due to the
higher interest rate environment during most of 2007. This increase was offset in part by a $19.8
million, or 2.1%, decline in the average balance of interest-earning assets to $935.3&nbsp;million for
the year ended December&nbsp;31, 2007 from $955.0&nbsp;million for the year ended December&nbsp;31, 2006 as we
reduced our loan portfolio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on loans increased $891,000, or 2.1%, to $44.0&nbsp;million for the year ended
December&nbsp;31, 2007 from $43.1&nbsp;million for the year ended December&nbsp;31, 2006. The increase in
interest income on loans was primarily due to a 50 basis point increase in the average yield on our
loan portfolio to 6.16% for the year ended December&nbsp;31, 2007. As loans with lower rates matured,
the proceeds were reinvested in real estate loans and commercial loans with higher yields. The
average balance of loans decreased $47.5&nbsp;million, or 6.2%, to $714.4&nbsp;million for the year ended
December&nbsp;31, 2007 from $761.9&nbsp;million for the year ended December&nbsp;31, 2006, reflecting our emphasis
on reducing the size of our automobile loan portfolio as we shifted our loan composition from that
more typical of a credit union to that of a savings bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest income on investment securities increased $2.1&nbsp;million, or 29.2%, to $9.3&nbsp;million for
the year ended December&nbsp;31, 2007 from $7.2&nbsp;million for the year ended December&nbsp;31, 2006. The
increase resulted primarily from a $27.1&nbsp;million, or 16.4%, increase in the average balance of our
securities portfolio to $192.3&nbsp;million for the year ended December&nbsp;31, 2007 from $165.2&nbsp;million for
the year ended December&nbsp;31, 2006, due to increased investment in higher yielding mortgage-backed
securities. The average yield on our securities portfolio increased by 47 basis points to 4.85%,
for the year ended December&nbsp;31, 2007 from 4.38% for the year ended December&nbsp;31, 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Interest Expense. </I></B>Interest expense increased by $4.2&nbsp;million, or 16.5%, to $29.7&nbsp;million for
the year ended December&nbsp;31, 2007 from $25.5&nbsp;million for the year ended December&nbsp;31, 2006. The
increase resulted primarily from an increase in interest expense on deposits of $6.3&nbsp;million,
partially offset by a decrease in interest expense on borrowed funds of $2.1&nbsp;million. The average
rate we paid on deposits
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->55<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">increased 71 basis points to 3.29% for the year ended December&nbsp;31, 2007 from 2.58% for the year
ended December&nbsp;31, 2006 as we increased the rates on our deposits to be competitive in our market
area. The average balance of interest-bearing deposits increased $54.5&nbsp;million, or 8.6%, to $691.4
million for the year ended December&nbsp;31, 2007 from $636.9&nbsp;million for the year ended December&nbsp;31,
2006. The increase in the average balance of our deposits was primarily due to the growth in the
average balances of our money market and certificate of deposit accounts due to the interest rates
we offered on these products.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on certificates of deposit increased $4.3&nbsp;million, or 38.1%, to $15.6&nbsp;million
for the year ended December&nbsp;31, 2007 from $11.3&nbsp;million for the year ended December&nbsp;31, 2006. The
increase reflected a 73 basis points increase in the average rate paid on certificates of deposit
to 4.82% for the year ended December&nbsp;31, 2007 from 4.09% for the year ended December&nbsp;31, 2006, in
response to higher market rates offered by our competitors. The average balance of certificates of
deposits increased $48.1&nbsp;million, or 17.4%, to $324.3&nbsp;million for the year ended December&nbsp;31, 2007
from $276.2&nbsp;million for the year ended December&nbsp;31, 2006, primarily as a result of the promotion of
our &#147;Bump-a-Rate&#148; certificate of deposit product and the pricing of our certificates of deposit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on money market accounts increased $2.5&nbsp;million, or 227.3%, to $3.6&nbsp;million
for the year ended December&nbsp;31, 2007 from $1.1&nbsp;million for the year ended December&nbsp;31, 2006. The
increase reflected a 141 basis point increase in the average rate paid on money market accounts to
3.49% for the year ended December&nbsp;31, 2007 from 2.08% for the year ended December&nbsp;31, 2006, in
response to higher interest rates offered by our competitors. The average balance of money market
accounts increased $53.6&nbsp;million, or 105.9%, to $104.2&nbsp;million for the year ended December&nbsp;31, 2007
from $50.6&nbsp;million for the year ended December&nbsp;31, 2006, primarily as a result of a promotional
campaign for our money market account products that began in the fourth quarter of 2006, the
results of which continued through most of 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense on borrowed funds decreased by $2.1&nbsp;million, or 23.1%, to $7.0&nbsp;million for
the year ended December&nbsp;31, 2007 from $9.1&nbsp;million for the prior year as we reduced the average
balance of our borrowings, primarily our Federal Home Loan Bank advances which decreased by $84.7
million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Interest Income. </I></B>Net interest income decreased by $1.3&nbsp;million, or 4.9%, to $25.2&nbsp;million
for the year ended December&nbsp;31, 2007 from $26.5&nbsp;million for the prior year. Our net interest rate
spread decreased 20 basis points to 2.38% for the year ended December&nbsp;31, 2007 from 2.58% for the
year ended December&nbsp;31, 2006, and our net interest margin decreased seven basis points to 2.70% for
the year ended December&nbsp;31, 2007 from 2.77% for the year ended December&nbsp;31, 2006. The decrease in
our net interest rate spread and net interest margin were consistent with the relatively
flat-to-inverted yield curve that existed in 2006 and through most of 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Provision for Loan Losses. </I></B>Based on our analysis of the factors described in &#147;Critical
Accounting Policies &#151; Allowance for Loan Losses,&#148; we recorded a provision for loan losses of $3.7
million for the year ended December&nbsp;31, 2007 and a provision for loan losses of $6.1&nbsp;million for
the year ended December&nbsp;31, 2006. In 2006, we increased the level of our allowance for loan losses
in response to a review of our commercial loan portfolio, resulting in a larger provision for loan
losses in the year ended December&nbsp;31, 2006. The review of our commercial loan portfolio identified
special mention and substandard loans totaling $21.4&nbsp;million and a $2.0&nbsp;million allowance for loan
losses was established for these loans. The provision for loan losses also decreased from the year
ended December&nbsp;31, 2006 to the year ended December&nbsp;31, 2007 due to a decline in total loans of
$19.7&nbsp;million and a decrease in net charge-offs. Net charge-offs decreased to $3.3&nbsp;million for the
year ended December&nbsp;31, 2007 from $3.9&nbsp;million for the year ended December&nbsp;31, 2006. The allowance
for loans losses was $7.4&nbsp;million, or 1.04% of total loans receivable at December&nbsp;31, 2007,
compared to $7.0&nbsp;million, or 0.96% of total loans
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->56<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">receivable at December&nbsp;31, 2006. To the best of our knowledge, we have provided for all
losses that are both probable and reasonable to estimate at December&nbsp;31, 2007 and 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Income. </I></B>Noninterest income increased $244,000, or 1.4%, to $17.6&nbsp;million for the
year ended December&nbsp;31, 2007 from $17.3&nbsp;million for the year ended December&nbsp;31, 2006. The increase
was primarily attributable to a $388,000 increase in net earnings from the lease of our
headquarters building and a $179,000 increase in net gains on the sale of loans, primarily longer
term (greater than 15&nbsp;years) one- to four-family residential mortgage loans. This gain was offset
in part by a $189,000 decrease in commissions and a $151,000 decrease in service charges and other
fees.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Noninterest Expense. </I></B>Noninterest expense decreased $3.5&nbsp;million, or 7.6%, to $42.4&nbsp;million
for the year ended December&nbsp;31, 2007 from $46.0&nbsp;million for the year ended December&nbsp;31, 2006. The
decrease was primarily attributable to a decline of $1.6&nbsp;million in salaries and benefits to $21.0
million for the year ended December&nbsp;31, 2007 from $22.6&nbsp;million for the year ended December&nbsp;31,
2006. The decline in salaries and benefits expense related primarily to expenses in 2006 of $1.3
million for a salary continuation plan for our former chief executive officer and $650,000 related
to the severance of executive vice president level employees. A reduction in force occurred in
September&nbsp;2007 eliminating approximately 50 positions. Marketing expense decreased by $1.4&nbsp;million
in 2007 due primarily to higher expenses in 2006 of $896,000 for new account promotions and
$455,000 for radio, television, newspaper and other publication advertisements to promote our
conversion from a credit union to a savings bank and our 50&nbsp;years in business.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Income Tax Benefit. </I></B>We became subject to income taxes effective January&nbsp;1, 2006. For the year
ended December&nbsp;31, 2007, our income tax benefit was $1.1&nbsp;million on a pre-tax loss of $3.3&nbsp;million
compared with an income tax benefit of $2.8&nbsp;million, net of the $4.5&nbsp;million tax benefit due to our
change in tax status, on a pre-tax loss of $8.3&nbsp;million for the year ended December&nbsp;31, 2006.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->57<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Average Balances and Yields</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following tables set forth average balance sheets, average yields and costs, and certain
other information at or for the periods indicated. All average balances are daily average
balances. Non-accrual loans were included in the computation of average balances, but have been
reflected in the table as loans carrying a zero yield. The yields set forth below include the
effect of deferred fees, discounts and premiums that are amortized or accreted to interest income
or expense.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>For the Six Months Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Yield/</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Yield/</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield/ Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Interest</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Interest</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="26"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-earning assets:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.34</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">731,193</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">22,795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.24</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">723,695</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">22,140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.12</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Taxable investment securities available for
sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.78</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">198,726</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,699</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.73</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">261,048</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,356</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.87</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Nontaxable investment securities available
for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,264</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.89</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.08</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,074</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.09</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,170</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">163</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.99</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.44</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,141</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">161</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-earning assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">982,799</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,651</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,003,054</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,820</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.75</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-earning assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76,268</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,406</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,059,067</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,082,460</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-bearing liabilities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.40</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">64,371</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.43</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">62,537</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">191</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.61</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">194,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">753</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">189,336</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,130</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,382</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">517</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,397</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">878</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.04</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">344,334</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,685</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">346,161</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,607</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">686,552</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,095</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.07</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">677,431</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.90</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank
advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143,768</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,002</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">165,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,555</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,066</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69,051</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,360</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.94</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.27</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">888,320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,163</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.51</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">911,493</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-bearing liabilities<SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">80,353</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,836</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">968,673</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">991,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,394</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">91,131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liabilities and equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,059,067</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,082,460</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16,488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest rate spread <SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.12</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.52</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest-earning assets <SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">94,479</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">91,561</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest margin <SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.68</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.36</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.81</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest-earning assets to
interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">111.29</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">110.64</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">110.05</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><I>(footnotes on following page)</I>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->58<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="34" style="border-bottom: 1px solid #000000"><B>For the Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Yield/</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Yield/</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Yield/</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Interest</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Interest</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Interest</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="34"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-earning assets:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">731,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">45,111</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.16</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">714,412</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">44,016</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.16</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">761,870</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">43,125</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.66</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Taxable investment securities available for
sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">242,551</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,061</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">192,263</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,324</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.85</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">165,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.38</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Nontaxable investment securities available
for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">520</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.42</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">199</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,458</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,322</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.59</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,525</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">302</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,117</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">470</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,611</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">633</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.02</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-earning assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">994,954</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,696</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">935,250</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,915</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">955,003</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.45</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-earning assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,384</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,918</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94,853</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,074,338</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,017,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,049,856</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-bearing liabilities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">62,176</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.59</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">62,211</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">457</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.73</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,149</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.69</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">189,523</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,119</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">231,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,550</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.53</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,971</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,608</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">104,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,640</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,586</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,053</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.08</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">342,315</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.09</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">324,292</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,616</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">276,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,299</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.09</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">671,985</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">691,424</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,724</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">636,897</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,444</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.58</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank
advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">169,026</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,123</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108,848</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,513</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">193,592</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,583</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64,497</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,449</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.80</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49,349</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,451</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,261</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,494</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">905,508</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,677</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">849,621</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,688</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">889,750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,521</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.87</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-bearing liabilities<SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,449</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,302</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67,274</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">984,957</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">928,923</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">957,024</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,381</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,245</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">92,832</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liabilities and equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,074,338</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,017,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,049,856</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">30,019</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">25,227</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">26,489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest rate spread <SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.74</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.38</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.58</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest-earning assets <SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">85,629</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">65,253</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net interest margin <SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.02</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.70</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.77</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest-earning assets to
interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">109.88</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">110.08</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">107.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Yields and rates for the six months ended June&nbsp;30, 2009 and 2008 are annualized.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Net interest rate spread represents the difference between the yield on average
interest-earning assets and the cost of average interest-bearing liabilities.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Net interest-earning assets represents total interest-earning assets less total
interest-bearing liabilities.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Net interest margin represents net interest income divided by average total interest-earning
assets.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>The tax equivalent yield of nontaxable investment securities was 2.62%, and 6.70% for the six
months ended June&nbsp;30, 2009 and for the year ended December&nbsp;31, 2008, respectively, assuming a
marginal tax rate of 34%. OmniAmerican Bank did not have investments in nontaxable securities
during the six months ended June&nbsp;30, 2008 or the years ended December&nbsp;31, 2007 and 2006.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes noninterest-bearing deposits.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->59<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Rate/Volume Analysis</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents the effects of changing rates and volumes on our net interest
income for the fiscal years indicated. The rate column shows the effects attributable to changes
in rate (changes in rate multiplied by prior volume). The volume column shows the effects
attributable to changes in volume (changes in volume multiplied by prior rate). The net column
represents the sum of the prior columns. For purposes of this table, changes attributable to both
rate and volume, which cannot be segregated, have been allocated proportionately, based on the
changes due to rate and the changes due to volume.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>Six Months Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2009 vs. 2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2008 vs. 2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2007 vs. 2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>Increase (Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Total</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>Increase (Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Total</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>Increase (Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Due to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Increase</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Due to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Increase</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Due to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Increase</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Volume</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>(Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Volume</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>(Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Volume</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>(Decrease)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="34"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-earning assets:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">229</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">426</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">655</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,084</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,095</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,686</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,577</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">891</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Taxable investment securities
available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,517</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,657</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,439</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">298</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,737</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,186</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">896</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,082</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Nontaxable investment securities
available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">637</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(782</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(145</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(599</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(307</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(906</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">339</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(244</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(41</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(57</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(98</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(308</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(168</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(226</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(163</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-earning assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(692</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(477</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,169</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,064</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(283</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,781</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,387</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,292</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,905</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest-bearing liabilities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(57</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(51</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(90</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(90</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(111</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(85</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(408</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(377</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(168</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(724</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(892</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(478</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(61</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(539</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(405</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(361</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(916</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,116</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,032</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,116</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,471</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,587</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(40</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,882</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,922</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">868</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,473</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,605</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,966</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,351</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,317</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,752</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,711</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(216</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,403</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,619</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,493</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,787</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,280</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(458</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(95</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(553</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,495</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,882</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">812</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,070</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(218</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(76</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(294</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">752</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(754</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(417</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">374</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(43</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total interest-bearing liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(635</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,923</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(3,558</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,031</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(5,042</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,011</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(806</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,973</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,167</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Change in net interest income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(57</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,389</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,759</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(581</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(681</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,262</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Management of Market Risk</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General</I></B>. Because the majority of our assets and liabilities are sensitive to changes in
interest rates, our most significant form of market risk is interest rate risk. We are vulnerable
to an increase in interest rates to the extent that our interest-bearing liabilities mature or
reprice more quickly than our interest-earning assets. As a result, a principal part of our
business strategy is to manage interest rate risk and limit the exposure of our net interest income
to changes in market interest rates. Accordingly, our board of directors has established an
Asset/Liability Management Committee, which is responsible for evaluating the interest rate risk
inherent in our assets and liabilities, for determining the level of risk that is appropriate,
given our business strategy, operating environment, capital, liquidity and performance objectives,
and for managing this risk consistent with the guidelines approved by the board of directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our interest rate sensitivity is monitored through the use of a net interest income simulation
model, which generates estimates of the change in our net interest income over a range of interest
rate scenarios. The modeling assumes loan prepayment rates, reinvestment rates and deposit decay
rates based on historical experience and current economic conditions.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->60<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have sought to manage our interest rate risk in order to control the exposure of our
earnings and capital to changes in interest rates. As part of our ongoing asset-liability
management, we currently use the following strategies to manage our interest rate risk:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>sell the long-term, fixed-rate one- to four-family residential mortgage loans
(terms greater than 15&nbsp;years) that we originate into the secondary mortgage market;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>lengthen the weighted average maturity of our liabilities through retail
deposit pricing strategies and through longer-term wholesale funding sources such as
fixed-rate advances from the Federal Home Loan Bank of Dallas;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>invest in shorter- to medium-term securities;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iv)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>originate commercial business and consumer loans, which tend to have shorter
terms and higher interest rates than residential mortgage loans, and which generate
customer relationships that can result in higher noninterest-bearing demand deposit
accounts; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(v)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>maintain adequate levels of capital.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have not engaged in hedging through the use of derivatives.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Portfolio Value</I></B><B>. </B>The Office of Thrift Supervision requires the computation of amounts by
which the net present value of an institution&#146;s cash flow from assets, liabilities and off-balance
sheet items (the institution&#146;s net portfolio value or &#147;NPV&#148;) would change in the event of a range
of assumed changes in market interest rates. The Office of Thrift Supervision provides all
institutions that file a Consolidated Maturity/Rate Schedule as a part of their quarterly Thrift
Financial Report with an interest rate sensitivity report of net portfolio value. The Office of
Thrift Supervision simulation model uses a discounted cash flow analysis and an option-based
pricing approach to measuring the interest rate sensitivity of net portfolio value. Historically,
the Office of Thrift Supervision model estimated the economic value of each type of asset,
liability and off-balance sheet contract under the assumption that the United States Treasury yield
curve increases or decreases instantaneously by 100 to 300 basis points in 100 basis point
increments. However, given the current relatively low level of market interest rates, an NPV
calculation for an interest rate decrease of greater than 100 basis points has not been prepared.
A basis point equals one-hundredth of one percent, and 100 basis points equals one percent. An
increase in interest rates from 3% to 4% would mean, for example, a 100 basis point increase in the
&#147;Change in Interest Rates&#148; column below. The Office of Thrift Supervision provides us the results
of the interest rate sensitivity model, which is based on information we provide to the Office of
Thrift Supervision to estimate the sensitivity of our net portfolio value.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->61<!-- /Folio -->
</DIV>




<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The table below sets forth, as of June&nbsp;30, 2009, the Office of Thrift Supervision&#146;s
calculation of the estimated changes in our net portfolio value that would result from the
designated instantaneous changes in the United States Treasury yield curve. In addition to NPV
calculations, we analyze our sensitivity to changes in interest rates through our internal net
interest income model which is also summarized in the table below at June&nbsp;30, 2009.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="33" style="border-bottom: 1px solid #000000"><B>At June 30, 2009</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>NPV as a Percentage of Present</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Value of Assets (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Net Interest Income</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Change in</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Estimated Increase</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Increase</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Increase (Decrease) in Estimated</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Interest Rates</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Estimated NPV</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>(Decrease) in NPV</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Decrease)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Estimated Net</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Net Interest Income</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>(basis points) (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>NPV Ratio (4)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>(basis points)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Interest Income</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="33"><B>(Dollars in thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#043;300
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">$</TD>
    <TD align="right" valign="top">93,002</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">$</TD>
    <TD align="right" valign="top">(17,120</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(15.55</TD>
    <TD nowrap valign="top">%)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">8.98</TD>
    <TD nowrap valign="top">%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(130</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">35,485</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(3,624</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(9.27</TD>
    <TD nowrap valign="top">%)</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#043;200
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">100,875</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(9,247</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(8.40</TD>
    <TD nowrap valign="top">%)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">9.61</TD>
    <TD nowrap valign="top">%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(67</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">36,908</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(2,201</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(5.63</TD>
    <TD nowrap valign="top">%)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
       <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#043;100
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">106,977</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(3,145</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(2.86</TD>
    <TD nowrap valign="top">%)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10.08</TD>
    <TD nowrap valign="top">%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(20</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">38,113</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(996</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(2.55</TD>
    <TD nowrap valign="top">%)</TD>
</TR>
<TR valign="bottom">
       <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">0
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">110,122</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&#151;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&#151;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10.28</TD>
    <TD nowrap valign="top">%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&#151;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">39,109</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&#151;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&#151;</TD>

    <TD>&nbsp;</TD>

</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">-100
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">109,673</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(449</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(0.41</TD>
    <TD nowrap valign="top">%)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">10.19</TD>
    <TD nowrap valign="top">%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(9</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">40,049</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">940</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2.40</TD>
    <TD nowrap valign="top">%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Assumes an instantaneous uniform change in interest rates at all maturities.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>NPV is the discounted present value of expected cash flows from assets, liabilities and
off-balance sheet contracts.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Present value of assets represents the discounted present value of incoming cash flows on
interest-earning assets.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>NPV Ratio represents NPV divided by the present value of assets.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Portfolio Value</I></B><I>. </I>Computations of prospective effects of hypothetical interest rate changes
are based on numerous assumptions, including relative levels of market interest rates, loan
prepayments and deposit decay, and should not be relied upon as indicative of actual results. The
table above indicates that at June&nbsp;30, 2009, under the OTS model, in the event of a 200 basis point
increase in interest rates, we would experience a 8.4% decrease in net portfolio value. In the
event of a 100 basis point decrease in interest rates, we would experience a 0.4% decrease in net
portfolio value.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->62<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Interest Income. </I></B>Net interest income is the difference between the interest income we
earn on our interest-earning assets, such as loans and securities, and the interest we pay on our
interest-bearing liabilities, such as deposits and borrowings. In our model, we estimate what our
net interest income would be for a rolling forward twelve-month period using historical data for
assumptions such as loan prepayment rates and deposit decay rates, the current term structure for
interest rates, and current deposit and loan offering rates. We then calculate what the net
interest income would be for the same period in the event of an instantaneous 200 basis point
increase or a 100 basis point decrease in market interest rates. As of June&nbsp;30, 2009, using our
internal interest rate risk model, we estimated that our net interest income for the twelve months
ending June&nbsp;30, 2009 would decrease by 5.6% in the event of an instantaneous 200 basis point
increase in market interest rates, and would increase by 2.4% in the event of an instantaneous 100
basis point decrease in market interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain shortcomings are inherent in the methodologies used in determining interest rate risk
through changes in net portfolio value and net interest income. Modeling changes require making
certain assumptions that may or may not reflect the manner in which actual yields and costs respond
to changes in market interest rates. In this regard, the net portfolio value and net interest
income information presented assume that the composition of our interest-sensitive assets and
liabilities existing at the beginning of a period remains constant over the period being measured
and assume that a particular change in interest rates is reflected uniformly across the yield curve
regardless of the duration or repricing of specific assets and liabilities. Accordingly, although
interest rate risk calculations provide an indication of our interest rate risk exposure at a
particular point in time, such measurements are not intended to and do not provide a precise
forecast of the effect of changes in market interest rates on our net interest income and will
differ from actual results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Liquidity and Capital Resources</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Liquidity is the ability to meet current and future financial obligations of a short-term
nature. Our primary sources of funds consist of deposit inflows, loan repayments, advances from
the Federal Home Loan Bank of Dallas, and maturities and sales of securities. While maturities and
scheduled amortization of loans and securities are predictable sources of funds, deposit flows and
mortgage prepayments are greatly influenced by general interest rates, economic conditions and
competition. Our Asset/Liability Management Committee is responsible for establishing and
monitoring our liquidity targets and strategies in order to ensure that sufficient liquidity exists
for meeting the borrowing needs and deposit withdrawals of our customers as well as unanticipated
contingencies. We seek to maintain a liquidity ratio of 10.0% or greater. For the six months
ended June&nbsp;30, 2009 and the year ended December&nbsp;31, 2008, our liquidity ratio averaged 40.2% and
38.8%, respectively. We believe that we have enough sources of liquidity to satisfy our short- and
long-term liquidity needs as of June&nbsp;30, 2009. We anticipate that we will maintain higher
liquidity levels following the completion of the stock offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We regularly monitor and adjust our investments in liquid assets based upon our assessment of:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>expected loan demand;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>expected deposit flows;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>yields available on interest-earning deposits and securities; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iv)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the objectives of our asset/liability management program.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Excess liquid assets are invested generally in interest-earning deposits and short- and
intermediate-term securities.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->63<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our most liquid assets are cash and cash equivalents. The levels of these assets are affected
by our operating, financing, lending and investing activities during any given period. At June&nbsp;30,
2009, cash and cash equivalents totaled $53.2&nbsp;million. Securities classified as
available-for-sale, which provide additional sources of liquidity, totaled $184.0&nbsp;million at June
30, 2009. On that date, we had $117.9&nbsp;million in Federal Home Loan Bank advances outstanding, with
the ability to borrow an additional $204.9&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our cash flows are derived from operating activities, investing activities and financing
activities as reported in our Statements of Cash Flows included in our Financial Statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, we had $30.0&nbsp;million in loan commitments outstanding. In addition to
commitments to originate loans, we had $26.7&nbsp;million in unused lines of credit to borrowers.
Certificates of deposit due within one year of June&nbsp;30, 2009 totaled $284.2&nbsp;million, or 37.4% of
total deposits. If these deposits do not remain with us, we will be required to seek other sources
of funds, including loan sales and Federal Home Loan Bank advances. Depending on market conditions,
we may be required to pay higher rates on such deposits or other borrowings than we currently pay
on the certificates of deposit due on or before June&nbsp;30, 2010. We believe, however, based on past
experience, that a significant portion of such deposits will remain with us. We have the ability to
attract and retain deposits by adjusting the interest rates offered.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary investing activity is originating loans. During the six months ended June&nbsp;30, 2009
and the year ended December&nbsp;31, 2008, we originated $173.9&nbsp;million and $288.9&nbsp;million of loans,
respectively, and during the year ended December&nbsp;31, 2007, we originated $265.5&nbsp;million of loans.
We purchased $18.1&nbsp;million and $73.6&nbsp;million of securities during the six months ended June&nbsp;30,
2009 and the year ended December&nbsp;31, 2008, respectively, and we purchased $123.5&nbsp;million of
securities during the year ended December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financing activities consist primarily of activity in deposit accounts and Federal Home Loan
Bank advances. We experienced a net increase in total deposits of $20.0&nbsp;million for the six months
ended June&nbsp;30, 2009, a net increase in total deposits of $10.0&nbsp;million for the year ended December
31, 2008 and a net decrease in total deposits of $64.3&nbsp;million for the year ended December&nbsp;31,
2007. Deposit flows are affected by the overall level of interest rates, the interest rates and
products offered by us and our local competitors, and by other factors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Liquidity management is both a daily and long-term function of business management. If we
require funds beyond our ability to generate them internally, borrowing agreements exist with the
Federal Home Loan Bank of Dallas, which provide an additional source of funds. Federal Home Loan
Bank advances decreased by $52.0&nbsp;million for the six months ended June&nbsp;30, 2009, compared to an
increase of $13.0&nbsp;million for the year ended December&nbsp;31, 2008, compared to an increase of $28.0
million for the year ended December&nbsp;31, 2007. Federal Home Loan Bank advances have primarily been
used to fund loan demand and to purchase investment securities. At June&nbsp;30, 2009, we had the
ability to borrow up to $322.8&nbsp;million from the Federal Home Loan Bank of Dallas. In addition, we
maintained $31.5&nbsp;million in federal funds lines with other financial institutions at June&nbsp;30, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank is subject to various regulatory capital requirements, including a
risk-based capital measure. The risk-based capital guidelines include both a definition of capital
and a framework for calculating risk-weighted assets by assigning balance sheet assets and
off-balance sheet items to broad risk categories. At June&nbsp;30, 2009, OmniAmerican Bank exceeded all
regulatory capital requirements. OmniAmerican Bank is considered &#147;well capitalized&#148; under
regulatory guidelines. See &#147;Supervision and Regulation&#151;Federal Banking Regulation&#151;Capital
Requirements&#148; and Note 11 &#151; Regulatory Matters of the notes to the financial statements included
in this prospectus.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->64<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The net proceeds from the stock offering will significantly increase our liquidity and capital
resources. Over time, the initial level of liquidity will be reduced as net proceeds from the stock
offering are used for general corporate purposes, including the funding of new loans. Our financial
condition and results of operations will be enhanced by the net proceeds from the stock offering,
resulting in increased net interest-earning assets and net interest income. However, due to the
increase in equity resulting from the net proceeds raised in the stock offering, our return on
equity will be adversely affected following the stock offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Off-Balance Sheet Arrangements and Aggregate Contractual Obligations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Commitments. </I></B>As a financial services provider, we routinely are a party to various financial
instruments with off-balance-sheet risks, such as commitments to extend credit and unused lines of
credit. While these contractual obligations represent our future cash requirements, a significant
portion of commitments to extend credit may expire without being drawn upon. Such commitments are
subject to the same credit policies and approval process accorded to loans we make. For additional
information, see Note 15 &#151; Financial Instruments with Off-Balance Sheet Risk of the notes to
financial statements included in this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Contractual Obligations. </I></B>In the ordinary course of our operations, we enter into certain
contractual obligations. Such obligations include operating leases for premises and equipment,
agreements with respect to borrowed funds and deposit liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table summarizes our significant fixed and determinable contractual obligations
and other funding needs by payment date at December&nbsp;31, 2008. The payment amounts represent those
amounts due to the recipient and do not include any unamortized premiums or discounts or other
similar carrying amount adjustments.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18" style="border-bottom: 1px solid #000000"><B>Payments Due by Period</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>More than one year</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>More than three</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>One year or less</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>to three years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>years to five years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>More than five years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Contractual obligations:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Long-term debt (1)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">104,164</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">44,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">73,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">228,564</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating leases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">460</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">474</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">303</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,898</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">288,324</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,373</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,718</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">342,415</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total contractual obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">392,948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,434</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">102,192</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,303</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">572,877</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Off-balance sheet loan commitments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Undisbursed portion of loans closed</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,396</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,396</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Unused lines of credit (2)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,783</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loan commitments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,396</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,179</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total contractual obligations and
loan commitments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">396,344</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,434</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">102,192</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,303</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">609,056</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes Federal Home Loan Bank advances, securities sold under agreements to repurchase, and
loan participation agreements not accounted for as sales.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Since lines of credit may expire without being drawn upon, the total commitment amount does
not necessarily represent future cash requirements.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Recent Accounting Pronouncements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In December&nbsp;2007, the Financial Accounting Standards Board (&#147;FASB&#148;) issued Statement of
Financial Standards (&#147;SFAS&#148;) No.&nbsp;160, &#147;Noncontrolling Interests in Consolidated Financial
Statements&#151;an amendment of ARB No.&nbsp;51&#148; (&#147;SFAS 160&#148;). SFAS 160 establishes new accounting and
reporting standards for the noncontrolling interest in a subsidiary. Key changes under the
standard are that
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->65<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">noncontrolling interests in a subsidiary will be reported as part of equity, losses allocated
to a noncontrolling interest can result in a deficit balance, and changes in ownership interests
that do not result in a change of control are accounted for as equity transactions and, upon a loss
of control, gain or loss is recognized and the remaining interest is remeasured at fair value on
the date control is lost. SFAS 160 is effective for fiscal years, and interim periods within those
fiscal years, beginning on or after December&nbsp;15, 2008. We adopted SFAS 160 on January&nbsp;1, 2009.
Adoption did not have a material effect on our financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In March&nbsp;2008, the FASB issued SFAS No.&nbsp;161, &#147;Disclosures about Derivative Instruments and
Hedging Activities &#151; an amendment of FASB Statement 133&#148; (&#147;SFAS 161&#148;). SFAS 161 requires entities
to provide enhanced disclosures for derivative activities and hedging activities with regards to
the reasons for employing derivative instruments, how they are accounted for, and how these
instruments affect an entity&#146;s financial position, financial performance, and cash flows. SFAS 161
is effective for fiscal years and interim periods beginning after November&nbsp;15, 2008. We adopted
SFAS No.&nbsp;161 on January&nbsp;1, 2009. Adoption did not have a material effect on our financial
statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In December&nbsp;2008, the FASB issued FASB Staff Position (&#147;FSP&#148;) No.&nbsp;FAS 132(R)-1, &#147;Employers&#146;
Disclosures about Postretirement Benefit Plan Assets&#148; (&#147;FSP FAS 132(R)-1&#148;). FSP FAS 132(R)-1
amends SFAS 132(R), &#147;Employers&#146; Disclosures about Pensions and Other Postretirement Benefits,&#148; to
provide guidance on an employer&#146;s disclosures about plan assets of a defined benefit pension or
other postretirement plan. FSP FAS 132(R)-1 also includes a technical amendment to SFAS 132(R)
that requires a nonpublic entity to disclose net periodic benefit cost for each annual period for
which a statement of income is presented. FSP FAS 132(R)-1 is effective for fiscal years ending
after December&nbsp;15, 2009. Upon initial application, the provisions of FSP FAS 132(R)-1 are not
required for earlier periods that are presented for comparative purposes. Early adoption is
permitted. The technical amendment to SFAS 132(R) was effective upon issuance of FSP FAS 132(R)-1.
We do not expect the adoption of FSP FAS 132(R)-1 to have a material impact on our financial
statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In April&nbsp;2009, the FASB issued FSP No.&nbsp;141(R)-1, &#147;Accounting for Assets Acquired and
Liabilities Assumed in a Business Combination That Arise from Contingencies&#148; (&#147;FSP FAS 141(R)-1&#148;).
FSP FAS 141(R)-1 amends and clarifies SFAS 141(R) to address application issues raised by
preparers, auditors and members of the legal profession on initial recognition and measurement,
subsequent measurement and accounting, and disclosure of assets and liabilities arising from
contingencies in a business combination. FSP FAS 141(R)-1 is effective for assets or liabilities
arising from contingencies in business combinations for which the acquisition date is on or after
the beginning of the first annual reporting period beginning after December&nbsp;15, 2008. Adoption of
FSP FAS 141(R)-1 is not expected to have a material effect on our financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In April&nbsp;2009, the FASB issued FSP No.&nbsp;FAS 115-2 and FAS 124-2, &#147;Recognition and Presentation
of Other-Than-Temporary Impairments&#148; (&#147;FSP FAS 115-2 and 124-2&#148;). FSP FAS 115-2 and 124-2 amends
the other-than-temporary impairment guidance in U.S. generally accepted accounting principles
(&#147;GAAP&#148;) for debt securities. Consistent with current requirements for recording
other-than-temporary impairments, FSP FAS 115-2 and 124-2 states that the amount of impairment loss
recorded in earnings for a debt security will be the entire difference between the security&#146;s cost
and its fair value if the company intends to sell the debt security prior to recovery or it is
more-likely-than not that the company will have to sell the debt security prior to recovery. If,
however, the company does not intend to sell the debt security and it concludes that it is
more-likely-than-not that it will not have to sell the debt security prior to recovery, FSP FAS
115-2 and 124-2 requires a company to recognize the credit loss component of an
other-than-temporary impairment of a debt security in earnings and the remaining portion of the
impairment loss in other comprehensive income. The credit loss component of an
other-than-temporary impairment must be determined based on a company&#146;s best estimate of cash flows
expected to be
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->66<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">collected. FSP FAS 115-2 and 124-2 became effective for interim and annual periods ending
after June&nbsp;15, 2009. We adopted FSP FAS 115-2 and 124-2 for the period ended June&nbsp;30, 2009.
Adoption did not have a material effect on our financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In April&nbsp;2009, the FASB issued FSP No.&nbsp;FAS 157-4, &#147;Determining Fair Value When the Volume and
Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying
Transactions That Are Not Orderly&#148; (&#147;FSP FAS 157-4&#148;). FSP FAS 157-4 provides additional guidance
for estimating fair value in accordance with SFAS 157 when the volume and level of activity for an
asset or liability have significantly decreased. It also provides guidance on identifying
circumstances that indicate a transaction is not orderly. Determination of whether a transaction
is orderly or not orderly in instances when there has been a significant decrease in the volume and
level of activity for an asset or liability depends on an evaluation of facts and circumstances and
requires the use of significant judgment. FSP FAS 157-4 requires a company to disclose the inputs
and valuation techniques used to measure fair value and to discuss changes in such inputs and
valuation techniques, if any, that occurred during the reporting period. FSP FAS 157-4 became
effective for interim and annual periods ending after June&nbsp;15, 2009. We adopted FSP FAS 157-4 for
the period ended June&nbsp;30, 2009. Adoption did not have a material effect on our financial
statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In April&nbsp;2009, the FASB issued FSP No.&nbsp;FAS 107-1 and APB 28-1, &#147;Interim Disclosures about Fair
Value of Financial Instruments&#148; (&#147;FSP FAS 107-1 and APB 28-1&#148;). FSP FAS 107-1 and APB 28-1 amends
FASB Statement No.&nbsp;107, &#147;Disclosures about Fair Value of Financial Instruments,&#148; to require interim
reporting period disclosure about the fair value of financial instruments, including assets,
liabilities and off-balance sheet items for which it is practicable to estimate fair value. The
fair value estimates are made based upon relevant market information, if available, and upon the
characteristics of the financial instruments themselves. We adopted FSP FAS 107-1 and APB 28-1 for
the period ended June&nbsp;30, 2009. See Note 14 &#151; Fair Value Measurements of the notes to financial
statements included in this prospectus for the disclosures required by FSP FAS 107-1 and APB 28-1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In May&nbsp;2009, the FASB issued SFAS No.&nbsp;165, &#147;Subsequent Events&#148; (&#147;SFAS 165&#148;). The objective of
SFAS 165 is to establish principles and requirements for subsequent events and, in particular, the
period after the balance sheet date during which management of a reporting entity shall evaluate
events or transactions that may occur for potential recognition or disclosure in the financial
statements; the circumstances under which an entity shall recognize events or transactions
occurring after the balance sheet date in its financial statements and the disclosures that an
entity shall make about events or transactions that occurred after the balance sheet date. SFAS
165 is effective for interim and annual reporting periods ending after June&nbsp;15, 2009. We adopted
SFAS 165 for the period ended June&nbsp;30, 2009. Adoption did not have a material effect on our
financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In June&nbsp;2009, the FASB issued SFAS No.&nbsp;166, &#147;Accounting for Transfers of Financial Assets &#151;
an amendment of FASB Statement No.&nbsp;140&#148; (&#147;SFAS 166&#148;) to improve the reporting for the transfer of
financial assets resulting from (1)&nbsp;practices that have developed since the issuance of FASB
Statement No.&nbsp;140, &#147;Accounting for Transfers and Servicing of Financial Assets and Extinguishments
of Liabilities,&#148; that are not consistent with the original intent and key requirements of that
Statement and (2)&nbsp;concerns of financial statement users that many of the financial assets (and
related obligations) that have been derecognized should continue to be reported in the financial
statements of transferors. SFAS 166 is effective for interim and annual reporting periods
beginning after November&nbsp;15, 2009. The adoption of SFAS 166 is not expected to have a material
effect on our results of operations or financial position.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In June&nbsp;2009, the FASB issued SFAS No.&nbsp;167, &#147;Amendments to FASB Interpretation No.&nbsp;46(R)&#148;
(&#147;SFAS 167&#148;) to amend certain requirements of FASB Interpretation No.&nbsp;46 (revised December&nbsp;2003),
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->67<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&#147;Consolidation of Variable Interest Entities&#148; to improve financial reporting by enterprises
involved with variable interest entities and to provide more relevant and reliable information to
users of financial statements. SFAS 167 is effective for interim and annual reporting periods
beginning after November&nbsp;15, 2009. The adoption of SFAS 167 is not expected to have a material
effect on our results of operations or financial position.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In June&nbsp;2009, the FASB issued SFAS No.&nbsp;168, &#147;The FASB Accounting Standards Codification&#153; and
the Hierarchy of Generally Accepted Accounting Principles&#151;a replacement of FASB Statement No.&nbsp;162&#148;
(&#147;SFAS 168&#148;). SFAS 168 identifies the sources of authoritative accounting principles and the
framework for selecting the principles used in the preparation of financial statements that are
presented in conformity with U.S. GAAP by nongovernmental entities. SFAS 168 is effective for
financial statements issued for interim and annual periods ending after September&nbsp;15, 2009. The
adoption of SFAS 168 is not expected to have a material effect on our results of operations or
financial position.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Impact of Inflation and Changing Prices</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our consolidated financial statements and related notes have been prepared in accordance with
U.S. GAAP. U.S. GAAP generally requires the measurement of financial position and operating
results in terms of historical dollars without consideration of changes in the relative purchasing
power of money over time due to inflation. The impact of inflation is reflected in the increased
cost of our operations. Unlike industrial companies, our assets and liabilities are primarily
monetary in nature. As a result, changes in market interest rates have a greater impact on
performance than the effects of inflation.
</DIV>
<DIV align="left">
<A name="142"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>BUSINESS OF OMNIAMERICAN BANCORP, INC.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc. is incorporated in the State of Maryland. We have not engaged in
any business to date. Upon completion of the conversion, we will own all of the issued and
outstanding stock of OmniAmerican Bank. We will retain up to 50% of the net proceeds from the
offering and initially invest the remaining net proceeds in OmniAmerican Bank as additional capital
of OmniAmerican Bank. OmniAmerican Bancorp, Inc. will use a portion of the net proceeds to make a
loan to the employee stock ownership plan. At a later date, we may use the net proceeds to pay
dividends to stockholders and may repurchase shares of common stock, subject to regulatory
limitations. We will invest our initial capital as discussed in &#147;How We Intend to Use the Proceeds
from the Offering.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the future, OmniAmerican Bancorp, Inc., as the holding company of OmniAmerican Bank, will
be authorized to pursue other business activities permitted by applicable laws and regulations,
which may include the acquisition of banking and financial services companies. See &#147;Supervision
and Regulation&#151;Holding Company Regulation&#148; for a discussion of the activities that are permitted
for savings and loan holding companies. We currently have no understandings or agreements to
acquire other financial institutions. We may also borrow funds for reinvestment in OmniAmerican
Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the offering, our cash flow will depend on earnings from the investment of the net
proceeds from the offering that we retain, and any dividends we receive from OmniAmerican Bank.
Initially, OmniAmerican Bancorp, Inc. will neither own nor lease any property, but will instead pay
a fee to OmniAmerican Bank for the use of its premises, equipment and furniture. At the present
time, we intend to employ only persons who are officers of OmniAmerican Bank to serve as officers
of OmniAmerican Bancorp, Inc. We will, however, use the support staff of OmniAmerican Bank from
time to time. We will pay a fee to OmniAmerican Bank for the time devoted to OmniAmerican Bancorp,
Inc. by employees of OmniAmerican Bank. However, these persons will not be separately compensated
by OmniAmerican Bancorp, Inc. OmniAmerican Bancorp, Inc. may hire additional employees, as
appropriate, to the extent it expands its business in the future.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->68<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="143"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>BUSINESS OF OMNIAMERICAN BANK</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>General</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are a federally chartered savings bank headquartered in Fort Worth, Texas. OmniAmerican
Bank was originally chartered in 1956 as a federal credit union serving the active and retired
military personnel of Carswell Air Force Base. We completed the conversion from a Texas credit
union charter to a federal mutual savings bank charter as of January&nbsp;1, 2006. The objective of the
charter conversion was to convert to a banking charter that was more appropriate to carry out our
business strategy of broadening our banking services into residential and commercial lending and by
enabling the sale of loans and servicing of loans for others, which has allowed us to better serve
the needs of our customers and the local community. At June&nbsp;30, 2009, we had assets of $1.0
billion, net loans of $725.1&nbsp;million, deposits of $759.8&nbsp;million and equity capital of $90.3&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our principal business consists primarily of accepting deposits from the general public and
investing those deposits, together with funds generated from operations and borrowings, in mortgage
loans secured by residential real estate, consumer loans, consisting primarily of indirect
automobile loans (automobile loans referred to us by an automobile dealership), and to a lesser
extent, commercial real estate, real estate construction, commercial business loans and automobile
loans originated directly from the automobile purchaser. Since we completed our conversion from a
credit union to a savings bank, we have increased our residential real estate, real estate
construction, commercial real estate and commercial business lending while deemphasizing our
consumer lending activities. Loans are originated from our main office in Fort Worth, Texas, and
from our branch network in the Dallas-Fort Worth Metroplex and surrounding communities in North
Texas. We retain in our portfolio all adjustable-rate loans that we originate, as well as
fixed-rate one- to four-family residential mortgage loans with terms of 15&nbsp;years or less. We
currently sell most of the long-term, fixed-rate one- to four-family residential mortgage loans
(terms greater than 15&nbsp;years) that we originate either to Fannie Mae on a servicing-retained basis
or into the secondary mortgage market on a servicing-released basis to generate fee income and for
interest rate risk management purposes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to loans, we invest in a variety of investments, primarily government sponsored
mortgage-backed securities, and to a lesser extent, municipal obligations, agency bonds and equity
securities. We have in the past invested in trust preferred securities issued by third parties, but
this is not an integral part of our investment portfolio. At June&nbsp;30, 2009, our investment
securities portfolio had an amortized cost of $181.2&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We attract retail deposits from the general public in the areas surrounding our main office
and our branch offices. We offer a variety of deposit accounts, including noninterest bearing and
interest bearing demand accounts, savings accounts, money market accounts and certificates of
deposit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We recently started offering wealth management services to individuals in our market area.
Our wealth management group offers a variety of products including deposit products such as money
market and high yield checking accounts with preferred rates, customized lending, and financial
planning services. We also offer brokerage services for the purchase and sale of non-deposit
investment and insurance products through a third party brokerage agreement. We anticipate
increasing our assets under management as part of the growth of our wealth management group, which
in turn should contribute to our net income. At June&nbsp;30, 2009, our wealth management group had
$18.7&nbsp;million in loans and $19.5&nbsp;million in deposits under management.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->69<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our revenues are derived primarily from interest on loans and mortgage-backed and other
investment securities. We also generate revenues from fees and service charges. Our primary
sources of funds are deposits, principal and interest payments on securities and loans, and
borrowings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our website address is <U>www.omniamerican.com.</U> Information on our website is not and
should not be considered a part of this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Market Area</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary market area includes consumers and businesses in the Dallas-Fort Worth Metroplex.
The total area of the Dallas-Fort Worth Metroplex contains 9,103 square miles. Among nationwide
metropolitan areas, the Dallas-Fort Worth Metroplex ranked fourth in population with 6.4&nbsp;million
residents and sixth in gross metropolitan product. The Dallas-Fort Worth Metroplex produces
approximately 32% of the Texas gross state product.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The population of the Dallas-Fort Worth Metroplex is projected to grow by 11.9% over the
five-year period from 2009 to 2014, increasing to 7.2&nbsp;million. The population expansion in the
Dallas-Fort Worth Metroplex exceeded the national and state increases from 2000 to 2009 and is
expected to continue this trend. The Dallas-Fort Worth Metroplex had a high level of employment in
the professional and business services, financial activities, and information sectors. Professional
and business services was the largest employment sector in the Dallas-Fort Worth Metroplex and
accounted for 14.4% of total nonfarm employment, compared to 12.7% and 12.2% in the United States
and Texas, respectively. Financial services accounted for 7.8% of employment in the Dallas-Fort
Worth Metroplex compared to 6.1% and 5.9% in the United States and Texas, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Like the national economy, the Texas economy is in a recession, but the Texas economy has been
more stable than the nation as a whole. The state&#146;s economy lost 274,600 jobs from June&nbsp;2008 to
June&nbsp;2009, an annual job loss of 2.6%. Over the same period, the U.S. economy lost more than 5.8
million jobs or 4.2%. The state&#146;s seasonally adjusted unemployment rate rose from 4.8% in June&nbsp;2008
to 7.5% in June&nbsp;2009, while the corresponding U.S. rate increased from 5.6% to 9.5% during the same
period. The Dallas-Fort Worth Metroplex unemployment rate rose from 5.1% in June&nbsp;2008 to 8.2% in
June&nbsp;2009. The state&#146;s unemployment rate remained two percentage points below the national
unemployment rate and has trailed the national rate for the past 30 consecutive months. In
addition, Texas has endured the national real estate downturn without significantly lowered housing
values due to low interest rates and taxes, lower unemployment, higher rates of job creation, a
growing population, and the continued affordability of Texas housing. In particular, the
Dallas-Fort Worth Metroplex ranked third among metropolitan areas that have been the least affected
by falling home prices.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Decreases in energy prices, particularly natural gas prices, have had an adverse effect on the
Texas economy as a whole and resulted in the Texas state government obtaining less tax revenue from
the sale of natural gas. This is expected to result in greater stress on the state economy which
may in turn adversely affect our market area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Competition</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We face intense competition in our market area both in making loans and attracting deposits.
We compete with commercial banks, savings institutions, mortgage brokerage firms, credit unions,
finance companies, mutual funds, insurance companies and investment banking firms. Some of our
competitors have greater name recognition and market presence that benefit them in attracting
business, and offer certain services that we do not or cannot provide.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->70<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our deposit sources are primarily concentrated in the communities surrounding our banking
offices, located in the Dallas-Fort Worth Metroplex and surrounding communities in North Texas. As
of June&nbsp;30, 2008 (the latest date for which information is publicly available), we ranked 22nd in
FDIC-insured deposit market share (out of 192 bank and thrift institutions with offices in the
Dallas-Fort Worth-Arlington, Texas, MSA) with a 0.37% market share. Such data does not reflect
deposits held by credit unions with which we also compete.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Lending Activities</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our principal lending activity is the origination of mortgage loans secured by residential
real estate, consumer loans, consisting primarily of indirect automobile loans, and to a lesser
extent, commercial real estate, real estate construction, commercial business loans and direct
automobile loans. The following table provides a historical breakdown of our loan portfolio at the
end of each of our last five fiscal years and at June&nbsp;30, 2009.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->71<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Loan Portfolio Composition. </I></B>The following table sets forth the composition of our loan
portfolio at the dates indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="38" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="46"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family<SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">261,334</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">35.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">245,554</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">33.96</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">210,475</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">29.60</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">164,585</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">22.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">145,842</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">18.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">153,447</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">17.68</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity<SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,564</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,180</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,183</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,241</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,669</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.85</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,419</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.93</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95,625</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,023</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12.31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,953</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74,216</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,076</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,264</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.98</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.51</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,003</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,576</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.33</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,917</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.03</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">198,296</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">209,371</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">258,782</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36.39</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">359,428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49.19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">472,583</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">528,821</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60.92</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31,238</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,824</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,687</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,252</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,492</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,027</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.99</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,135</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,991</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,381</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.38</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,485</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,605</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.72</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,552</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,832</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,048</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,169</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.39</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,675</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,353</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,442</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.35</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,884</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,616</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,953</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,273</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.64</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">735,686</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">723,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">711,006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">730,728</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">796,351</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">868,126</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other items:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unearned fees and discounts, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,764</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">940</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,479</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,593</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,084</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Allowance for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,822</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,270</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,386</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,049</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,792</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(5,408</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">725,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">715,774</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">707,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">728,847</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">799,152</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">870,802</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Excludes loans held for sale of $425,000, $160,000, $253,000, $919,000, $0 and $0 at June&nbsp;30,
2009 and December&nbsp;31, 2008, 2007, 2006, 2005 and 2004, respectively.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Included in home equity loans are home equity lines of credit totaling $2.1&nbsp;million, $1.9
million, $993,000, $970,000, $1.1&nbsp;million and $831,000 at June&nbsp;30, 2009 and December&nbsp;31, 2008,
2007, 2006, 2005 and 2004, respectively.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->72<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Loan Portfolio Maturities and Yields. </I></B>The following table summarizes the scheduled repayments
of our loan portfolio at December&nbsp;31, 2008. Demand loans, loans having no stated repayment
schedule or maturity, and overdraft loans are reported as being due in one year or less.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>One- to four-family real</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>estate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Home Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Commercial Real Estate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Real Estate Construction</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Automobile, indirect</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Due During the
Years Ending
December&nbsp;31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,679</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.98</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,445</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.85</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">12,299</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.95</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">18,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.39</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,643</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.36</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">576</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">223</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.41</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,557</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.36</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.86</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">133</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,173</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,719</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,407</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.88</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012 to 2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,117</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.02</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,079</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.39</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,561</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">91,606</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.03</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2014 to 2018</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,456</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.22</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,053</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,980</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,535</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,490</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2019 to 2023</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,361</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.86</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,860</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,029</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.73</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2024 and beyond</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">179,232</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.38</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,134</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.70</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,923</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">245,554</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.12</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">27,180</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">7.04</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,023</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.44</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">45,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.32</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">209,371</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.83</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Automobile, direct</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Unsecured Consumer</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Other Consumer</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Commercial Business</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="38"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Due During the
Years Ending
December&nbsp;31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,543</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.89</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,877</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">7.89</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,435</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.26</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,312</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.20</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">71,244</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.29</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,707</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,044</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">310</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,859</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.98</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,449</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.09</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,949</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.28</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,055</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.62</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,463</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.88</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012 to 2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,749</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,518</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.62</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">885</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.54</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">161,064</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.62</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2014 to 2018</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,876</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">407</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,815</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">111,623</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2019 to 2023</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">919</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.78</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,312</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.39</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2024 and beyond</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">204,949</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.44</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">34,824</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.53</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">10.08</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,832</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">723,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">6.46</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->73<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the scheduled repayments of fixed- and adjustable-rate loans at
December&nbsp;31, 2008 that are contractually due after December&nbsp;31, 2009. For purposes of the table,
adjustable-rate loans include adjustable-rate mortgages with initial fixed-rate periods of three to
seven years.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>Due After December 31, 2009</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fixed</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Adjustable</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">214,469</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">25,406</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">239,875</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,698</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,037</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,735</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,739</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,985</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76,724</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,712</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,117</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,829</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,728</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,728</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,281</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,281</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,627</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,628</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,369</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,397</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,169</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,494</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,663</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">518,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">133,068</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">651,860</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>One- to Four-Family Residential Mortgage Loans. </I></B>At June&nbsp;30, 2009, $261.3&nbsp;million, or 35.5% of
our total loan portfolio consisted of one- to four-family residential mortgage loans. We offer
residential mortgage loans that conform to Fannie Mae underwriting standards (conforming loans) and
non-conforming loans. We generally underwrite our one- to four-family residential mortgage loans
based on the applicant&#146;s employment and credit history and the appraised value of the subject
property. Our loans have fixed-rates and adjustable-rates, with maturities of up to 30&nbsp;years, and
maximum loan amounts generally of up to $1.0&nbsp;million. At June&nbsp;30, 2009, fixed-rate one- to
four-family residential mortgage loans totaled $227.0&nbsp;million and adjustable-rate one- to
four-family residential mortgage loans totaled $34.3&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We currently offer fixed-rate conventional mortgage loans with terms of up to 30&nbsp;years that
are fully amortizing with monthly loan payments, and adjustable-rate mortgage loans that provide an
initial fixed interest rate for three, five or seven years and that amortize over a period up to 30
years. We do not offer discounted or teaser rates on our adjustable-rate mortgage loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our one- to four-family residential mortgage loans are generally conforming loans,
underwritten according to Fannie Mae guidelines. We generally originate both fixed- and
adjustable-rate mortgage loans in amounts up to the maximum conforming loan limits as established
by the Office of Federal Housing Enterprise Oversight, which is currently $417,000 for
single-family homes. At June&nbsp;30, 2009, 29.2% of our one- to four-family residential mortgage loans
had principal balances in excess of $417,000. At that date, our average one- to four-family
residential mortgage loan had a principal balance of $105,029. In the current low interest rate
environment most borrowers have preferred fixed-rate loans to our adjustable-rate loan products.
We also originate loans above the lending limit for conforming loans, which we refer to as &#147;jumbo
loans.&#148; We only originate fixed-rate jumbo loans with terms of up to 30&nbsp;years, and adjustable-rate
jumbo loans with an initial fixed-rate period of three, five or seven years and which adjust
annually. At June&nbsp;30, 2009, our largest one- to four-family residential mortgage loan had an
outstanding balance of $3.3&nbsp;million, was secured by a single-family residence, and was performing
in accordance with its terms as of that date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will originate loans with loan-to-value ratios in excess of 80%, provided that, with
limited exceptions, the borrower obtains private mortgage insurance. We generally will not
originate loans with a
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->74<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">loan-to-value ratio in excess of 95%. As of June&nbsp;30, 2009, $31.0&nbsp;million, or 11.9%, of our
residential loan portfolio had loan-to-value ratios in excess of 80%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We actively monitor our interest rate risk position to determine the desirable level of
investment in fixed-rate mortgages. We retain in our portfolio fixed-rate one- to four-family
residential mortgage loans with terms of 15&nbsp;years or less. We currently sell most of our
long-term, fixed-rate one- to four-family residential mortgage loans (terms greater than 15&nbsp;years)
that we originate into the secondary mortgage market to government sponsored entities, such as
Fannie Mae, or other purchasers. Such loans are sold without recourse. We generally retain the
servicing rights on all loans sold to Fannie Mae in order to generate fee income and reinforce our
commitment to our customers. For the six months ended June&nbsp;30, 2009 and for the year ended
December&nbsp;31, 2008, we received servicing fees of $109,000 and $73,000, respectively. As of June
30, 2009, the principal balance of loans serviced for others totaled $90.0&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We currently offer several types of adjustable-rate mortgage loans secured by residential
properties with interest rates that are fixed for an initial period ranging from three to seven
years. We offer adjustable-rate mortgage loans that are fully amortizing. After the initial fixed
period, the interest rate on adjustable-rate mortgage loans is generally reset every year based
upon a contractual spread or margin above the average yield on U.S. Treasury securities, adjusted
to a constant maturity of one year, as published weekly by the Federal Reserve Board, subject to
periodic and lifetime limitations on interest rate changes. Generally our adjustable-rate mortgage
loans have an initial cap of two percentage points on changes in the interest rate, with a two
percentage point cap on subsequent changes and a cap of six percentage points for the life of the
loan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustable-rate mortgage loans generally present different credit risks than fixed-rate
mortgage loans, primarily because the underlying debt service payments of the borrowers increase as
interest rates increase, thereby increasing the potential for default and higher rates of
delinquency. At the same time, the marketability of the underlying collateral may be adversely
affected by higher interest rates. Since changes in the interest rates on adjustable-rate
mortgages may be limited by an initial fixed-rate period or by the contractual limits on periodic
interest rate adjustments, adjustable-rate loans may not adjust as quickly as our interest-bearing
liabilities to increases in interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A portion of our one- to four-family residential mortgage loan portfolio possesses higher
risk characteristics. We have internally originated and purchased such loans in this portfolio.
This portfolio consists of subprime loans (those loans made to borrowers with credit scores of 660
or less and some additional credit weakness), stated income loans (the reasonableness of which was
verified through sources other than the borrower) and interest-only loans (loans typically provide
for the payment of interest only for a fixed period of time, thereafter the loan payments adjust
to include both principal and interest for the remaining term). At June&nbsp;30, 2009, the outstanding
balance of our subprime loans totaled $22.1&nbsp;million, or 8.4% of our one- to four-family
residential mortgage loans and 3.0% of our total loans. At June&nbsp;30, 2009, the outstanding balance
of our one- to four- family residential mortgage loans also included $14.7&nbsp;million of stated
income loans and $10.9&nbsp;million in interest-only loans (of which $5.9&nbsp;million are also stated
income loans). For the six months ended June&nbsp;30, 2009 and for the year ended December&nbsp;31, 2008, we
had no charge-offs or foreclosures in the above described portfolios.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In 2008, we began purchasing one- to four-family residential loans, which included subprime,
stated income and interest-only loans, at a discount to the original principal balance of the
mortgage loan. As of June&nbsp;30, 2009, the total outstanding balance of all purchased one- to
four-family residential mortgage loans was $32.4&nbsp;million, or 12.4% of our one- to four-family
residential loans and 4.4% of our total loans, while the carrying value of such loans, net of
purchase discounts, was $27.3&nbsp;million. Our
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->75<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">purchased one- to four-family residential mortgage loans included $6.8&nbsp;million of subprime
loans as of June&nbsp;30, 2009. In addition, these purchased one- to four-family residential mortgage
loans included $14.1&nbsp;million of stated income loans and $7.4&nbsp;million of interest-only loans (of
which $5.9&nbsp;million were also stated income loans). At June&nbsp;30, 2009, the purchased subprime,
stated income and interest-only loans represented 2.6%, 5.4% and 2.8%, respectively, of our total
one- to four-family residential mortgage loans. We intend to continue to purchase subprime, stated
income and interest-only loans as market conditions permit, and we are able to obtain the loans at
a sufficient discount to the loan balance to compensate us for the added risk associated with such
loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, our internally originated one- to four-family residential loans included
$15.3&nbsp;million of subprime loans, $3.5&nbsp;million of interest-only loans and $568,000 of stated income
loans. These loans represent 5.8%, 1.3%, and 0.2%, respectively, of our total one- to four-family
residential mortgage loans. We intend to continue to originate these types of loans in the future
as market conditions permit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We do not offer or purchase loans that provide for negative amortization of principal, such as
&#147;Option ARM&#148; loans, where the borrower can pay less than the interest owed on their loan, resulting
in an increased principal balance during the life of the loan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We require title insurance on all of our one- to four-family residential mortgage loans that
exceed $100,000, and we also require that borrowers maintain fire and extended coverage casualty
insurance (and, if appropriate, flood insurance) in an amount at least equal to the lesser of the
loan balance or the replacement cost of the improvements. We do not conduct environmental testing
on residential mortgage loans unless specific concerns for hazards are identified by the appraiser
used in connection with the origination of the loan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the six months ended June&nbsp;30, 2009 and for the year ended December&nbsp;31, 2008, we had a
total of two foreclosures in our one- to four-family residential mortgage loan portfolio totaling
$231,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Home Equity Loans and Lines of Credit</I></B>. In addition to traditional one- to four-family
residential mortgage loans, we offer home equity loans and home equity lines of credit that are
secured by the borrower&#146;s primary residence. Our home equity loans are primarily originated with
fixed rates of interest with terms of up to 30&nbsp;years. Home equity loans and lines of credit are
generally underwritten using the same criteria that we use to underwrite one- to four-family
residential mortgage loans. Home equity loans may be underwritten with a loan-to-value ratio of
80% when combined with the principal balance of the existing mortgage loan, while lines of credit
for owner-occupied properties may be underwritten with loan-to-value ratios of 80% of the market
value of the single-family residence inclusive of all other debt and the credit limit cannot exceed
50% of the market value when combined with the principal balance of the existing mortgage loan.
Home equity lines of credit are generally originated with adjustable-rates of interest. The maximum
maturity period is 20&nbsp;years with a five-year period to draw funds. At the time we close a home
equity loan or line of credit, we record a deed of trust to perfect our security interest in the
underlying collateral. At June&nbsp;30, 2009, the outstanding balance of home equity loans totaled
$25.4&nbsp;million, or 3.5% of our total loan portfolio, and the outstanding balance of home equity
lines of credit totaled $2.1&nbsp;million, or 0.3% of our total loan portfolio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Home equity loans secured by second mortgages have greater risk than residential mortgage
loans secured by first mortgages. We face the risk that the collateral will be insufficient to
compensate us for loan losses and costs of foreclosure. When customers default on their loans, we
attempt to foreclose on the property and resell the property as soon as possible to minimize
foreclosure and carrying costs.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->76<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">However, the value of the collateral may not be sufficient to compensate us for the amount of
the unpaid loan and we may be unsuccessful in recovering the remaining balance from those
customers. Particularly with respect to our home equity loans, decreases in real estate values
could adversely affect the value of property used as collateral for our loans.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Commercial Real Estate Loans. </I></B>We originate commercial real estate loans secured primarily by
office buildings, hotels, strip mall centers, apartment buildings, condominiums, developed lots and
raw land. Loans secured by commercial real estate totaled $95.6&nbsp;million, or 13.0%, of our total
loan portfolio at June&nbsp;30, 2009, and consisted of 178 loans outstanding with an average loan
balance of approximately $537,221 for the six months ended June&nbsp;30, 2009. Substantially all of the
commercial real estate loans that we originate are secured by properties located in Texas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our
commercial real estate loans are generally written for terms of up to five years with
adjustable interest rates. The rates are generally tied to the prime rate as reported in <I>The Wall
Street Journal </I>and generally have a specified floor. Many of our adjustable-rate commercial real
estate loans require a balloon payment at maturity. We also originate 15- to 20-year fixed rate,
fully amortizing commercial real estate loans. A portion of our commercial real estate loans are
loans that we have provided permanent financing following the completion of the real estate
construction loan that we previously originated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the underwriting of commercial real estate loans, we generally lend up to 85% of the
property&#146;s appraised value and up to 65% of the property&#146;s appraised value if the property is
unimproved land. We base our decisions to lend on the economic viability of the property and the
creditworthiness of the borrower. In evaluating a proposed commercial real estate loan, we
emphasize the ratio of the property&#146;s projected net cash flow to the loan&#146;s debt service
requirement (generally requiring a minimum ratio of 120%), computed after deduction for a vacancy
factor and property expenses we deem appropriate. Personal guarantees are usually obtained from
commercial real estate borrowers. We require title insurance insuring the priority of our lien,
fire and extended coverage casualty insurance, and, if appropriate, flood insurance, in order to
protect our security interest in the underlying property.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commercial real estate loans generally carry higher interest rates and have shorter terms than
one- to four-family residential mortgage loans. Commercial real estate loans, however, entail
significant additional credit risks compared to one- to four-family residential mortgage loans, as
they typically involve larger loan balances concentrated with single borrowers or groups of related
borrowers. In addition, the payment of loans secured by income-producing properties typically
depends on the successful operation of the related real estate project and thus may be subject to a
greater extent to adverse conditions in the real estate market and in the general economy. At June
30, 2009, our largest commercial real estate loan had an outstanding balance of $6.8&nbsp;million, was
secured by residential lots, and was performing in accordance with its terms as of that date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Real Estate Construction Loans. </I></B>We originate real estate construction loans for the
construction of single-family residences, condominiums, office buildings, hotels and retail strip
centers. Construction loans are offered to individuals for the construction of their personal
residences (owner-occupied), and to qualified developers. At June&nbsp;30, 2009, real estate
construction loans totaled $40.5&nbsp;million, or 5.5% of total loans. At June&nbsp;30, 2009, the commitment
to advance additional portions of these real estate construction loans totaled $3.3&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We grant construction loans to area builders. In the case of residential subdivisions, these
loans finance the cost of completing homes. Advances on construction loans are made in accordance
with a schedule reflecting the cost of construction, but are generally limited to the lower of 100%
of actual
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->77<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">construction costs or 85% of the completed appraised value. Repayment of construction loans
on residential subdivisions is normally expected from the sale of units to individual purchasers.
In the case of income-producing property, repayment is usually expected from permanent financing
upon completion of construction.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Before making a commitment to fund a construction loan, we require an appraisal of the
property by an independent licensed appraiser. We generally also review and inspect each property
before disbursement of funds during the term of the construction loan. We typically make
construction loans only to developers with who we have an existing relationship or who are known to
us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction financing generally involves greater credit risk than long-term financing on
improved, owner-occupied real estate. Risk of loss on a construction loan depends largely upon the
accuracy of the initial estimate of the value of the property at completion of construction
compared to the estimated cost (including interest) of construction and other assumptions. If the
estimate of construction cost proves to be inaccurate, we may be required to advance additional
funds beyond the amount originally committed in order to protect the value of the property.
Moreover, if the estimated value of the completed project proves to be inaccurate, the borrower may
hold a property with a value that is insufficient to assure full repayment of the construction loan
upon the sale of the property. In the event we make a land acquisition loan on property that is
not yet approved for the planned development, there is the risk that approvals will not be granted
or will be delayed. Construction loans also expose us to the risk that improvements will not be
completed on time in accordance with specifications and projected costs. In addition, the ultimate
sale or rental of the property may not occur as anticipated. At June&nbsp;30, 2009, our largest real
estate construction loan had an outstanding balance of $11.5&nbsp;million, was secured by condominiums,
and was performing in accordance with its terms as of that date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Consumer Lending</I></B><B>. </B>We offer a variety of secured consumer loans, including new and used
automobile loans, recreational vehicle loans, and loans secured by savings deposits. We also offer
unsecured consumer loans. We originate our consumer loans primarily in our market areas. Most of
our consumer loans are secured by automobiles. At June&nbsp;30, 2009, our consumer loan portfolio
totaled $249.2&nbsp;million, or 33.9% of our total loan portfolio. We originate automobile loans on a
direct and indirect basis. Automobile loans totaled $229.5&nbsp;million at June&nbsp;30, 2009, or 31.2% of
our total loan portfolio, with $31.2&nbsp;million in direct loans and $198.3&nbsp;million in indirect loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We acquire our indirect automobile loans from approximately 185 dealers located primarily in
our market area under an arrangement providing for a premium for any amount over the interest rate
to be paid to the referring dealer. Approximately 64.3% of the aggregate principal balance of our
automobile loan portfolio as of June&nbsp;30, 2009 was for new vehicles; and the remainder was for used
vehicles. The weighted average original term to maturity of our automobile loan portfolio at June
30, 2009 was five years and five months. The average outstanding balance of our automobile loans
for the six months ended June&nbsp;30, 2009 was $12,656 and the average credit score was 742. Borrowers
representing more than 97.7% of the aggregate principal balance of our automobile loan portfolio as
of June&nbsp;30, 2009 had mailing addresses in the State of Texas. We have been in the business of
providing indirect financing of vehicles since 1992.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each dealer that originates automobile loans makes representations and warranties with respect
to our security interests in the related financed vehicles in a separate dealer agreement with us.
These representations and warranties do not relate to the creditworthiness of the borrowers or the
collectibility of the loan. The dealers are also responsible for ensuring that our security
interest in the financed vehicles is perfected.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->78<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each automobile loan requires the borrower to keep the financed vehicle fully insured against
loss or damage by fire, theft and collision. The dealer agreements require the dealers to
represent that adequate physical damage insurance (collision and comprehensive) was in effect at
the time the related loan was originated and financed by us. In addition, we have the right to
force place insurance coverage (supplemental insurance taken out by OmniAmerican Bank) in the event
the required physical damage insurance on an automobile is not maintained by the borrower.
Nevertheless, there can be no assurance that each financed vehicle will continue to be covered by
physical damage insurance provided by the borrower during the entire term during which the related
loan is outstanding.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each dealer submits credit applications directly to us, and the borrower&#146;s creditworthiness
is the most important criterion we use in determining whether to purchase an automobile loan from a
dealer. Each credit application requires that the borrower provide current information regarding
the borrower&#146;s employment history, debts, and other factors that bear on creditworthiness. We
generally apply uniform underwriting standards when originating the automobile loan. We also
typically obtain a credit report from a major credit reporting agency summarizing the borrower&#146;s
credit history and paying habits, including such items as open accounts, delinquent payments,
bankruptcies, repossessions, lawsuits and judgments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The borrower&#146;s credit score is the principal factor used in determining the interest rate on
the loan. Our underwriting procedure evaluates information relating to the borrower and supplied
by the borrower on the credit application combined with information provided by credit reporting
agencies and the amount to be financed relative to the value of the related financed vehicle.
Additionally, our underwriters may also verify a borrower&#146;s employment income and/or residency or
where appropriate, verify a borrower&#146;s payment history directly with the borrower&#146;s creditors.
Based on these procedures, a credit decision is considered and approved either automatically or by
our personnel at various levels of authority. We generally follow the same underwriting guidelines
in originating direct automobile loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary consideration when originating an automobile loan is the borrower&#146;s ability to
repay the loan and the value of the underlying collateral. We generally finance up to the full
sales price of the vehicle plus sales tax, dealer preparation fees, license fees and title fees,
plus the cost of service and warranty contracts and premiums for physical damage, credit life and
disability insurance obtained in connection with the vehicle or the financing (amounts in addition
to the sales price are collectively referred to as the &#147;Additional Vehicle Costs&#148;). In addition,
we may finance the negative equity related to the vehicle traded in by the borrower in connection
with the financing. Accordingly, the amount we finance may exceed, depending on the borrower&#146;s
credit score, in the case of new vehicles, the dealer&#146;s invoice price of the financed vehicle and
the Additional Vehicle Costs, or in the case of a used vehicle, the vehicle&#146;s value and the
Additional Vehicle Costs. The maximum amount borrowed generally may not exceed 125% of the full
sales price of the financed vehicle that is new, or the vehicle&#146;s &#147;wholesale&#148; value in the case of
a used vehicles, including Additional Vehicle Costs. The vehicle&#146;s value is determined by using
one of the standard reference sources for dealers of used cars. We regularly review the quality of
the loans we purchase from the dealers and periodically conduct quality control audits to ensure
compliance with our established policies and procedures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, our automobile loans to borrowers with credit scores of 660 or less totaled
$14.6&nbsp;million or 6.4% of our total automobile loan portfolio. We typically will not originate these
types of loans with loan-to-value ratios greater than 110%. We also carefully consider the
applicant&#146;s employment history and we may charge a higher interest rate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our secured consumer loans totaled $5.6&nbsp;million, or 0.8% of our total loan portfolio at June
30, 2009, and consisted principally of deposit secured loans. We also originate unsecured consumer
loans.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->79<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, our unsecured consumer loans totaled $14.1&nbsp;million, or 1.9% of our total
loan portfolio. These loans have either a fixed rate of interest for a maximum term of 60&nbsp;months,
or are revolving lines of credit with an adjustable-rate of interest tied to the prime rate of
interest as reported in <I>The Wall Street Journal</I>. At June&nbsp;30, 2009, unfunded commitments on our
unsecured lines of credit totaled $8.0&nbsp;million, and the average outstanding balance on our lines
was approximately $4,634 for the six months ended June&nbsp;30, 2009.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consumer loans generally have shorter terms to maturity, which reduces our exposure to changes
in interest rates. In addition, management believes that offering consumer loan products helps to
expand and create stronger ties to our existing customer base by increasing the number of customer
relationships and providing cross-marketing opportunities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consumer and other loans generally have greater risk compared to longer-term loans secured by
improved, owner-occupied real estate, particularly consumer loans that are secured by rapidly
depreciable assets, such as automobiles. In these cases, any repossessed collateral for a defaulted
loan may not provide an adequate source of repayment of the outstanding loan balance. As a result,
consumer loan collections are dependent on the borrower&#146;s continuing financial stability and thus
are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy.
Furthermore, our consumer loan portfolio contains a substantial number of indirect automobile loans
where we assume the risk that the automobile dealership underwriting the loans complies with
federal, state and local consumer protection laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Commercial Business Loans</I></B><B>. </B>We make various types of secured and unsecured commercial business
loans to customers in our market area for the purpose of acquiring equipment and other general
business purposes. The terms of these loans generally range from one year to a maximum of 10
years. The loans are either negotiated on a fixed-rate basis or carry adjustable interest rates
indexed to the prime rate as reported in <I>The Wall Street Journal </I>and generally with specified
floors<I>. </I>At June&nbsp;30, 2009, we had 245 commercial business loans outstanding with an aggregate
balance of $61.4&nbsp;million, or 8.4% of our total loans. For the six months ended June&nbsp;30, 2009, the
average commercial business loan balance was approximately $250,758. At June&nbsp;30, 2009, we had $1.7
million in unsecured commercial business loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have in the past purchased participation interests in shared national credits, which are
adjustable-rate loans generally tied to the London InterBank Offered Rate (LIBOR)&nbsp;where a larger
financial institution serves as the lead lender, and credit is extended to a large business secured
by business assets or equipment. Historically, the minimum participation amount has been $5.0
million. At June&nbsp;30, 2009, we had $22.6&nbsp;million in shared national credit loans with our largest
single participation loan of $4.6&nbsp;million. We are no longer purchasing shared national credit
loans. In the future, we intend to focus our commercial business lending on small-to-medium size
businesses in our local market area.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commercial credit decisions are based upon our credit assessment of the borrower and the
underlying business. We determine the borrower&#146;s ability to repay in accordance with the proposed
terms of the loan and we assess the risks involved. An evaluation is made of the borrower to
determine character and capacity to manage the borrower&#146;s business. Personal guarantees of the
principals of a borrower are usually obtained. In addition to evaluating the borrower&#146;s financial
statements, we consider the adequacy of the primary and secondary sources of repayment for the
loan. Credit agency reports of the guarantor&#146;s credit history supplement our analysis of the
borrower&#146;s creditworthiness. We may also check with other banks and conduct trade investigations.
Collateral supporting a secured transaction also is analyzed to determine its marketability.
Commercial business loans generally have higher interest rates than residential mortgage loans of
like duration because they have a higher risk of default since their
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->80<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">repayment generally depends on the successful operation of the borrower&#146;s business and the
sufficiency of any collateral. Our pricing of commercial business loans is based primarily on the
credit risk of the borrower, with due consideration given to borrowers with an appropriate deposit
relationship. At June&nbsp;30, 2009, our largest internally originated commercial business loan had an
outstanding balance of $5.3&nbsp;million, was secured by notes receivable and was performing in
accordance with its terms as of that date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Loan Originations, Purchases, Sales, Participations and Servicing. </I></B>Lending activities are
conducted primarily by our loan personnel operating at our main and branch office locations. All
loans that we originate are underwritten pursuant to our policies and procedures. In addition, our
one- to four-family residential mortgage loans generally incorporate Fannie Mae underwriting
guidelines. We originate both adjustable-rate and fixed-rate loans. Our ability to originate
fixed- or adjustable-rate loans is dependent upon the relative customer demand for such loans,
which is affected by current market interest rates as well as anticipated future market interest
rates. Our loan origination and sales activity may be adversely affected by a rising interest rate
environment that typically results in decreased loan demand. Most of our commercial real estate
and commercial business loans are generated by referrals from professional contacts. Most of our
one- to four-family residential mortgage loan, consumer loan and home equity loan originations are
generated by existing customers, referrals from real estate brokers and automobile dealers
participating in our indirect automobile loan program, residential home builders, walk-in business
and from our internet website.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We decide whether to retain the loans that we originate or sell loans in the secondary market
after evaluating current and projected market interest rates, our interest rate risk objectives,
our liquidity needs and other factors. We sold $71.7&nbsp;million of residential mortgage loans (all
fixed-rate loans, with terms of 15&nbsp;years or longer) during the year ended December&nbsp;31, 2008 and
$49.6&nbsp;million of such loans were sold during the six months ended June&nbsp;30, 2009. We had $425,000
in loans held for sale in the secondary market at June&nbsp;30, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, we were servicing residential mortgage loans for Fannie Mae with a principal
balance of $90.0&nbsp;million. Loan servicing includes collecting and remitting loan payments,
accounting for principal and interest, contacting delinquent borrowers, supervising foreclosures
and property dispositions in the event of unremedied defaults, making certain insurance and tax
payments on behalf of borrowers and generally administering the loans. We retain a portion of the
interest paid by the borrower on the loans we service as consideration for our servicing
activities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We purchased $78.0&nbsp;million and $14.9&nbsp;million in loans during the year ended December&nbsp;31, 2008
and for the six months ended June&nbsp;30, 2009, respectively. Our primary purchase activity in 2008 was
participation interests in shared national credit loans described above under &#147; &#151;Commercial
Business Loans.&#148; We also purchased one- to four-family residential loans in 2008 and 2009 to
supplement our own loan origination activity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table shows
the loan origination, sale
and repayment activities of
OmniAmerican Bank for the periods indicated.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->81<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>For the Six</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Months Ended</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>For the Year Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Originations by type:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Adjustable-rate:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,858</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">18,761</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,212</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,441</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,441</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,207</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">728</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,963</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,584</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,215</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,424</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,150</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,819</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,967</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,187</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">457</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,595</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,519</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,919</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,027</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,271</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,567</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">336</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,901</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total adjustable-rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,688</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56,048</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">75,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,547</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fixed-rate:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">92,347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108,441</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69,767</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,983</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,422</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,856</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,060</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,362</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,791</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,353</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">583</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">415</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,310</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,027</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39,873</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,029</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70,171</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">104,007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,002</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,223</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,067</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,947</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,427</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,348</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,957</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">331</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">523</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,760</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,684</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,042</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,414</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total fixed-rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">147,259</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">232,884</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">190,258</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">238,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans originated</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">173,947</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">288,932</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">265,472</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">300,055</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Purchases:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,495</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">33,372</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">419</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38,472</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,970</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">973</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans purchased</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,044</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">37,720</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">12,973</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sales and repayments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">49,626</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">71,659</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,436</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,209</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,012</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured and other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans sold</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">49,626</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">71,659</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">13,436</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">18,221</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Principal repayments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">126,653</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">283,219</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">309,478</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">360,430</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total reductions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">176,279</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">354,878</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">322,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">378,651</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Increase (decrease)&nbsp;in
other items, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(3,256</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(3,423</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,026</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(4,682</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net increase (decrease)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,326</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,675</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(21,748</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(70,305</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->82<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Loan Approval Procedures and Authority</I></B>. Our lending activities follow written,
non-discriminatory underwriting standards and loan origination procedures established by
OmniAmerican Bank&#146;s board of directors. The loan approval process is intended to assess the
borrower&#146;s ability to repay the loan and the value of the collateral that will secure the loan. To
assess the borrower&#146;s ability to repay, we review the borrower&#146;s employment and credit history and
information on the historical and projected income and expenses of the borrower. We will also
evaluate a guarantor when a guarantee is provided as part of the loan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank&#146;s policies and loan approval limits are established by our board of
directors. Our junior lending officers may approve secured commercial loans up to $50,000 and
unsecured commercial loans up to $10,000. Similarly, such officers may approve secured consumer
loans up to $50,000 and unsecured consumer loans up to $5,000. Our lending officers at the vice
president level may approve secured commercial loans up to $100,000 and unsecured commercial loans
up to $25,000. Similarly, such officers may approve secured consumer loans up to $50,000 and
unsecured consumer loans up to $5,000. Aggregate lending relationships in amounts up to $1.0
million for residential mortgage loans and in amounts up to $1.0&nbsp;million for commercial real estate
loans may be approved by the Chief Lending Officer or the Chief Credit Officer. Our President and
Chief Executive Officer has authority to approve aggregate lending relationships in amounts up to
$2.0&nbsp;million for residential mortgage loans and in amounts up to $2.5&nbsp;million for commercial real
estate loans. All loans in excess of $1.0&nbsp;million must be approved or ratified by a majority of
the Loan Committee, consisting of OmniAmerican Bank&#146;s Chief Executive Officer, Chief Lending
Officer, Chief Financial Officer, Chief Operating Officer and Chief Credit Officer. All approved
loans in excess of $1.0&nbsp;million are reported to the board of directors upon approval.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We generally require appraisals by independent, licensed, third-party appraisers of all real
property securing loans. All appraisers are approved by the board of directors annually.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Non-performing and Problem Assets</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With respect to our residential mortgage loans and consumer loans, collection calls typically
begin between the 5<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> and 15<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of delinquency. By the time a loan is 30
days past due, there will have been three delinquency notices sent as well as a minimum of three
personal phone contact attempts from the assigned employee and/or an automated calling system.
During each personal phone contact, the borrower is required to provide updated information and is
counseled on the terms of the loan and the importance of making payments on or before the due date.
Typically repossessions occur between 30 and 45&nbsp;days while foreclosures typically begin after the
61<SUP style="font-size: 85%; vertical-align: text-top">st</SUP> day of delinquency. A summary report of all loans 30&nbsp;days or more past due is
provided monthly to the board of directors of OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;With respect to our commercial real estate and commercial business lending, collection efforts
are carried out directly by our commercial loan officers. Commercial loan officers review past due
accounts weekly and contact delinquent borrowers immediately. Past due notices are typically sent
to commercial real estate customers and commercial business customers at 15&nbsp;days past due.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans are automatically placed on non-accrual status when the payment of principal and/or
interest is 90&nbsp;days or more past due. Loans may also be placed on non-accrual status if collection
of principal or interest is in doubt or if the collateral is in jeopardy. When loans are placed on
non-accrual status, unpaid accrued interest is fully reversed, and further income is recognized
only to the extent received. The loan may be returned to accrual status if unpaid principal and
interest are repaid so that the loan is less than 90&nbsp;days delinquent.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->83<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Non-Performing Assets. </I></B>The table below sets forth the amounts and categories of our
non-performing assets at the dates indicated. At June&nbsp;30, 2009 and December&nbsp;31, 2008, 2007, 2006,
2005 and 2004, we had troubled debt restructurings (loans for which a portion of interest or
principal has been forgiven and loans modified at interest rates materially less than current
market rates) of $6.3&nbsp;million, $4.0&nbsp;million, $2.1&nbsp;million, $2.3&nbsp;million, $2.2&nbsp;million and $2.6
million, respectively.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-accrual loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,477</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,288</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,272</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,668</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">243</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">280</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,431</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,054</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">317</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">476</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">356</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">107</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total non-accrual loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,573</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,701</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,972</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">361</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,866</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,629</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans delinquent 90&nbsp;days or greater
and still accruing:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total loans delinquent 90&nbsp;days
or greater and still accruing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total non-performing loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,573</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,701</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,972</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,299</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,866</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,629</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other real estate owned and foreclosed
assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">228</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">125</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">279</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">729</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">119</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">207</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total other real estate owned
and foreclosed assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">641</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">586</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">736</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">631</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">936</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total non-performing assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,930</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,294</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,565</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ratios:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Non-performing loans to total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.76</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.79</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.42</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.23</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.30</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Non-performing assets to total
assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.60</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.35</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.37</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.28</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->84<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the six months ended June&nbsp;30, 2009 and for the year ended December&nbsp;31, 2008, gross
interest income that would have been recorded had our non-accruing loans and troubled debt
restructured loans been current in accordance with their original terms was $695,000 and $531,000,
respectively. Interest income recognized on such loans for the six months ended June&nbsp;30, 2009 and
for the year ended December&nbsp;31, 2008 was $55,000 and $26,000, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, our non-accrual loans totaled $5.6&nbsp;million. The non-accrual loans consisted
primarily of two loans with principal balances totaling $4.4&nbsp;million. The first loan, with an
outstanding balance of $2.3&nbsp;million at June&nbsp;30, 2009, is secured by raw land with an appraised
value of $1.4&nbsp;million as of the most recent appraisal. At June&nbsp;30, 2009, we had a specific
allowance of $900,000 for this loan. We anticipate foreclosing on the property. The second loan,
with an outstanding balance of $2.1&nbsp;million at June&nbsp;30, 2009, is secured by a single-family home
with an appraised value of $2.1&nbsp;million as of the most recent appraisal. We foreclosed on the
property subsequent to June&nbsp;30, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, OmniAmerican Bank had no loans that were not currently classified as
nonaccrual, 90&nbsp;days past due or troubled debt restructurings but where known information about
possible credit problems of borrowers caused management to have serious concerns as to the ability
of the borrowers to comply with present loan repayment terms and that may result in disclosure as
nonaccrual, 90&nbsp;days past due or troubled debt restructurings.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->85<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Delinquent Loans</I></B>. The following table sets forth certain information with respect to our loan
portfolio delinquencies at the dates indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Loans Delinquent For</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>60-89 Days</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>90 Days and Over</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At June&nbsp;30, 2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,417</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,477</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,894</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,288</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,288</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">125</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">244</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">341</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,718</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">156</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,874</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,639</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,372</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,011</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">101</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">182</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,272</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,272</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">457</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">697</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">110</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">680</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,685</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">87</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,365</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At December&nbsp;31, 2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">164</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">164</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">243</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">590</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">131</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">630</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">304</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">934</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At December&nbsp;31, 2006</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">357</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">280</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">637</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">102</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">183</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,938</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">496</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,299</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,795</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->86<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Loans Delinquent For</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>60-89 Days</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>90 Days and Over</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At December&nbsp;31, 2005</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">897</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,385</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,282</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">129</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">299</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">428</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">106</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">106</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">112</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">127</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,793</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">239</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,933</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">At December&nbsp;31, 2004</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">800</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">130</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,909</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">181</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,709</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">469</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">669</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">99</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,081</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">187</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,477</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">286</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,558</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total delinquent loans increased by $4.6&nbsp;million to $11.0&nbsp;million at June&nbsp;30, 2009 from $6.4
million at December&nbsp;31, 2008. The increase in delinquent loans was due primarily to an increase of
$5.0&nbsp;million in loans delinquent 60 to 89&nbsp;days, of which $3.7&nbsp;million consisted of one commercial
business loan and $1.3&nbsp;million of the increase consisted of four one-to four-family real estate
loans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Real Estate Owned and Foreclosed Assets</I></B>. Real estate acquired by us as a result of
foreclosure or by deed in lieu of foreclosure is classified as real estate owned sold. When
property is acquired it is recorded at the lower of cost or estimated fair market value at the date
of foreclosure, establishing a new cost basis. Estimated fair value generally represents the sale
price a buyer would be willing to pay on the basis of current market conditions, including normal
terms from other financial institutions, less the estimated costs to sell the property. Holding
costs and declines in estimated fair market value result in charges to expense after acquisition.
In addition, we periodically repossess certain collateral, including automobiles and other titled
vehicles. At June&nbsp;30, 2009, we had $641,000 in real estate owned and foreclosed assets, of which
$488,000 constituted property originally acquired by us for a future branch site.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Classification of Assets. </I></B>Our policies, consistent with regulatory guidelines, provide for
the classification of loans and other assets that are considered to be of lesser quality as
substandard, doubtful, or loss assets. An asset is considered substandard if it is inadequately
protected by the current net worth and paying capacity of the obligor or of the collateral pledged,
if any. Substandard assets include those assets characterized by the distinct possibility that we
will sustain some loss if the deficiencies are not corrected. Assets classified as doubtful have
all of the weaknesses inherent in those classified substandard with the added characteristic that
the weaknesses present make collection or liquidation in full, on the basis of currently existing
facts, conditions and values, highly questionable and improbable. Assets (or portions of assets)
classified as loss are those considered uncollectible and of such little value that their
continuance as assets is not warranted. Assets that do not expose us to risk sufficient to warrant
classification in one of the aforementioned categories, but which possess potential weaknesses that
deserve our close attention, are required to be designated as special mention. As of June&nbsp;30,
2009, we had $16.3&nbsp;million of assets designated as special mention.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->87<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;When we classify assets as either substandard or doubtful, we allocate a portion of the
related general loss allowances to such assets as we deem prudent. The allowance for loan losses
is the amount estimated by management as necessary to absorb credit losses incurred in the loan
portfolio that are both probable and reasonably estimable at the balance sheet date. When we
classify a problem asset as loss, we provide a specific reserve for that portion of the asset that
is uncollectible. Our determination as to the classification of our assets and the amount of our
loss allowances are subject to review by our principal federal regulator, the Office of Thrift
Supervision, which can require that we establish additional loss allowances. We regularly review
our asset portfolio to determine whether any assets require classification in accordance with
applicable regulations. On the basis of our review of our assets at June&nbsp;30, 2009, classified
assets consisted of $35.0&nbsp;million of substandard assets, $414,000 of doubtful assets and no loss
assets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of June&nbsp;30, 2009, our largest substandard asset was a loan with a balloon payment of $5.6
million due in July&nbsp;2009 secured by a condominium project. This loan had a principal balance of
$5.6&nbsp;million at June&nbsp;30, 2009. At June&nbsp;30, 2009, the loan was performing in accordance with its
terms. This loan was classified as substandard due to slow sales of the condominium units. The
borrower was unable to make the balloon payment when it was due. Once the borrower indicated that
it would be unable to make the balloon payment or provide monthly debt service, we determined to
commence foreclosure proceedings to secure the collateral. We anticipate completing the
foreclosure of this property during the third quarter of 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Allowance for Loan Losses</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for loan losses is maintained at a level that, in management&#146;s judgment, is
adequate to cover probable credit losses inherent in the loan portfolio at the balance sheet date.
The allowance for loan losses is established as losses are estimated to have occurred through a
provision for loan losses charged to earnings. Loan losses are charged against the allowance when
management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if
any, are credited to the allowance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for loan losses is evaluated on a regular basis by management and is based upon
management&#146;s periodic review of the collectability of the loans in light of historical experience,
the nature and volume of the loan portfolio, adverse situations that may affect the borrower&#146;s
ability to repay, estimated value of any underlying collateral and prevailing economic conditions.
This evaluation is inherently subjective as it requires estimates that are susceptible to
significant revision as more information becomes available.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance consists of specific and general components. The specific component relates to
loans that are classified as doubtful, substandard or special mention. For such loans that are
also classified as impaired, an allowance is established when the discounted cash flows (or
collateral value or observable market price) of the impaired loan is lower than the carrying value
of that loan. The general component covers non-classified loans and is based on the historical
loss experience adjusted for qualitative factors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A loan is considered impaired when, based on current information and events, it is probable
that we will be unable to collect the scheduled payments of principal or interest when due
according to the contractual terms of the loan agreement. Factors considered by management in
determining impairment include payment status, collateral value and the probability of collecting
scheduled principal and interest payments when due. Loans that experience insignificant payment
delays and payment shortfalls generally are not classified as impaired. Management determines the
significance of payment delays and payment shortfalls on a case-by-case basis, taking into
consideration all of the circumstances surrounding the loan and the borrower, and the amount of the
shortfall in relation to the principal and interest owed.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->88<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Impairment is measured on a loan-by-loan basis for commercial loans by either the present
value of expected future cash flows discounted at the loan&#146;s effective interest rate, the loans&#146;
obtainable market price or the fair value of the collateral if the loan is collateral dependent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Large groups of smaller balance homogeneous loans are collectively evaluated for impairment.
Accordingly, we do not separately identify consumer and residential mortgage loans for impairment
disclosures, unless such loans are the subject of a restructuring agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commercial real estate loans generally have greater credit risks compared to one- to
four-family residential mortgage loans, as they typically involve large loan balances concentrated
with single borrowers or groups of related borrowers. In addition, the payment experience on loans
secured by income-producing properties typically depends on the successful operation of the related
real estate project and thus may be subject to a greater extent to adverse conditions in the real
estate market and in the general economy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commercial business loans involve a greater risk of default than residential mortgage loans of
like duration since their repayment generally depends on the successful operation of the borrower&#146;s
business and the sufficiency of collateral, if any. Loans secured by multi-family residential
mortgages generally involve a greater degree of credit risk than one- to four-family residential
mortgage loans and carry larger loan balances. This increased credit risk is a result of several
factors, including the concentration of principal in a limited number of loans and borrowers, the
effects of general economic conditions on income producing properties, and the increased difficulty
of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by
multi-family mortgages typically depends upon the successful operation of the related real estate
property. If the cash flow from the project is reduced, the borrower&#146;s ability to repay the loan
may be impaired.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Real estate construction loans generally have greater credit risk than traditional one- to
four-family residential mortgage loans. The repayment of these loans depends upon the sale of the
property to third parties or the availability of permanent financing upon completion of all
improvements. In the event we make a loan on property that is not yet approved for the planned
development, there is the risk that approvals will not be granted or will be delayed. These events
may adversely affect the borrower and the collateral value of the property. Real estate
construction loans also expose us to the risk that improvements will not be completed on time in
accordance with specifications and projected costs. In addition, the ultimate sale or rental of
the property may not occur as anticipated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We periodically evaluate the carrying value of loans and the allowance is adjusted
accordingly. While we use the best information available to make evaluations, future adjustments
to the allowance may be necessary if conditions differ substantially from the information used in
making the evaluations. In addition, as an integral part of their examination process, the Office
of Thrift Supervision periodically reviews the allowance for loan losses. The Office of Thrift
Supervision may require us to recognize additions to the allowance based on their analysis of
information available to them at the time of their examination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth activity in our allowance for loan losses for the periods
indicated.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->89<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>At or For the</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>Six Months Ended</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18" style="border-bottom: 1px solid #000000"><B>At or For the Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="26"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,049</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,408</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,439</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Charge-offs:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">282</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">191</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,322</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,890</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,026</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,139</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">576</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">612</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">935</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">698</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,139</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">877</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,198</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,627</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">130</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">239</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">153</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">345</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">946</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">255</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">186</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total charge-offs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,058</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,958</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,520</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,548</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,436</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,159</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Recoveries:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">136</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">296</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">466</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">174</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">495</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">184</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">96</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">155</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">256</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">230</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">228</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total recoveries</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">210</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">315</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">579</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,016</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">692</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">360</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">698</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net charge-offs (recoveries)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,848</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,643</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,941</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,313</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,856</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,076</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,461</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Portfolio sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(270</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Provision (recovery to allowance) for
loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,825</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,113</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,730</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,433</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,822</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,618</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,049</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,408</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ratios:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net charge-offs to average loans
outstanding (annualized)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.51</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.40</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.46</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.76</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">0.70</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Allowance for loan losses to
non-performing loans at end of
period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">92.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">145.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">248.52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">213.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">256.81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">205.71</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Allowance for loan losses to total
loans at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.07</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.04</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.96</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.60</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.62</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->90<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Allocation of Allowance for Loan Losses. </I></B>The following table sets forth the allowance for
loan losses allocated by loan category and the percent of loans in each category to total loans at
the dates indicated. The allowance for loan losses allocated to each category is not necessarily
indicative of future losses in any particular category and does not restrict the use of the
allowance to absorb losses in other categories.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">908</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">35.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">936</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">33.96</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">641</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">29.60</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">162</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">156</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.98</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,383</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12.31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,455</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.53</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">447</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.51</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,204</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">301</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.05</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,202</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,927</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,966</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36.39</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">111</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">314</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">493</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.75</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.99</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,998</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.35</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">744</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">335</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.91</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,822</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2005</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2004</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Loans in Each</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Allowance for</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Category to</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Loan Losses</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total Loans</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">22.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">18.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">17.68</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.85</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.93</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">725</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">395</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.79</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">106</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.98</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">282</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.95</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.33</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.03</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,867</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49.19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,870</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,686</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60.92</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">552</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.19</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">748</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6.34</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,306</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.99</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">481</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.38</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.20</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">940</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.72</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.39</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">284</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial business loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.64</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,049</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,408</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Investments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The asset/liability management committee, consisting of OmniAmerican Bank&#146;s President and
Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, Chief Credit Officer,
Executive Vice Presidents of Risk, Mortgage Lending, Consumer Lending and the Senior Vice President
of Finance, has primary responsibility for establishing our investment policy and overseeing its
implementation, subject to oversight by our entire board of directors. Authority to make
investments under approved guidelines is delegated to the President and Chief Executive Officer,
the Chief Financial Officer, Senior Vice President of Finance, and in the absence of all three, two
other voting members of the asset/liability management committee. The committee meets at least
quarterly. All investment transactions are reported to the board of directors for ratification at
the next regular board meeting.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->91<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment policy is reviewed at least annually by the full board of directors. This
policy dictates that investment decisions be made based on minimizing exposure to credit risk,
liquidity requirements, potential returns and consistency with our interest rate risk management
strategy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our current investment policy permits us to invest in mortgage-backed securities, including
pass-through securities, insured and guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae as well
as collateralized mortgage obligations (&#147;CMOs&#148;) issued or backed by securities issued by Government
entities or Government-sponsored enterprises and private labels, as well as investment grade
bank-qualified municipal securities and investment grade corporate debt securities. The investment
policy also permits investments in certain trust preferred securities, certificates of deposit,
securities purchased under an agreement to resell, bankers acceptances, commercial paper and
federal funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our current investment policy generally does not permit without prior approval by the board of
directors, interest rate swaps, financial futures/option transactions, purchases of high-risk
mortgage securities or securities denominated in currencies other than U.S. dollars. As a federal
savings bank, OmniAmerican Bank is generally not permitted to invest in equity securities. This
general restriction does not apply to OmniAmerican Bancorp, Inc., which may acquire up to 5% of
voting securities of any company without regulatory approval.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SFAS No.&nbsp;115 requires that, at the time of purchase, we designate a security as
held-to-maturity, available-for-sale, or trading, depending on our ability and intent. Securities
available for sale are reported at fair value, while securities held to maturity are reported at
amortized cost. We do not maintain a trading portfolio. Establishing a trading portfolio would
require specific authorization by our board of directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our available for sale securities portfolio at June&nbsp;30, 2009, consisted of securities with the
following amortized cost: $128.3&nbsp;million of mortgage-backed securities issued by United States
Government-sponsored enterprises, $26.9&nbsp;million of collateralized mortgage obligations (including
$6.7&nbsp;million of private-label collateralized mortgage obligations), $5.2&nbsp;million of municipal
obligations, $7.8&nbsp;million of trust preferred securities, $10.1&nbsp;million of agency bonds and $3.0
million of equity securities comprised of a community reinvestment mutual fund, the CRA Qualified
Investment Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Mortgage-Backed Securities. </I></B>We invest in mortgage-backed securities insured or guaranteed by
Fannie Mae, Freddie Mac or Ginnie Mae. Our policy allows us to purchase privately-issued
mortgage-backed securities rated &#147;AA&#148; or higher, although in practice we generally limit purchases
of such securities to those rated &#147;AAA.&#148; We invest in mortgage-backed securities to achieve
positive interest rate spreads with minimal administrative expense, and to lower our credit risk as
a result of the guarantees provided by Freddie Mac, Fannie Mae or Ginnie Mae.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mortgage-backed securities are created by pooling mortgages and issuing a security with an
interest rate that is less than the interest rate on the underlying mortgages. Mortgage-backed
securities typically represent a participation interest in a pool of single-family or multi-family
mortgages, although we invest primarily in mortgage-backed securities backed by one- to four-family
mortgages. The issuers of such securities pool and resell the participation interests in the form
of securities to investors such as OmniAmerican Bank. Some securities pools are guaranteed as to
payment of principal and interest to investors. Mortgage-backed securities generally yield less
than the loans that underlie such securities because of the cost of payment guarantees and credit
enhancements. However, mortgage-backed securities are more liquid than individual mortgage loans
since there is an active trading market for such securities. In addition, mortgage-backed
securities may be used to collateralize our specific liabilities and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->92<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">obligations. Finally, mortgage-backed securities are assigned lower risk weightings for
purposes of calculating our risk-based capital level.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investments in mortgage-backed securities involve a risk that actual payments will be greater
or less than the prepayment rate estimated at the time of purchase, which may require adjustments
to the amortization of any premium or acceleration of any discount relating to such interests,
thereby affecting the net yield on our securities. We periodically review current prepayment
speeds to determine whether prepayment estimates require modification that could cause amortization
or accretion adjustments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CMOs are debt securities issued by a special-purpose entity that aggregates pools of mortgages
and mortgage-backed securities and creates different classes of securities with varying maturities
and amortization schedules, as well as a residual interest, with each class possessing different
risk characteristics. The cash flows from the underlying collateral are generally divided into
&#147;tranches&#148; or classes that have descending priorities with respect to the distribution of principal
and interest cash flows, while cash flows on pass-through mortgage-backed securities are
distributed pro rata to all security holders. At June&nbsp;30, 2009, all of the CMOs in our investment
portfolio were rated &#147;AAA&#148; by at least one of the major investment securities rating services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Municipal Obligations. </I></B>Included in our investment securities portfolio are two variable rate
registered revenue bonds issued in Tennessee. We purchased these bonds as a higher yielding
short-term investment alternative to overnight federal funds sold. Both of these municipal bonds
are rated and/or insured and supported by a Letter of Credit from First Tennessee Bank in Memphis,
Tennessee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Agency Bonds. </I></B>Agency bonds consist of a Federal Home Loan Bank discount note which has a term
of 30&nbsp;years and is callable beginning on August&nbsp;17, 2009. This bond was purchased as a higher
yielding short-term investment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Trust Preferred Securities. </I></B>We own shares of the senior tranches of PreTSL XXVI and PreTSL
XXVIII, two pooled trust preferred securities issued primarily by holding companies of FDIC-insured
financial institutions. At June&nbsp;30, 2009, these securities had an amortized cost basis of $7.8
million and a fair value of $5.9&nbsp;million. Management has concluded that the decline in the fair
value of these trust preferred securities as of June&nbsp;30, 2009 was temporary based on our analysis
of the securities which included a cash flow analysis and a stress analysis. We continue to closely
monitor these securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Other Equity Securities. </I></B>Other equity securities consist solely of an investment in a
community reinvestment mutual fund, the CRA Qualified Investment Fund, with a cost basis and fair
value of $3.0&nbsp;million as of June&nbsp;30, 2009. The fund&#146;s investment objective is to provide a high
level of current income consistent with the preservation of capital, and investments in our CRA
assessment area that qualify under the Community Reinvestment Act of 1977.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Investment Securities Portfolio. </I></B>The following table sets forth the composition of our
investment securities portfolio at the dates indicated, excluding Federal Home Loan Bank of Dallas
stock. All of such securities were classified as available for sale.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->93<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>At June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fair Value</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fair Value</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fair Value</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fair Value</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="30"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Mortgage-backed securities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">U.S. government
sponsored
mortgage-backed
securities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Fannie Mae</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,602</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,075</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">97,722</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">100,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">111,172</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">111,383</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,307</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">86,539</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Freddie Mac</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,757</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60,924</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">79,004</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,188</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">101,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">102,047</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,548</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56,537</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Ginnie Mae</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,901</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,925</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,107</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Collateralized
mortgage obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,211</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,919</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,180</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,773</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,799</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,368</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,266</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Private-label
collateralized mortgage
obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,133</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,407</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,135</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,444</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,324</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,728</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,562</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total
mortgage-backed
securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">155,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">159,811</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">212,151</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">215,710</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">240,603</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">241,553</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">153,951</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">150,904</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Agency bonds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,778</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,808</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Municipal obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,290</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,290</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,052</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,029</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,032</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">181,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">228,249</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">230,304</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">243,603</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">244,585</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">153,951</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">150,904</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->94<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Portfolio Maturities and Yields. </I></B>The composition and maturities of the investment securities
portfolio at June&nbsp;30, 2009 are summarized in the following table. Maturities are based on the
final contractual payment dates, and do not reflect the impact of prepayments or early redemptions
that may occur.
</DIV>
<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="12%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>More than One Year</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>More than Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>One Year or Less</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>through Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>through Ten Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>More than Ten Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>Total Securities</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amortized</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Cost</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Fair Value</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Yield</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="42"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Mortgage-backed securities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">U.S. government sponsored
mortgage-backed securities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Fannie Mae</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,756</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.10</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,928</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.48</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">39,431</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.94</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">21,487</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.59</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,602</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,075</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5.09</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Freddie Mac</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">432</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.86</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,478</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.45</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,040</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,807</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.54</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,757</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">60,924</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.20</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Ginnie Mae</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,901</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.97</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,901</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,925</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.97</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Collateralized mortgage
obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,845</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,612</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.47</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,211</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.79</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Private-label collateralized
mortgage obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,603</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.72</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,094</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,133</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,188</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.05</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,251</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.64</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70,828</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">72,901</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.36</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">155,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">159,811</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5.10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Agency bonds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,778</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,778</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.93</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Municipal obligations<SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.69</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.86</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,052</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.86</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,188</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.94</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">22,219</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">70,828</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.92</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">82,979</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.99</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">181,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4.69</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>The tax equivalent yield of municipal obligations was &#151;% for maturities of one year or less,
2.56% for maturities of more than one year through five years, &#151;% for maturities for more
than five years through ten years, &#151;% for maturities of more than 10&nbsp;years and 2.56% for the
total municipal obligations securities portfolio at June&nbsp;30, 2009.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->95<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Sources of Funds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General. </I></B>Deposits traditionally have been our primary source of funds for our lending and
investment activities. We also borrow, primarily from the Federal Home Loan Bank of Dallas, to
supplement cash flow needs, to lengthen the maturities of liabilities for interest rate risk
management purposes and to manage our cost of funds. Our additional sources of funds are the
proceeds of loan sales, scheduled loan payments, maturing investments, loan prepayments,
collateralized wholesale borrowings, retained earnings and income on other earning assets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Deposits. </I></B>We generate deposits primarily from the areas in which our branch offices are
located. We rely on our competitive pricing, convenient locations and customer service to attract
and retain deposits. We offer a variety of deposit accounts with a range of interest rates and
terms. Our deposit accounts consist of savings accounts, demand accounts, money market accounts
and certificates of deposit. At June&nbsp;30, 2009, we had $10.4&nbsp;million in brokered deposits. All of
our brokered deposits are through the CDARS network. When a customer makes a deposit and requests
the full protection of FDIC insurance, but where such deposit exceeds applicable limits, we use the
CDARS network to place the funds into certificates of deposit issued by banks in the network so
that the full amount of the deposit is insured by the FDIC. The CDARS network matching system
allows network members to exchange funds for a fee. This exchange occurs on a dollar-for-dollar
basis, so that the equivalent of the original deposit comes back to us. We do not plan to emphasize
this program in the future.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rates, maturity terms, service fees and withdrawal penalties are established on a
periodic basis. Deposit rates and terms are based primarily on current operating strategies and
market interest rates, liquidity requirements, interest rates paid by competitors and our deposit
growth goals.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, we had a total of $338.5&nbsp;million in certificates of deposit, of which $284.3
million had remaining maturities of one year or less. Based on historical experience and our
current pricing strategy, we believe we will retain a large portion of these accounts upon
maturity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following tables set forth the distribution of our average total deposit accounts, by
account type, for the periods indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>For the Six Months Ended</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10"><B>For the Year Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>December 31, 2008</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Deposit type:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,699</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.98</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,591</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">9.14</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64,371</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.53</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.43</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62,176</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.41</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.59</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">194,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25.78</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">189,523</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25.62</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,382</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.06</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.24</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,971</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10.54</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.06</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">344,334</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45.65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">342,315</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46.29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.09</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">754,251</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">739,576</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.69</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->96<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>For the Years Ended December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Average</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Balance</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Percent</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Rate</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>(Dollars in thousands)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Deposit type:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">66,715</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.80</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">55,857</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">8.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62,211</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8.21</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.73</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78,149</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11.28</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.69</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">231,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33.48</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.53</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">104,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.74</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3.49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,586</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7.30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.08</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">324,292</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42.77</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.82</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">276,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39.88</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.09</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">758,139</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">3.29</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">692,754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2.58</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of June&nbsp;30, 2009, the aggregate amount of outstanding certificates of deposit in amounts
greater than or equal to $100,000 was approximately $118.9&nbsp;million. The following table sets forth
the maturity of those certificates as of June&nbsp;30, 2009.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>At</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Three months or less</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">34,586</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Over three months through six months</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,170</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Over six months through one year</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,705</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Over one year to three years</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,816</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Over three years</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,639</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">118,916</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the amount and maturities of time deposits at June&nbsp;30, 2009.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>At June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="22" style="border-bottom: 1px solid #000000"><B>Period to Maturity</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Less Than or</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>More Than</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>More Than</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Equal to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>One to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Two to</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>More Than</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Percent of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>One Year</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Two Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Three Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Three Years</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="23"><B>(Dollars in thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Interest Rate Range:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less than 2.00%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,589</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">55</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">23.23</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">2.00% to 2.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74,802</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,132</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">787</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,427</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24.56</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">3.00% to 3.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">121,240</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,254</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,451</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">137,807</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40.71</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">4.00% to 4.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,255</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,130</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">403</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,615</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,403</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10.75</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.00% to 5.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,893</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.72</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">6.00% to 6.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.03</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">284,267</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19,571</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,318</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">31,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">338,542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">100.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->97<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth certificates of deposit classified by interest rate as of the
dates indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000"><B>At June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000"><B>At December 31,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6"><B>(In thousands)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest Rate Range:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less than 2.00%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">78,644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">609</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">486</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">2.00% to 2.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">83,148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,159</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,308</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,736</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">3.00% to 3.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">137,807</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">229,150</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46,930</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,709</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">4.00% to 4.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,403</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,473</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">121,261</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,661</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.00% to 5.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,929</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">147,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">133,554</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">6.00% to 6.99%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">508</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,692</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">338,542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">342,415</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">327,615</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">294,838</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Borrowings. </I></B>Our borrowings consist of advances from the Federal Home Loan Bank of Dallas,
borrowings under federal fund lines, participated loans that do not qualify as having been sold due
to our obligation to repurchase such loans, and funds borrowed under repurchase agreements. At
June&nbsp;30, 2009, we had access to additional Federal Home Loan Bank advances of up to $204.9&nbsp;million.
The following table sets forth information concerning balances and interest rates on our Federal
Home Loan Bank advances at the dates and for the periods indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>At or For the Six Months</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>At or For the Years Ended December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19"><B>(Dollars in thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">117,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">181,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">169,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">128,900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average balance during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">143,768</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">165,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">169,026</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">108,848</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">193,592</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maximum outstanding at any month end</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">159,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">181,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">189,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">246,479</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average interest rate at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.97</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.49</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.20</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.46</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.76</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest rate during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.18</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.40</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->98<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth information concerning balances and interest rates on our
repurchase agreements at the dates and for the periods indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>At or For the Six Months</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>At or For the Years Ended December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19"><B>(Dollars in thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">50,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average balance during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">57,429</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">57,716</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">21,781</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maximum outstanding at any month
end</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">50,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average interest rate at
end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.23</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.23</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest rate during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.67</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.65</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.47</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.38</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth information concerning balances and interest rates on our other
secured borrowings at the dates and for the periods indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>At or For the Six Months</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Ended June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>At or For the Years Ended December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2006</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="19"><B>(Dollars in thousands)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">16,156</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">41,168</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average balance during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">11,623</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,781</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">27,568</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">59,261</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maximum outstanding at any month
end</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&nbsp;&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">25,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">74,218</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average interest rate at
end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.37</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.79</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.30</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.97</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average interest rate during period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.39</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.58</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.64</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Properties</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We operate from our main office in Fort Worth, Texas, and from our 15 full-service branches
located in the Dallas/Fort Worth Metroplex and Hood County, Texas. The net book value of our
premises, land and equipment was $52.6&nbsp;million at June&nbsp;30, 2009. The following tables set forth
information with respect to our full-service banking offices, including the expiration date of
leases with respect to leased facilities.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Leased or</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Year Acquired</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Owned</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>or Leased</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Main Office:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1320 South University Dr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76107</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2004</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Full Service Branches:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1320 South University Dr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76107</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">NAS/JRB FW Building 1870</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76127</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased (1)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1968</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">7800 White Settlement Road</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76108</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1991</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1616 W. Northwest Highway</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Grapevine, TX 76051</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased(2)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2005</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->99<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Leased or</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Year Acquired</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Owned</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>or Leased</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1401 W. Walnut Hill Lane</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Irving, TX 75038</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1990</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2311 West Euless Boulevard</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Euless, TX 76040</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1992</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">950 West Arbrook Boulevard</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Arlington, TX 76015</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1999</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1000 Pennsylvania Avenue</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76014</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1995</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">6001 Bryant Irvin Road</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76132</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1996</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">803 East Lamar</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Arlington, TX 76011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased(3)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2001</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">724 West Main Street</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Suite&nbsp;500</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lewisville, TX 75067</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased(4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1996</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2330 East Rosedale Street</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Worth, TX 76105</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1996</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">318 South Main</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weatherford, TX 76086</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2003</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">8024 Denton Highway</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Watauga, TX 76148</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2002</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1030 East Highway 377</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Suite&nbsp;138</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Granbury, TX 76048</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased(5)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2002</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">1204 W. Henderson Road</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cleburne, TX 76033</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Owned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2003</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2341 Justin Road</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Flower Mound, TX 75248</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Leased(6)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2009</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Lease on a month-to-month basis.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Lease expires in 2015.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Lease expires in 2010.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Lease expires in 2009, branch will be consolidated into the Flower Mound location.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Lease expires in 2010.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Office operations are expected to commence in the fourth quarter of 2009 at this location.
Lease expires in 2019.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->100<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Subsidiary Activities</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank has one inactive subsidiary, OmniAmerican, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Legal Proceedings</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, we were not involved in any legal proceedings, the outcome of which we
believe would be material to our financial condition or results of operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Expense and Tax Allocation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank will enter into an agreement with OmniAmerican Bancorp, Inc. to provide it
with certain administrative support services, whereby OmniAmerican Bank will be compensated at not
less than the fair market value of the services provided. In addition, OmniAmerican Bank and
OmniAmerican Bancorp, Inc. will enter into an agreement to establish a method for allocating and
for reimbursing the payment of their consolidated tax liability.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Personnel</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of June&nbsp;30, 2009, we had 330 full-time employees and 42 part-time employees. Our employees
are not represented by any collective bargaining group. Management believes that we have a good
working relationship with our employees.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->101<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="144"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SUPERVISION AND REGULATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>General</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank is supervised and examined by the Office of Thrift Supervision and is
subject to examination by the Federal Deposit Insurance Corporation. This regulation and
supervision establishes a comprehensive framework of activities in which an institution may engage
and is intended primarily for the protection of the Federal Deposit Insurance Corporation&#146;s deposit
insurance funds and depositors, and not for the protection of security holders. Under this system
of federal regulation, financial institutions are periodically examined to ensure that they satisfy
applicable standards with respect to their capital adequacy, assets, management, earnings,
liquidity and sensitivity to market interest rates. OmniAmerican Bank also is a member of and owns
stock in the Federal Home Loan Bank of Dallas, which is one of the twelve regional banks in the
Federal Home Loan Bank System. OmniAmerican Bank also is regulated to a lesser extent by the Board
of Governors of the Federal Reserve System (&#147;Federal Reserve Board&#148;), governing reserves to be
maintained against deposits and other matters. The Office of Thrift Supervision examines
OmniAmerican Bank and prepares reports for the consideration of its board of directors on any
operating deficiencies. OmniAmerican Bank&#146;s relationship with its depositors and borrowers also is
regulated to a great extent by federal law and, to a much lesser extent, state law, especially in
matters concerning the ownership of deposit accounts and the form and content of OmniAmerican
Bank&#146;s loan documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any change in these laws or regulations, whether by the Federal Deposit Insurance Corporation,
the Office of Thrift Supervision or Congress, could have a material adverse impact on OmniAmerican
Bancorp, Inc., OmniAmerican Bank and their operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a savings and loan holding company following the conversion, OmniAmerican Bancorp, Inc.
will be required to file certain reports with, will be subject to examination by, and otherwise
must comply with the rules and regulations of the Office of Thrift Supervision. OmniAmerican
Bancorp, Inc. will also be subject to the rules and regulations of the Securities and Exchange
Commission under the federal securities laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain of the regulatory requirements that are or will be applicable to OmniAmerican Bank and
OmniAmerican Bancorp, Inc. are described below. This description of statutes and regulations is
not intended to be a complete description of such statutes and regulations and their effects on
OmniAmerican Bank and OmniAmerican Bancorp, Inc., and is qualified in its entirety by reference to
the actual statutes and regulations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Federal Banking Regulation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Business Activities. </I></B>A federal savings bank derives its lending and investment powers from
the Home Owners&#146; Loan Act, as amended, and the regulations of the Office of Thrift Supervision.
Under these laws and regulations, OmniAmerican Bank may invest in mortgage loans secured by
residential and commercial real estate, commercial business and consumer loans, certain types of
debt securities and certain other assets, subject to applicable limits. OmniAmerican Bank also may
establish subsidiaries that may engage in activities not otherwise permissible for OmniAmerican
Bank, including real estate investment and securities and insurance brokerage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Capital Requirements. </I></B>Office of Thrift Supervision regulations require savings banks to meet
three minimum capital standards: a 1.5% tangible capital ratio, a 4% leverage ratio (3% for savings
banks receiving the highest rating on the CAMELS rating system) and an 8% risk-based capital ratio.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->102<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The risk-based capital standard for savings banks requires the maintenance of Tier 1 (core)
and total capital (which is defined as core capital and supplementary capital) to risk-weighted
assets of at least 4% and 8%, respectively. In determining the amount of risk-weighted assets, all
assets, including certain off-balance sheet assets, are multiplied by a risk-weight factor of 0% to
200%, assigned by the Office of Thrift Supervision, based on the risks believed inherent in the
type of asset. Core capital is defined as common stockholders&#146; equity (including retained
earnings), certain noncumulative perpetual preferred stock and related surplus and minority
interests in equity accounts of consolidated subsidiaries, less intangibles other than certain
mortgage servicing rights and credit card relationships. The components of supplementary capital
include cumulative preferred stock, long-term perpetual preferred stock, mandatory convertible
securities, subordinated debt and intermediate preferred stock, the allowance for loan and lease
losses limited to a maximum of 1.25% of risk-weighted assets and up to 45% of net unrealized gains
on available-for-sale equity securities with readily determinable fair market values. Overall, the
amount of supplementary capital included as part of total capital cannot exceed 100% of core
capital. Additionally, a savings bank that retains credit risk in connection with an asset sale
may be required to maintain additional regulatory capital because of the purchaser&#146;s recourse
against the savings bank. In assessing an institution&#146;s capital adequacy, the Office of Thrift
Supervision takes into consideration not only these numeric factors but also qualitative factors as
well, and has the authority to establish higher capital requirements for individual associations
where necessary.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, OmniAmerican Bank&#146;s capital exceeded all applicable requirements. See
&#147;Historical and Pro Forma Regulatory Capital Compliance.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Loans-to-One Borrower. </I></B>Generally, a federal savings bank may not make a loan or extend credit
to a single or related group of borrowers in excess of 15% of unimpaired capital and surplus. An
additional amount may be loaned, equal to 10% of unimpaired capital and surplus, if the loan is
secured by readily marketable collateral, which generally does not include real estate. As of June
30, 2009, OmniAmerican Bank&#146;s largest lending relationship with a single or related group of
borrowers totaled $13.2&nbsp;million, which represented 14.5% of unimpaired capital and surplus.
Therefore, OmniAmerican Bank was in compliance with the loans-to-one borrower limitations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Qualified Thrift Lender Test. </I></B>As a federal savings bank, OmniAmerican Bank must satisfy the
qualified thrift lender, or &#147;QTL,&#148; test. Under the QTL test, OmniAmerican Bank must maintain at
least 65% of its &#147;portfolio assets&#148; in &#147;qualified thrift investments&#148; (primarily residential
mortgages and related investments, including mortgage-backed securities) in at least nine months of
the most recent 12-month period. &#147;Portfolio assets&#148; generally means total assets of a savings
bank, less the sum of specified liquid assets up to 20% of total assets, goodwill and other
intangible assets, and the value of property used in the conduct of the savings bank&#146;s business.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank also may satisfy the QTL test by qualifying as a &#147;domestic building and loan
association&#148; as defined in the Internal Revenue Code.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A savings bank that fails the qualified thrift lender test must either convert to a commercial
bank charter or operate under specified restrictions set forth in the Home Owners&#146; Loan Act. At
June&nbsp;30, 2009, OmniAmerican Bank maintained approximately 80.17% of its portfolio assets in
qualified thrift investments and, therefore, satisfied the QTL test.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Capital Distributions. </I></B>Office of Thrift Supervision regulations govern capital distributions
by a federal savings bank, which include cash dividends, stock repurchases and other transactions
charged to the savings bank&#146;s capital account. A savings bank must file an application for
approval of a capital distribution if:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->103<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the total capital distributions for the applicable calendar year exceed the sum of
the savings bank&#146;s net income for that year to date plus the savings bank&#146;s retained
net income for the preceding two years;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the savings bank would not be at least adequately capitalized following the
distribution;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the distribution would violate any applicable statute, regulation, agreement or
Office of Thrift Supervision-imposed condition; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the savings bank is not eligible for expedited treatment of its filings.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Even if an application is not otherwise required, every savings bank that is a subsidiary of a
holding company must still file a notice with the Office of Thrift Supervision at least 30&nbsp;days
before the board of directors declares a dividend or approves a capital distribution.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Office of Thrift Supervision may disapprove a notice or application if:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the savings bank would be undercapitalized following the distribution;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the proposed capital distribution raises safety and soundness concerns; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the capital distribution would violate a prohibition contained in any statute,
regulation or agreement.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, the Federal Deposit Insurance Act provides that an insured depository institution
shall not make any capital distribution, if after making such distribution the institution would be
undercapitalized.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Liquidity. </I></B>A federal savings bank is required to maintain a sufficient amount of liquid
assets to ensure its safe and sound operation. We anticipate that our liquidity levels will
increase following the completion of the stock offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Community Reinvestment Act and Fair Lending Laws. </I></B>All savings banks have a responsibility
under the Community Reinvestment Act and related regulations of the Office of Thrift Supervision to
help meet the credit needs of their communities, including low- and moderate-income borrowers. In
connection with its examination of a federal savings bank, the Office of Thrift Supervision is
required to assess the savings bank&#146;s record of compliance with the Community Reinvestment Act. In
addition, the Equal Credit Opportunity Act and the Fair Housing Act prohibit lenders from
discriminating in their lending practices on the basis of characteristics specified in those
statutes. A savings bank&#146;s failure to comply with the provisions of the Community Reinvestment Act
could, at a minimum, result in denial of certain corporate applications such as branches or
mergers, or in restrictions on its activities. The failure to comply with the Equal Credit
Opportunity Act and the Fair Housing Act could result in enforcement actions by the Office of
Thrift Supervision, as well as other federal regulatory agencies and the Department of Justice.
OmniAmerican Bank received a satisfactory Community Reinvestment Act rating in its most recent
federal examination. The Community Reinvestment Act requires all Federal Deposit Insurance-insured
institutions to publicly disclose their rating.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Transactions with Related Parties. </I></B>A federal savings bank&#146;s authority to engage in
transactions with its affiliates is limited by Office of Thrift Supervision regulations and by
Sections&nbsp;23A and 23B of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->104<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the Federal Reserve Act and its implementing Regulation&nbsp;W promulgated by the Board of Governors of
the Federal Reserve System. An affiliate is generally a company that controls, or is under common
control with an insured depository institution such as OmniAmerican Bank. OmniAmerican Bancorp,
Inc. will be an affiliate of OmniAmerican Bank. In general, transactions between an insured
depository institution and its affiliates are subject to certain quantitative and collateral
requirements. In addition, Office of Thrift Supervision regulations prohibit a savings bank from
lending to any of its affiliates that are engaged in activities that are not permissible for bank
holding companies and from purchasing the securities of any affiliate, other than a subsidiary.
Finally, transactions with affiliates must be consistent with safe and sound banking practices, not
involve low-quality assets and be on terms that are as favorable to the institution as comparable
transactions with non-affiliates. The Office of Thrift Supervision requires savings banks to
maintain detailed records of all transactions with affiliates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank&#146;s authority to extend credit to its directors, executive officers and 10%
stockholders, as well as to entities controlled by such persons, is currently governed by the
requirements of Sections 22(g) and 22(h) of the Federal Reserve Act and Regulation&nbsp;O of the Federal
Reserve Board. Among other things, these provisions require that extensions of credit to insiders:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>be made on terms that are substantially the same as, and follow credit
underwriting procedures that are not less stringent than, those prevailing for
comparable transactions with unaffiliated persons and that do not involve more than the
normal risk of repayment or present other unfavorable features; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>not exceed certain limitations on the amount of credit extended to such
persons, individually and in the aggregate, which limits are based, in part, on the
amount of OmniAmerican Bank&#146;s capital.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, extensions of credit in excess of certain limits must be approved by OmniAmerican
Bank&#146;s board of directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Enforcement. </I></B>The Office of Thrift Supervision has primary enforcement responsibility over
federal savings banks and has the authority to bring enforcement action against all
&#147;institution-affiliated parties,&#148; including directors, officers, stockholders, and attorneys,
appraisers and accountants who knowingly or recklessly participate in wrongful action likely to
have an adverse effect on a federal savings bank. Formal enforcement action by the Office of
Thrift Supervision may range from the issuance of a capital directive or cease and desist order to
removal of officers and/or directors of the institution, and the appointment of a receiver or
conservator. Civil penalties cover a wide range of violations and actions, and range up to $25,000
per day, unless a finding of reckless disregard is made, in which case penalties may be as high as
$1&nbsp;million per day. The Federal Deposit Insurance Corporation also has the authority to terminate
deposit insurance or to recommend to the Director of the Office of Thrift Supervision that
enforcement action be taken with respect to a particular savings institution. If action is not
taken by the Director, the Federal Deposit Insurance Corporation has authority to take action under
specified circumstances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Standards for Safety and Soundness. </I></B>Federal law requires each federal banking agency to
prescribe certain standards for all insured depository institutions. These standards relate to,
among other things, internal controls, information systems and audit systems, loan documentation,
credit underwriting, interest rate risk exposure, asset growth, compensation, and other operational
and managerial standards as the agency deems appropriate. Interagency guidelines set forth the
safety and soundness standards that the federal banking agencies use to identify and address
problems at insured depository institutions before capital becomes impaired. If the appropriate
federal banking agency determines that an institution fails to
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->105<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">meet any standard prescribed by the guidelines, the agency may require the institution to submit to
the agency an acceptable plan to achieve compliance with the standard. If an institution fails to
meet these standards, the appropriate federal banking agency may require the institution to
implement an acceptable compliance plan. Failure to implement such a plan can result in further
enforcement action, including the issuance of a cease and desist order or the imposition of civil
money penalties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Regulatory Guidance to Subprime Lending. </I></B>The federal bank regulatory agencies have issued
regulatory guidance relating to the examination of financial institutions that are engaged in
significant subprime lending activities. The regulatory guidance emphasizes that the federal
banking agencies believe that responsible subprime lending can expand credit access for consumers
and offer attractive returns for the savings institution. The guidance is applicable to savings
institutions that have subprime lending programs greater than or equal to 25% of core capital. As
part of the regulatory guidance, examiners must provide greater scrutiny of (i)&nbsp;an institution&#146;s
ability to administer its higher risk subprime portfolio, (ii)&nbsp;the allowance for loan losses to
ensure that the portion of the allowance allocated to the subprime portfolio is sufficient to
absorb the estimated credit losses for the portfolio, and (iii)&nbsp;the level of risk-based capital
that the savings institution has to ensure that such capital levels are adequate to support the
savings institution&#146;s subprime lending activities. As of June&nbsp;30, 2009, the Office of Thrift
Supervision has not required us to restrict our subprime lending activities. Nor has it required
us to maintain specific levels in our allowance for loan losses or risk based capital as a result
of our subprime lending activities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Prompt Corrective Action Regulations</I></B><B>. </B>Under prompt corrective action regulations, the Office
of Thrift Supervision is authorized and, under certain circumstances, required to take supervisory
actions against undercapitalized savings banks. For this purpose, a savings bank is placed in one
of the following five categories based on the savings bank&#146;s capital:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>well-capitalized (at least 5% leverage capital, 6% Tier 1 risk-based capital and 10%
total risk-based capital);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>adequately capitalized (at least 4% leverage capital, 4% Tier 1 risk-based capital
and 8% total risk-based capital);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>undercapitalized (less than 3% leverage capital, 4% Tier 1 risk-based capital or 8%
total risk-based capital);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>significantly undercapitalized (less than 3% leverage capital, 3% Tier 1 risk-based
capital or 6% total risk-based capital); and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>critically undercapitalized (less than 2% tangible capital).</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Generally, the Office of Thrift Supervision is required to appoint a receiver or conservator
for a savings bank that is &#147;critically undercapitalized&#148; within specific time frames. The
regulations also provide that a capital restoration plan must be filed with the Office of Thrift
Supervision within 45&nbsp;days of the date a savings bank receives notice that it is
&#147;undercapitalized,&#148; &#147;significantly undercapitalized&#148; or &#147;critically undercapitalized.&#148; Any holding
company of a savings bank that is required to submit a capital restoration plan must guarantee the
lesser of an amount equal to 5% of the savings bank&#146;s assets at the time it was notified or deemed
to be undercapitalized by the Office of Thrift Supervision, or the amount necessary to restore the
savings bank to adequately capitalized status. This guarantee remains in place until the Office of
Thrift Supervision notifies the savings bank that it has maintained adequately capitalized status
for each of four consecutive calendar quarters, and the Office of Thrift Supervision has
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->106<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the authority to require payment and collect payment under the guarantee. Failure by a holding
company to provide the required guarantee will result in certain operating restrictions on the
savings bank, such as restrictions on the ability to declare and pay dividends, pay executive
compensation and management fees, and increase assets or expand operations. The Office of Thrift
Supervision may also take any one of a number of discretionary supervisory actions against
undercapitalized savings banks, including the issuance of a capital directive and the replacement
of senior executive officers and directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At June&nbsp;30, 2009, OmniAmerican Bank met the criteria for being considered &#147;well-capitalized.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Recent Regulatory Developments. </I></B>In January&nbsp;2008, we experienced a breach of security involving
our ATM/debit card system. In connection with this security breach, the Office of Thrift
Supervision conducted a review of our data and information technology systems and concluded that
our practices for monitoring our information technology and customer information security were
deficient. As a consequence of the conclusions drawn from the Office of Thrift Supervision review,
on March&nbsp;17, 2008, the Office of Thrift Supervision issued a cease and desist order requiring that
we take prompt actions to adopt an information technology remediation and action plan to address
the deficiencies in our information technology security system and to comply with Office of Thrift
Supervision guidelines with respect to information technology risks and controls. The cease and
desist order also required that we review the expertise, training and resources of our information
technology personnel. Finally, the cease and desist order required that we develop an incident
response program to, among other things, promptly (i)&nbsp;identify information security breaches and
the scope of accessed or misused customer information, (ii)&nbsp;contain and control unauthorized access
or misuse of customer information, and (iii)&nbsp;notify customers of such breaches. As a consequence
of receiving the cease and desist order, the Office of Thrift Supervision designated OmniAmerican
Bank as an institution in &#147;troubled condition&#148; under the Office of Thrift Supervision&#146;s prompt
corrective action rules. We diligently took actions required under the cease and desist order to
remediate the deficiencies noted by the Office of Thrift Supervision and to fulfill the
requirements of the cease and desist order. On June&nbsp;11, 2009, the Office of Thrift Supervision
terminated the cease and desist order and our designation as an institution in &#147;troubled
condition.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On June&nbsp;2, 2007, we entered into a memorandum of understanding, with the Office of Thrift
Supervision. As part of this memorandum, the Office of Thrift Supervision has asked us to take a
number of specific corrective actions, and has required that we not undertake certain actions
without prior Office of Thrift Supervision approval. The actions and forbearances required
OmniAmerican Bank to:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>implement enhanced corporate governance practices;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>hire qualified senior management and appoint an outside director with commercial
real estate expertise;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>prepare, adopt and implement a revised business plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>improve audit committee policies and practices, including hiring a qualified person
as the director of internal audit and ensuring that only independent directors serve on
the audit committee;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>restrict our ability to enter into compensation arrangements without first obtaining
the Office of Thrift Supervision&#146;s non-objection;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>prepare a compensation policy;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->107<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>adopt an asset classification policy and review our loan portfolio and classified
assets;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>conduct an internal loan review and commercial real estate and commercial business
risk analysis; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>complete a detailed analysis of Bank Secrecy Act compliance and Bank Secrecy Act and
Office of Foreign Assets Control staffing and training, and ensure the adequacy of
OmniAmerican Bank&#146;s Customer Information Security Program, including the safeguarding
of customer information and our information technology policies, practices and
personnel.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The memorandum of understanding also requires that we make periodic reports to the Office of
Thrift Supervision as to our compliance with the requirements of the memorandum. Management
believes they have complied with the memorandum of understanding, and as of June&nbsp;19, 2009, all of
the requirements of the memorandum had been suspended by the Office of Thrift Supervision,
except for the requirement that we adopt a revised asset classification policy providing for the
evaluation and classification of our assets on a regular basis and in a manner consistent with
Office of Thrift Supervision regulatory guidelines, we implement a loan review program that
identifies our classified assets and we reduce the level of exceptions identified through our
internal loan review program.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Insurance of Deposit Accounts. </I></B>OmniAmerican Bank is a member of the Deposit Insurance Fund,
which is administered by the Federal Deposit Insurance Corporation. Deposit accounts at
OmniAmerican Bank are insured by the Federal Deposit Insurance Corporation, generally up to a
maximum of $100,000 for each separately insured depositor and up to a maximum of $250,000 for
self-directed retirement accounts. However, the Federal Deposit Insurance Corporation increased the
deposit insurance available on all deposit accounts to $250,000, effective until December&nbsp;31, 2013.
In addition, certain noninterest-bearing transaction accounts maintained with financial
institutions participating in the Federal Deposit Insurance Corporation&#146;s Temporary Liquidity
Guarantee Program are fully insured regardless of the dollar amount until June&nbsp;30, 2010.
OmniAmerican Bank has opted to participate in the Federal Deposit Insurance Corporation&#146;s Temporary
Liquidity Guarantee Program. See &#147;&#151;Temporary Liquidity Guarantee Program.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Federal Deposit Insurance Corporation imposes an assessment against institutions for
deposit insurance. This assessment is based on the risk category of the institution and, prior to
2009, ranged from 5 to 43 basis points of the institution&#146;s deposits. On December&nbsp;22, 2008, the
Federal Deposit Insurance Corporation published a final rule that raises the current deposit
insurance assessment rates uniformly for all institutions by 7 basis points (to a range from 12 to
50 basis points) effective for the first quarter of 2009. On February&nbsp;27, 2009, the Federal
Deposit Insurance Corporation issued a final rule that will alter the way the Federal Deposit
Insurance Corporation calculates federal deposit insurance assessment rates beginning in the second
quarter of 2009 and thereafter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under the rule, the Federal Deposit Insurance Corporation first establishes an institution&#146;s
initial base assessment rate. This initial base assessment rate ranges, depending on the risk
category of the institution, from 12 to 45 basis points. The Federal Deposit Insurance Corporation
then adjusts the initial base assessment (higher or lower) to obtain the total base assessment
rate. The adjustments to the initial base assessment rate are based upon an institution&#146;s levels
of unsecured debt, secured liabilities, and brokered deposits. The total base assessment rate
ranges from 7 to 77.5 basis points of the institution&#146;s deposits. Additionally, on May&nbsp;22, 2009,
the Federal Deposit Insurance Corporation issued a final rule that imposed a special 5 basis points
assessment on each FDIC-insured depository institution&#146;s assets,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->108<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">minus its Tier 1 capital on June&nbsp;30, 2009, which was collected on September&nbsp;30, 2009. The special
assessment is capped at 10 basis points of an institution&#146;s domestic deposits. Future special
assessments could also be assessed. Based upon OmniAmerican Bank&#146;s review of the Federal Deposit
Insurance Corporation&#146;s new rule, its Federal Deposit Insurance Corporation premium assessment for
the second quarter of 2009 increased by approximately $580,000, including the special assessment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insurance of deposits may be terminated by the Federal Deposit Insurance Corporation upon a
finding that an institution has engaged in unsafe or unsound practices, is in an unsafe or unsound
condition to continue operations or has violated any applicable law, regulation, rule, order or
condition imposed by the Federal Deposit Insurance Corporation. We do not currently know of any
practice, condition or violation that may lead to termination of our deposit insurance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the Federal Deposit Insurance Corporation assessments, the Financing
Corporation (&#147;FICO&#148;) is authorized to impose and collect, with the approval of the Federal Deposit
Insurance Corporation, assessments for anticipated payments, issuance costs and custodial fees on
bonds issued by the FICO in the 1980s to recapitalize the former Federal Savings and Loan Insurance
Corporation. The bonds issued by the FICO are due to mature in 2017 through 2019. For the quarter
ended June&nbsp;30, 2009, the annualized FICO assessment was equal to 1.04 basis points for each $100 in
domestic deposits maintained at an institution.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Temporary Liquidity Guarantee Program. </I></B>On October&nbsp;14, 2008, the Federal Deposit Insurance
Corporation announced a new program &#151; the Temporary Liquidity Guarantee Program, which guarantees
newly issued senior unsecured debt of a participating organization, up to certain limits
established for each institution, issued between October&nbsp;14, 2008 and June&nbsp;30, 2009. The Federal
Deposit Insurance Corporation will pay the unpaid principal and interest on Federal Deposit
Insurance Corporation-guaranteed debt instruments upon the uncured failure of the participating
entity to make timely payments of principal or interest in accordance with the terms of the
instrument. The guarantee will remain in effect until June&nbsp;30, 2012. In return for the Federal
Deposit Insurance Corporation&#146;s guarantee, participating institutions will pay the Federal Deposit
Insurance Corporation a fee based on the amount and maturity of the debt. We opted not to
participate in this part of the Temporary Liquidity Guarantee Program.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The other part of the Temporary Liquidity Guarantee Program provides full federal deposit
insurance coverage for noninterest bearing transaction deposit accounts, regardless of dollar
amount, until December&nbsp;31, 2009. An annualized 10 basis point assessment on balances in
noninterest-bearing transaction accounts that exceed the existing deposit insurance limit of
$250,000 will be assessed on a quarterly basis to insured depository institutions that have not
opted out of this component of the Temporary Liquidity Guarantee Program. We opted to participate
in this component of the Temporary Liquidity Guarantee Program. On August&nbsp;26, 2009, the Federal
Deposit Insurance Corporation extended the program until June&nbsp;30, 2010. Institutions have until
November&nbsp;2, 2009 to decide whether they will opt out of the extension which takes effect on January
1, 2010. An annualized assessment rate between 15 and 25 basis points on balances in
noninterest-bearing transaction accounts that exceed the existing deposit insurance limit of
$250,000 will be assessed depending on the institution&#146;s risk category. We currently intend to opt
into the extension.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>U.S. Treasury&#146;s Troubled Asset Relief Program Capital Purchase Program. </I></B>The Emergency
Economic Stabilization Act of 2008, which was enacted on October&nbsp;3, 2008, provides the U.S.
Secretary of the Treasury with broad authority to implement certain actions to help restore
stability and liquidity to U.S. financial markets. One of the programs resulting from the
legislation is the Troubled Asset Relief
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->109<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Program Capital Purchase Program (&#147;CPP&#148;), which provides direct equity investment by the U.S.
Treasury Department in perpetual preferred stock of qualified financial institutions. The program
is voluntary and requires an institution to comply with a number of restrictions and provisions,
including limits on executive compensation, stock redemptions and declaration of dividends. The
CPP provides for a minimum investment of one percent of total risk-weighted assets and a maximum
investment equal to the lesser of three percent of total risk-weighted assets or $25&nbsp;billion.
Participation in the program is not automatic and is subject to approval by the U.S. Treasury
Department. We opted not to participate in the CPP.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Prohibitions Against Tying Arrangements</I></B><B>. </B>Federal savings banks are prohibited, subject to
some exceptions, from extending credit to or offering any other service, or fixing or varying the
consideration for such extension of credit or service, on the condition that the customer obtain
some additional service from the institution or its affiliates or not obtain services of a
competitor of the institution.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Federal Home Loan Bank System. </I></B>OmniAmerican Bank is a member of the Federal Home Loan Bank
System, which consists of 12 regional Federal Home Loan Banks. The Federal Home Loan Bank System
provides a central credit facility primarily for member institutions as well as other entities
involved in home mortgage lending. As a member of the Federal Home Loan Bank of Dallas,
OmniAmerican Bank is required to acquire and hold shares of capital stock in the Federal Home Loan
Bank. As of June&nbsp;30, 2009, OmniAmerican Bank was in compliance with this requirement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Other Regulations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest and other charges collected or contracted for by OmniAmerican Bank are subject to
state usury laws and federal laws concerning interest rates. OmniAmerican Bank&#146;s operations are
also subject to federal laws applicable to credit transactions, such as the:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Truth-In-Lending Act, governing disclosures of credit terms to consumer borrowers;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Home Mortgage Disclosure Act, requiring financial institutions to provide
information to enable the public and public officials to determine whether a financial
institution is fulfilling its obligation to help meet the housing needs of the
community it serves;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Equal Credit Opportunity Act, prohibiting discrimination on the basis of race, creed
or other prohibited factors in extending credit;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Fair Credit Reporting Act, governing the use and provision of information to credit
reporting agencies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Fair Debt Collection Act, governing the manner in which consumer debts may be
collected by collection agencies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Truth in Savings Act; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>rules and regulations of the various federal agencies charged with the
responsibility of implementing such federal laws.</TD>
</TR>

</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->110<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The operations of OmniAmerican Bank also are subject to the:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Right to Financial Privacy Act, which imposes a duty to maintain confidentiality of
consumer financial records and prescribes procedures for complying with administrative
subpoenas of financial records;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Electronic Funds Transfer Act and Regulation&nbsp;E promulgated thereunder, which govern
automatic deposits to and withdrawals from deposit accounts and customers&#146; rights and
liabilities arising from the use of automated teller machines and other electronic
banking services;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Check Clearing for the 21<SUP style="font-size: 85%; vertical-align: text-top">st</SUP> Century Act (also known as &#147;Check 21&#148;), which
gives &#147;substitute checks,&#148; such as digital check images and copies made from that
image, the same legal standing as the original paper check;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The USA PATRIOT Act, which requires savings banks to, among other things, establish
broadened anti-money laundering compliance programs, and due diligence policies and
controls to ensure the detection and reporting of money laundering. Such required
compliance programs are intended to supplement existing compliance requirements that
also apply to financial institutions under the Bank Secrecy Act and the Office of
Foreign Assets Control regulations; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Gramm-Leach-Bliley Act, which places limitations on the sharing of consumer
financial information by financial institutions with unaffiliated third parties.
Specifically, the Gramm-Leach-Bliley Act requires all financial institutions offering
financial products or services to retail customers to provide such customers with the
financial institution&#146;s privacy policy and provide such customers the opportunity to
&#147;opt out&#148; of the sharing of certain personal financial information with unaffiliated
third parties.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Holding Company Regulation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General</I></B>. Upon completion of the conversion, OmniAmerican Bancorp, Inc. will be a
non-diversified savings and loan holding company within the meaning of the Home Owners&#146; Loan Act.
As such, OmniAmerican Bancorp, Inc. will be registered with the Office of Thrift Supervision and
will be subject to Office of Thrift Supervision regulations, examinations, supervision and
reporting requirements. In addition, the Office of Thrift Supervision will have enforcement
authority over OmniAmerican Bancorp, Inc. and its subsidiaries. Among other things, this authority
permits the Office of Thrift Supervision to restrict or prohibit activities that are determined to
be a serious risk to the subsidiary savings institution. Unlike bank holding companies, federal
savings and loan holding companies are not subject to any regulatory capital requirements or to
supervision by the Federal Reserve Board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Permissible Activities. </I></B>Under present law, the business activities of OmniAmerican Bancorp,
Inc. will be generally limited to those activities permissible for financial holding companies
under Section 4(k) of the Bank Holding Company Act of 1956, as amended, or for multiple savings and
loan holding companies. A financial holding company may engage in activities that are financial in
nature, including underwriting equity securities and insurance as well as activities that are
incidental to financial activities or complementary to a financial activity. A multiple savings
and loan holding company is generally limited to activities permissible for bank holding companies
under Section&nbsp;4(c)(8) of the Bank Holding Company Act, subject to the prior approval of the Office
of Thrift Supervision, and certain additional activities authorized by Office of Thrift Supervision
regulations.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->111<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal law prohibits a savings and loan holding company, including OmniAmerican Bancorp,
Inc., directly or indirectly, or through one or more subsidiaries, from acquiring more than 5% of
another savings institution or holding company thereof, without prior written approval of the
Office of Thrift Supervision. It also prohibits the acquisition or retention of, with certain
exceptions, more than 5% of a nonsubsidiary company engaged in activities that are not closely
related to banking or financial in nature, or acquiring or retaining control of an institution that
is not federally insured. In evaluating applications by holding companies to acquire savings
institutions, the Office of Thrift Supervision must consider the financial and managerial
resources, future prospects of the company and institution involved, the effect of the acquisition
on the risk to the federal deposit insurance fund, the convenience and needs of the community and
competitive factors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Office of Thrift Supervision is prohibited from approving any acquisition that would
result in a multiple savings and loan holding company controlling savings institutions in more than
one state, subject to two exceptions:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the approval of interstate supervisory acquisitions by savings and loan holding
companies; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the acquisition of a savings institution in another state if the laws of the
state of the target savings institution specifically permit such acquisition.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The states vary in the extent to which they permit interstate savings and loan holding company
acquisitions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Federal Securities Laws</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have filed with the Securities and Exchange Commission a registration statement under the
Securities Act of 1933 for the registration of the shares of common stock to be issued pursuant to
the stock offering. Upon completion of the stock offering, our common stock will be registered
with the Securities and Exchange Commission under the Securities Exchange Act of 1934. We will be
subject to the information, proxy solicitation, insider trading restrictions and other requirements
under the Securities Exchange Act of 1934.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The registration under the Securities Act of 1933 of shares of common stock to be issued in
the stock offering does not cover the resale of those shares. Shares of common stock purchased by
persons who are not our affiliates may be resold without registration. Shares purchased by our
affiliates will be subject to the resale restrictions of Rule&nbsp;144 under the Securities Act of 1933.
If we meet the current public information requirements of Rule&nbsp;144 under the Securities Act of
1933, each affiliate of ours that complies with the other conditions of Rule&nbsp;144, including those
that require the affiliate&#146;s sale to be aggregated with those of other persons, would be able to
sell in the public market, without registration, a number of shares not to exceed, in any
three-month period, the greater of 1% of our outstanding shares, or the average weekly volume of
trading in the shares during the preceding four calendar weeks. In the future, we may permit
affiliates to have their shares registered for sale under the Securities Act of 1933.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->112<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Sarbanes-Oxley Act of 2002</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Sarbanes-Oxley Act of 2002 addresses, among other issues, corporate governance, auditing
and accounting, executive compensation, and enhanced and timely disclosure of corporate
information. As directed by the Sarbanes-Oxley Act, our Chief Executive Officer and Chief Financial
Officer will be required to certify that our quarterly and annual reports do not contain any untrue
statement of a material fact. The rules adopted by the Securities and Exchange Commission under the
Sarbanes-Oxley Act have several requirements, including having these officers certify that: they
are responsible for establishing, maintaining and regularly evaluating the effectiveness of our
internal control over financial reporting; they have made certain disclosures to our auditors and
the audit committee of the board of directors about our internal control over financial reporting;
and they have included information in our quarterly and annual reports about their evaluation and
whether there have been changes in our internal control over financial reporting or in other
factors that could materially affect internal control over financial reporting. We will be subject
to further reporting and audit requirements beginning with the fiscal year ending December&nbsp;31, 2010
under the requirements of the Sarbanes-Oxley Act. We will prepare policies, procedures and systems
designed to ensure compliance with these regulations.
</DIV>
<DIV align="left">
<A name="145"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TAXATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Federal Taxation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>General. </I></B>OmniAmerican Bancorp, Inc. and OmniAmerican Bank are subject to federal income
taxation in the same general manner as other corporations, with some exceptions discussed below.
The following discussion of federal taxation is intended only to summarize material federal income
tax matters and is not a comprehensive description of the tax rules applicable to OmniAmerican
Bancorp, Inc. and OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Method of Accounting</I></B><I>. </I>For federal income tax purposes, OmniAmerican Bank currently reports
its income and expenses on the accrual method of accounting and uses a tax year ending December
31st for filing its consolidated federal income tax returns. The Small Business Protection Act of
1996 eliminated the use of the reserve method of accounting for bad debt reserves by savings
institutions, effective for taxable years beginning after 1995.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Minimum Tax. </I></B>The Internal Revenue Code of 1986, as amended, imposes an alternative minimum
tax at a rate of 20% on a base of regular taxable income plus certain tax preferences, referred to
as &#147;alternative minimum taxable income.&#148; The alternative minimum tax is payable to the extent
alternative minimum taxable income is in excess of an exemption amount. Net operating losses can,
in general, offset no more than 90% of alternative minimum taxable income. Certain payments of
alternative minimum tax may be used as credits against regular tax liabilities in future years. At
December&nbsp;31, 2008, OmniAmerican Bank had no minimum tax credit carryforward.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Net Operating Loss Carryovers. </I></B>A financial institution may carry back net operating losses to
the preceding two taxable years and forward to the succeeding 20 taxable years. At June&nbsp;30, 2009,
OmniAmerican Bank had a net operating loss carryforward of $2.4&nbsp;million for federal income tax
purposes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Corporate Dividends. </I></B>We may exclude from our income 100% of dividends received from
OmniAmerican Bank as a member of the same affiliated group of corporations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Audit of Tax Returns. </I></B>OmniAmerican Bank&#146;s federal income tax returns have not been audited in
the most recent five-year period.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->113<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>State Taxation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In 2006, the State of Texas enacted legislation replacing its franchise tax with a margin tax
effective with tax reports filed on or after January&nbsp;1, 2008. The Texas margin tax is computed by
applying the applicable tax rate (1% for most entities) to the margin. Margin equals the lesser of
three calculations: total revenue minus cost of goods sold; total revenue minus compensation; or
total revenue times 70%. Lending institutions may deduct interest expense as cost of goods sold.
Our calculation in 2008 was total revenue minus interest expense.
</DIV>
<DIV align="left">
<A name="146"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>MANAGEMENT OF OMNIAMERICAN BANCORP, INC.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Shared Management Structure</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The directors of OmniAmerican Bancorp, Inc. are the same persons who are the directors of
OmniAmerican Bank. In addition, each executive officer of OmniAmerican Bancorp, Inc. is also an
executive officer of OmniAmerican Bank. We expect that OmniAmerican Bancorp, Inc. and OmniAmerican
Bank will continue to have common executive officers until there is a business reason to establish
separate management structures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Executive Officers of OmniAmerican Bancorp, Inc. and OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth information regarding the executive officers of OmniAmerican
Bancorp, Inc. and OmniAmerican Bank with ages as of June&nbsp;30, 2009.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="0%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Age</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Position</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Tim Carter
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">54</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">President and Chief Executive Officer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Deborah B. Wilkinson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">58</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Senior Executive Vice President and Chief Financial Officer</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Terry Almon
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">53</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Senior Executive Vice President and Chief Operating Officer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Anne Holland
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">46</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Senior Executive Vice President and Chief Lending Officer</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Jane L. Adams
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">43</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice President and Chief Risk Officer</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Wendy Gary
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">43</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice President, Consumer Lending</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Robert Havran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">60</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice President, Mortgage Lending</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">T.L. Arnold, Jr.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">45</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice President and Chief Credit Officer</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Maria Jones
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">59</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice President, Human Resources and Training</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The executive officers of OmniAmerican Bancorp, Inc. and OmniAmerican Bank are elected
annually.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Directors of OmniAmerican Bancorp, Inc. and OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc. has nine directors. Directors serve three-year staggered terms.
Directors of OmniAmerican Bank will be elected by OmniAmerican Bancorp, Inc. as its sole
stockholder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table states our directors&#146; names, their ages as of June&nbsp;30, 2009, the years
when they began serving as directors of OmniAmerican Bank and when their current term expires:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->114<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="29%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s) Held With</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>OmniAmerican Bancorp,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Director</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Current Term</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Inc.</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Age</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Since*</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Expires</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->

<TR valign="bottom">
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wayne P. Burchfield, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chairman of the Board</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">55</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2001</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2012</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Elaine Anderson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice Chairman</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">56</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1996</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2010</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:15px; text-indent:-15px">Tim Carter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:15px; text-indent:-15px">President, Chief Executive Officer and Director</div></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">54</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2007</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2011</TD>
    <TD valign="top">&nbsp;</TD>
</TR>



<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Joan Anthony</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">59</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1995</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2011</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">James Herring</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">67</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1994</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2010</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Norm Carroll</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">65</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1996</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2011</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Patti Callan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">50</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2006</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2012</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pat Conley</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">50</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2006</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2011</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">John Sammons, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">60</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2009</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2012</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><B>*</B></TD>
    <TD>&nbsp;</TD>
    <TD>Includes service with OmniAmerican Bank as a credit union.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Board Independence</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The board of directors has determined that each of our directors, with the exception of,
President and Chief Executive Officer Tim Carter, is &#147;independent&#148; as defined in the listing
standards of the Nasdaq Stock Market. Mr.&nbsp;Carter is not independent because he is one of our
executive officers. There were no transactions not required to be reported under &#147;&#151;Transactions
With Certain Related Persons,&#148; below that were considered in determining the independence of our
directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>The Business Background of Our Directors and Executive Officers</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The business experience for the past five years of each of our directors and executive
officers is set forth below. While many of our executive officers have recently become affiliated
with us, they have extensive experience in the financial services industry. As of June&nbsp;30, 2009,
our executive officers have an average of over 19&nbsp;years of experience working in the financial
services industry. Unless otherwise indicated, directors and executive officers have held their
positions for the past five years.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Directors:</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Elaine Anderson </I></B>has served as Senior Vice President and Chief Compliance Officer of Texas
Health Resources, a 14 hospital health care system, since July&nbsp;1991. She is also a certified public
accountant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Joan Anthony </I></B>is a Human Resource Business Partner for Interstate Batteries, Inc., a wholesaler
and retailer of replacement brand batteries in North America. Previously from 1999 to 2006, she
was the Regional Human Resource Manager for Republic Beverage Company, a wine/spirits distributor
in Texas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Wayne P. Burchfield, Jr. </I></B>is a certified public accountant and is President of Wayne P.
Burchfield, Jr., P.C. He has been a practicing accountant for over 30&nbsp;years.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Patti Callan</I></B>, is a principal of Callan Consulting and has provided services for the healthcare
and insurance industries in the Dallas/Fort Worth area since 2001. Formerly she held executive
management positions for regional and national insurance companies and owned an independent
insurance agency.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->115<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Norman G. Carroll </I></B>is currently retired. He was a Senior Procurement Specialist at Bell
Helicopter Textron, Inc., a manufacturer of aircraft from 1979 to 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Tim Carter </I></B>has served as the President and Chief Executive Officer of OmniAmerican Bank since
2007. From 2004 until joining OmniAmerican Bank, he was the President and Chief Executive Officer
of United Way of Metropolitan Tarrant County. Mr.&nbsp;Carter has over 25&nbsp;years of banking experience,
including serving as President of Texas Commerce Bank-Fort Worth and Chairman of Chase Bank-Fort
Worth. Mr.&nbsp;Carter was also the Mayor of the City of Bellaire from 1988 to 1992.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Patrick D. Conley </I></B>has served as an Audit Supervisor with the Office of the Inspector General
of the U.S. Department of Transportation since 1999. He also is a Certified Public Accountant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>James Herring </I></B>is the owner of Herring Construction Co. Mr.&nbsp;Herring also served as the Mayor
of the City of White Settlement from 1981 to 2002.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>John F. Sammons, Jr. </I></B>is the Chairman and Chief Executive Officer of Mid-States Services, Inc.,
which provides food, commissary and vending services to the corrections industry nationwide, and
has served in that position since 1999. Mr.&nbsp;Sammons also served as the Mayor of the City of
Temple, Texas from 1980 to 1988.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Executive Officers Who Are Not Also Directors:</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Terry M. Almon </I></B>is Senior Executive Vice President and Chief Operating Officer of OmniAmerican
Bank. She was appointed to her position in July of 2009. From 2007 to 2009, Ms.&nbsp;Almon was the owner
of Oklahoma Community Capital Corporation which was organized to purchase a bank and also provided
consulting services to small businesses and non-profit organizations. Ms.&nbsp;Almon has 19&nbsp;years of
experience in the banking industry, including serving as President and Chief Executive Officer of
Arkansas Valley State Bank, Broken Arrow, Oklahoma between 2000 and 2007. She has also served as
Senior Vice President at Oklahoma National Bank, Tulsa, Oklahoma and Senior Vice President at
Stillwater National Bank, Stillwater, Oklahoma.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Deborah B. Wilkinson </I></B>has served as Senior Executive Vice President and Chief Financial Officer
of OmniAmerican Bank since July&nbsp;2009. She has been with OmniAmerican Bank since 2006 serving most
recently as Executive Vice President and Chief Financial Officer. From 2003 to 2006, she was the
Executive Vice President of Operations and Administration of Marquette Commercial Finance, Inc.,
Dallas, Texas, a specialized financial services provider.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Jane L. Adams </I></B>has served as Executive Vice President and Chief Risk Officer of OmniAmerican
Bank since 2006. She has been with OmniAmerican Bank since 2000 serving most recently as Senior
Vice President of Risk Management from 2005 to 2006 and Senior Vice President of Audit Services
beginning in 2004.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Anne Holland </I></B>has been Senior Executive Vice President and Chief Lending Officer of
OmniAmerican Bank since 2009. She also served as Executive Vice President of OmniAmerican Bank&#146;s
Private Bank beginning in 2008. She is a certified financial planner and licensed securities
representative. From 2001 to 2008, she served as a financial consultant and project manager to a
variety of financial and real estate companies and associations. From 1985 to 2001, Ms.&nbsp;Holland
held various positions at JP Morgan Chase and its predecessors.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->116<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Wendy Gary </I></B>has served as Executive Vice President of Consumer Lending of OmniAmerican Bank
since 2009. She has held various positions at OmniAmerican Bank since joining the bank in 1992.
Most recently she served as Executive Vice President and Chief of Lending Services from 2008 to
2009 and Senior Vice President of Consumer Lending Services from 2006 until 2008. She was Manager
of Special Projects beginning in 2005.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Robert E. Havran </I></B>has been Executive Vice President of Mortgage Banking of OmniAmerican Bank
since 2006. From 1997 to 2006, he was Senior Vice President and Manager of the Professional and
Executive Group of the Mortgage Department at Texas Bank in Fort Worth, Texas.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>T.L. Arnold, Jr. </I></B>has served as Executive Vice President and Chief Credit Officer of
OmniAmerican Bank since August&nbsp;2009. He has been with OmniAmerican Bank since 2008 serving most
recently as Senior Vice President and Chief Credit Officer. From 2007 to 2008, he was a Senior
Credit Officer at Marquette Financial Companies. From 2003 to 2007, Mr.&nbsp;Arnold was Executive Vice
President/Portfolio Manager of Marquette Commercial Finance, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Maria Jones </I></B>has served as Executive Vice President, Human Resources and Training of
OmniAmerican Bank as of July&nbsp;2008. She has been with OmniAmerican Bank since 2006 serving most
recently as Senior Vice President, Human Resources. Previously, she was Senior Vice President,
Human Resources and Training at Compass Bank (formerly Texas Bank) from 1997 until 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Meetings and Committees of the Board of Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We conduct business through meetings of our board of directors and its committees. During the
year ended December&nbsp;31, 2008, the board of directors of OmniAmerican Bancorp, Inc. did not meet and
the board of directors of OmniAmerican Bank had 12 regular meetings and five special meetings. The
board of directors of OmniAmerican Bancorp, Inc. will establish the following standing committees:
the Compensation Committee, the Nominating and Corporate Governance Committee and the Audit
Committee. Each of these committees will operate under a written charter, which will govern their
composition, responsibilities and operations.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->117<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The table below sets forth the directors of each of the listed standing committees on the
comparable committee of OmniAmerican Bank and the number of meetings. OmniAmerican Bank does not
have a standing Nominating and Corporate Governance Committee. The board of directors will
designate a current director as an &#147;Audit Committee Financial Expert&#148; for the Audit Committee, as
that term is defined by the rules and regulations of the Securities and Exchange Commission prior
to the completion of the conversion and offering.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="34%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Audit</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #ffffff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Joan Anthony*
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Wayne P. Burchfield, Jr.</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Patti Callan
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Norm Carroll</TD>
</TR>
<TR valign="bottom" style="background: #ffffff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">James Herring
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Pat Conley</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">John F. Sammons, Jr.
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Elaine Anderson*</TD>
</TR>
<TR valign="bottom" style="background: #ffffff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Elaine Anderson</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top">Number of Meetings in Fiscal 2008:
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom">8
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom">12</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Denotes committee chair as of June&nbsp;30, 2009.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Director Fees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All non-employee directors received a fee of $300 per board and committee meeting attended in
fiscal 2008. The board has approved an increase in its fees and the implementation of an annual
retainer, commencing in the fourth quarter of 2009, at which time all non-employee directors will
receive an annual retainer of $20,000 (pro-rated for the partial year), a fee of $1,000 for each
board meeting and $750 for each committee meeting attended.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth for the year ended December&nbsp;31, 2008 certain information as to
the total remuneration we paid to our directors other than Mr.&nbsp;Carter. Information with respect to
director fees paid to Mr.&nbsp;Carter is included below in &#147;Executive Officer Compensation&#151;Summary
Compensation Table.&#148;
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="13" style="border-bottom: 1px solid #000000"><B>Director Compensation Table For the Year Ended December 31, 2008</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fees Earned</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>or</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Paid in</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All Other</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Cash</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Compensation</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(2)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Elaine Anderson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">9,300</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,220</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">11,520</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Joan Anthony</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,410</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wayne P. Burchfield</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,064</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,064</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Patti Callan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,468</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,868</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Norm Carroll</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,156</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pat Conley</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,700</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,550</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,250</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">James Herring</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clyde Johnson<SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,100</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lonnie Vance<SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,700</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,700</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>See table below for breakdown of fees earned in 2008.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Consists of amounts paid for health insurance for directors. Board members are
reimbursed up to $500 per month for their cost of health insurance.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Resigned from the board in June&nbsp;2008 due to health reasons.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->118<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The table below identifies the meetings, by type, for which each non-employee director
received compensation from OmniAmerican Bank during the 2008 fiscal year.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Regular</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Special</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Executive</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Audit</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compliance</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Board</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Board</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Committee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Committee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Committee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Committee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Meetings</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Elaine Anderson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Joan Anthony</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wayne P. Burchfield</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Patti Callan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Norm Carroll</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pat Conley</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,700</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">James Herring</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">600</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clyde Johnson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lonnie Vance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation Discussion and Analysis</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Our Compensation Philosophy</I></B>. Our compensation philosophy begins with the premise that the
success of OmniAmerican Bancorp, Inc. depends, in large part, on the dedication and commitment of
the people we place in key management positions, and the incentives we provide such persons to
successfully implement our business strategy and other corporate objectives. However, we recognize
that OmniAmerican Bank operates in a competitive environment for talent. Therefore, our approach
to compensation considers the full range of compensation alternatives to enable us to compete with
our peers as we seek to attract and retain key personnel.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to base our compensation decisions as a public company on four basic principles:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Meeting the Demands of the Market &#151; Our goal is to compensate our employees at
competitive levels so we are considered the employer of choice among our peers who
provide similar financial services in the markets we serve.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Aligning Management&#146;s Interest with Shareholders &#151; We intend to use equity
compensation as a key component of our compensation mix to develop a culture of
ownership among our key personnel and to align their individual financial interests
with the interests of our shareholders.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Driving Performance &#151; We will base compensation in part on the attainment of
company-wide, business unit and individual targets that contribute to our earnings.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Reflecting our Business Philosophy &#151; Our approach to compensation reflects our
values and the way we do business in the communities we serve.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior to our initial public offering, our compensation program relied on two primary elements:
(i)&nbsp;base compensation or salary; and (ii)&nbsp;discretionary cash-based, short-term incentive
compensation. Following our initial public offering, we expect that equity-based, long-term
incentive compensation will also become an important element of our executive compensation program.
Our ability to introduce equity awards to our compensation mix will depend on shareholder approval
of an equity-based compensation program and compliance with applicable regulatory guidelines
relating to such programs. As a public company, we believe that we can meet the objectives of our
compensation philosophy by achieving a balance among these three elements of compensation that is
competitive with our industry
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->119<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">peers and that creates appropriate incentives for our management team. To achieve the necessary
balance, we expect that the Compensation Committee of our board of directors will work closely with
independent compensation advisors to provide us with their expertise on competitive compensation
practices and help us evaluate and compare our compensation program and financial performance with
that of our peers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To date, executive officers have been compensated only for their services to OmniAmerican
Bank. OmniAmerican Bank expects to continue this practice. OmniAmerican Bancorp, Inc. will not
pay any additional or separate compensation until we have a business reason to establish separate
compensation programs. However, any future equity-based awards made as part of OmniAmerican Bank&#146;s
executive compensation will be made in OmniAmerican Bancorp, Inc. common stock rather than
OmniAmerican Bank common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This discussion is focused primarily on the compensation of our Named Executive Officers, each
of whom is named in the Summary Compensation Table which appears later in this section.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Role of the Compensation Committee</I></B>. The Compensation Committee of OmniAmerican Bank&#146;s board
of directors is appointed annually by the board of directors and is responsible for overseeing and
making recommendations to the board of directors with respect to the compensation of the Named
Executive Officers, including the President and Chief Executive Officer. As part of these duties,
the Compensation Committee conducts an annual performance review of the President and Chief
Executive Officer and, in consultation with the President and Chief Executive Officer and Executive
Vice President Human Resources, reviews the performance of each other Named Executive Officer. The
board of directors has ultimate authority to approve the compensation of all Named Executive
Officers, including the President and Chief Executive Officer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee ensures that the compensation programs are designed to encourage
high levels of performance and provide ongoing professional development, promote accountability and
adherence to the Bank&#146;s Code of Ethics and Standards of Conduct policies, ensure employee
performance is aligned with the short-term and long-term strategic goals of the Bank and to serve
the best interests of the organization. The Compensation Committee and Pension Committee also
review, oversee, and approve (prior to recommendation to the board of directors for final approval)
the management and implementation of OmniAmerican Bank&#146;s principal employee benefit plans. The
Compensation Committee may undertake other duties related to oversight of the OmniAmerican Bank&#146;s
human resources function. The Compensation Committee has a formal charter that describes the
Committee&#146;s scope of authority and its duties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee consists of the following directors: Ms.&nbsp;Anthony (Chair), Ms.
Anderson, Ms.&nbsp;Callan, Mr.&nbsp;Herring and Mr.&nbsp;Sammons, Jr., all of whom are &#147;independent&#148; within the
meaning of Rule&nbsp;5605 of the Nasdaq Stock Market.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Role of Executives in Committee Activities</I></B>. The executive officers who serve as a resource to
the Compensation Committee are the President and Chief Executive Officer, the Senior Executive Vice
President and Chief Financial Officer and the Executive Vice President Human Resources. The
President and Chief Executive Officer and the Executive Vice President Human Resources provide the
Compensation Committee with input regarding OmniAmerican Bank&#146;s employee compensation philosophy,
process, and compensation decisions for employees, including other Named Executive Officers. In
addition to providing factual information such as company-wide performance on relevant measures,
these executives articulate management&#146;s views on current compensation programs and processes,
recommend relevant performance measures to be used for future evaluations, and otherwise
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->120<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">supply information to assist the Compensation Committee. At the request of the Compensation
Committee, the Executive Vice President Human Resources communicates directly with third-party
consultants, primarily to assist the Compensation Committee in evaluating relevant survey data and
to evaluate the estimated financial impact regarding any proposed changes to the various components
of compensation. The President and Chief Executive Officer also provides information about
individual performance assessments for the other Named Executive Officers, and, along with the
Executive Vice President Human Resources, expresses to the Compensation Committee his views on the
appropriate levels of compensation for the other Named Executive Officers for the ensuing year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Executives participate in Compensation Committee activities purely in an informational and
advisory capacity and have no vote on Compensation Committee matters. Neither the President and
Chief Executive Officer nor the Senior Executive Vice President and Chief Financial Officer attend
those portions of Compensation Committee meetings during which their performance is evaluated or
their compensation is being determined. However, the Executive Vice President Human Resources
generally attends all portions of the Compensation Committee meeting during which compensation
matters are discussed. No executive officer other than the President and Chief Executive Officer
and Executive Vice President Human Resources attends those portions of Compensation Committee
meetings during which the performance of the Named Executive Officers is evaluated or their
compensation is being determined.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Use of Consultants</I></B>. The Compensation Committee periodically engages independent compensation
consultants to assist it in the compensation process for Named Executive Officers. The
consultants, who are retained by and report to the Compensation Committee, work with the Executive
Vice President Human Resources in performing services for the Compensation Committee. In addition,
the President and Chief Executive Officer, Senior Executive Vice President and Chief Financial
Officer, and Executive Vice President Human Resources typically are requested to provide
information and feedback. The consultants provide expertise and information about competitive
trends in the employment marketplace, including established and emerging compensation practices at
other companies. The consultants also provide survey data, and assist in assembling relevant
comparison groups for various purposes and establishing benchmarks for base salary and cash
incentives from the survey and comparison group data. The Compensation Committee engaged the firm
of Clark Consulting to serve as its independent compensation consultant in 2007 to assist the
Committee in determining the base salary and cash incentive targets for OmniAmerican Bank&#146;s
executive officers for the 2007 calendar year. A decision was made to forego changes in base
salary for senior vice presidents and above in January&nbsp;2008 as a part of our planning to control
expenses of OmniAmerican Bank in the recessionary environment. Base salaries were evaluated and
adjusted for senior executive officers and above, including the Named Executive Officers (other
than our President and Chief Executive Officer), in July&nbsp;2008. For the 2009 calendar year,
OmniAmerican Bank retained The Whitney Smith Company as independent compensation consultants to
assist the Compensation Committee in determining appropriate base salary for OmniAmerican Bank&#146;s
President and Chief Executive Officer&#146;s mid-year increase.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Compensation Objectives</I></B>. The overall objectives of OmniAmerican Bank&#146;s compensation programs
are to recruit and retain excellent management, officers and staff in critical positions, to
motivate and reward employees and officers (including the Named Executive Officers) for
performance, and to provide competitive compensation to attract talent to the organization. The
methods used to achieve these goals for Named Executive Officers are strongly influenced by the
compensation and employment practices of OmniAmerican Bank&#146;s competitors within the financial
services industry, and elsewhere in the marketplace. We also consider each Named Executive
Officer&#146;s individual performance and contribution in achieving corporate goals.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->121<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our compensation program is designed to reward the Named Executive Officers based on their
level of assigned management responsibilities, individual experience and performance levels, and
knowledge of our organization. The creation of long-term value is highly dependent on the
development and effective execution of a sound business strategy by our executive officers. Other
considerations influencing the design of our executive compensation program are:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We value experience in the financial services industry that promotes the safe and
sound operation of OmniAmerican Bank;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We value executives with sufficient experience in our markets relating to the needs
of our customers, products and investments in various phases of the economic cycle;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We operate in interest rate and credit markets that are often volatile. We value
disciplined decision-making that respects our business plan but adapts to change; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>We value the retention and development of incumbent executives who meet or exceed
performance objectives. Recruiting executives can be expensive, unpredictable, and
have a disruptive effect on our operations.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Components of Compensation</I></B>. Compensation in 2008 consisted primarily of base salary, annual
cash incentive awards based upon a cash incentive plan that was approved mid-year, broad-based
benefits generally available to all full-time employees, and perquisites available only to certain
Named Executive Officers.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our 2008 compensation program for our Named Executive Officers consisted of the following key
elements:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>base salary, which is designed to provide a reasonable level of predictable income
commensurate with market standards for the executive&#146;s position;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>non-equity incentive compensation; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>modest retention bonuses for strategically selected key managers designed to provide
continuity and stability of leadership.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As noted above, we chose to forego increases to base salary for our senior vice presidents and
above in January&nbsp;2008; however, we re-evaluated salaries mid-year and implemented increases for our
senior vice presidents and above, including our Named Executive Officers other than our President
and Chief Executive Officer, commencing in July&nbsp;2008. We increased the base salary of our
President and Chief Executive Officer in September&nbsp;2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In mid 2008, OmniAmerican Bank implemented an incentive compensation program for our executive
officers, including the Named Executive Officers, other than the President and Chief Executive
Officer. The incentive compensation program is based on the satisfaction of certain performance
criteria defined specifically for each officer. Further measurements were defined in the first
quarter of 2009 for the 2009 fiscal year and, on a going forward basis, incentive targets and
criteria will be established prior to or in the first quarter of each succeeding year. Under the
program, Named Executive Officers are entitled to an incentive bonus based on a predetermined
percentage of their base salary if they meet certain performance targets, which may change from
year to year. For 2008, the maximum bonus for our
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->122<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Named Executive Officers, other than our President and Chief Executive Officer, was approximately
7.5% of base salary, up to $15,000. Levels of achievement were set at threshold and target, with
the bonus level determined by the level of achievement of the performance criteria by the
applicable individual.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the Office of Thrift Supervision&#146;s formal and informal regulatory actions, we
offered certain of our senior management retention bonuses to provide continuity and stability of
leadership in key operational areas. These bonuses were paid in January&nbsp;2009 and June&nbsp;2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also provide to our Named Executive Officers certain broad-based benefits available to all
qualifying employees of OmniAmerican Bank, as well as fringe benefits and perquisites, and
retirement and other termination benefits not generally available to all qualifying employees of
OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following summarizes the significant broad-based benefits in which the Named Executive
Officers were eligible to participate in during 2008:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a defined contribution 401(k) profit-sharing plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>medical coverage (all employees share between 15% to 66% of the cost, depending on
their elections);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>group term life insurance and accidental death and dismemberment (AD&#038;D) policies;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>long term disability insurance coverage;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>health care and dependent care flexible spending accounts; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>several employee-paid supplemental insurance benefits available to full-time
employees, including supplemental life insurance (coverage for spouses and children
also offered); supplemental short-term disability; AFLAC/cancer; personal accident;
personal recovery; intensive care; hospital care, long term care; and Hyatt pre-paid
legal coverage.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Named Executive Officers also are eligible for an executive long-term disability plan,
with a maximum monthly benefit of $2,500. The benefit is only available to our senior vice
presidents and above. Ms.&nbsp;Adams is presently the only Named Executive Officer participating in
this benefit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank provides our President and Chief Executive Officer with perquisites not
generally available to its other Named Executive Officers. OmniAmerican Bank incurs the expense of
one country club membership for Mr.&nbsp;Carter as well as memberships in other social and professional
organizations and clubs in order to facilitate business development for OmniAmerican Bank. In lieu
of a monthly automobile allowance, Mr.&nbsp;Carter has use of an automobile (including all operating
expenses) owned by OmniAmerican Bank for business and personal use. Personal use of the automobile
is reported as taxable income to Mr.&nbsp;Carter. In addition, we reimburse Mr.&nbsp;Carter for one-half of
his premium cost on a life insurance policy with a death benefit of $1&nbsp;million, as well as for the
cost of medical, dental and vision coverage and short and long-term disability coverage. We also
provide Mr.&nbsp;Carter with long-term care insurance and pay the cost of his annual health
examinations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our compensation program has not materially changed in 2009. For 2009, we continue to measure
short-term incentive compensation by identifying corporate strategic key incentive goals and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->123<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">individual goals. In addition, we have generally increased base salary by approximately 3% to
6.25%, in order to conform with cost of living adjustments and to recognize performance, where
applicable. However, based upon the results of the Whitney Smith compensation survey and
comparison of banks in our peer group, we increased the base salary of our President and Chief
Executive Officer to $450,000 from $367,500, in recognition of his leadership and efforts. We felt
it was appropriate to increase his base salary to a level commensurate with the salary of similarly
situated executives compensated at the 75th percentile of financial institutions with approximately
$1&nbsp;billion in assets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the components of executive compensation described above, Mr.&nbsp;Carter has an
employment agreement with OmniAmerican Bank. See &#147;&#151;Employment Agreements&#148; for a description of
this agreement and for information about potential payments upon termination of employment with
OmniAmerican Bank. In connection with the offering, OmniAmerican Bank proposes to enter into a new
employment agreement with Mr.&nbsp;Carter that would replace the existing agreement and would be more
appropriate for the President and Chief Executive Officer of a subsidiary of a publicly traded
company. The employment agreement is designed to give OmniAmerican Bank the ability to retain the
services of the designated executive while reducing, to the extent possible, unnecessary
disruptions to OmniAmerican Bank&#146;s operations. The agreement is for a three-year period, will be
reviewed and renewed annually by the Compensation Committee of the board of directors, and will
provide for salary and bonus payments, as well as certain additional post-employment benefits,
primarily life insurance benefits and under certain conditions, health benefits. The employment
agreement has been negotiated directly with and recommended for board approval by, the Compensation
Committee. The Compensation Committee believes such agreement is consistent with industry
practices and desirable for retaining executive talent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will also enter into a change in control agreement with each of our senior executive
vice-presidents, Ms.&nbsp;Deborah B. Wilkinson, our Senior Executive Vice President and Chief Financial
Officer, Ms.&nbsp;Terry Almon, our Senior Executive Vice President and Chief Operating Officer, and Ms.
Anne Holland, our Senior Executive Vice President and Chief Lending Officer. See &#147;&#151;Change in
Control Agreement&#148; for a description of these agreements and for information about potential
payments upon termination of employment with OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Analyzing the Components of Compensation</I></B>. Currently, the Compensation Committee analyzes the
level and relative mix of each of the principal components of compensation for Named Executive
Officers. The President and Chief Executive Officer and the Executive Vice President Human
Resources also make recommendations to the Committee relating to compensation to be paid to the
other Named Executive Officers Based on this analysis, the Compensation Committee makes annual
recommendations to the independent members of the board of directors about each Named Executive
Officer&#146;s compensation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee reviews the other components of executive compensation (broad-based
benefits and executive perquisites), but does not necessarily recommend changes to those components
on an annual basis. Changes to the level or types of benefits within these categories, including
considerations relating to the addition or elimination of benefits and plan design changes, are
made by the Compensation Committee on an aggregate basis with respect to the group of employees
entitled to those benefits, and not with reference to a particular Named Executive Officer&#146;s
compensation. Decisions about these components of compensation are made without reference to the
Named Executive Officers&#146; salary and annual cash incentives, as they involve issues of more general
application and often include consideration of trends in the industry or in the employment
marketplace.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->124<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee seeks to create what it believes is the best mix of base salary and
annual cash incentives in delivering the Named Executive Officers&#146; total cash compensation. These
components are evaluated in relation to market-based, benchmark data derived from information
reported in publicly-available proxy statements or from market survey data.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee recommends for board approval the base salary and annual incentive
cash award components for each Named Executive Officer, including the President and Chief Executive
Officer. Base salary changes are made with respect to Named Executive Officers mid-year, in July.
Such changes typically remain in effect for a 12-month period. For July&nbsp;2009, base salary changes
were made primarily based upon assessment of individual performance, and to a lesser extent changes
in employee responsibility. With respect to the President and Chief Executive Officer, the
Compensation Committee determined that it would be appropriate to increase the President and Chief
Executive Officer&#146;s base salary to a level that is in the 75th percentile of persons holding a
comparable title in financial institutions of a similar size.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The process of assembling target total cash compensation for the Named Executive Officers is
forward-looking in nature. The at-risk annual incentive cash award component is based on the
expectation that target levels of performance will be achieved over the following year. Actual
performance over the applicable measurement period may exceed or fall short of the targets
resulting in the Named Executive Officer receiving an annual incentive cash award that is above or
below the initial targeted level.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The annual incentive cash awards granted in 2008 were not taken into account by the
Compensation Committee in the process of setting compensation targets for the 2009. The Committee
believes that doing so would be inconsistent with the underlying reasons for the use of at-risk
compensation. If current year awards were increased to make up for below-target performance in
prior years or decreased to account for above-target performance in prior years, the Committee
would be diluting or eliminating the link between performance and reward.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The objective of the compensation-setting process is to establish the appropriate level and
mix of total compensation for each Named Executive Officer. The Compensation Committee believes
that the accounting treatment of any given element of total cash compensation is a relevant
consideration in the design and compensation-setting process and considers the effect, as
applicable, when determining total cash compensation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compensation Committee considers, but does not give undue weight to, the tax treatment of
each component of compensation. Under Section 162(m) of the Internal Revenue Code, annual
compensation paid to certain Named Executive Officers of publicly traded companies is not
deductible if it exceeds $1&nbsp;million unless it qualifies as &#147;performance-based compensation&#148; as
defined in the Internal Revenue Code and related tax regulations. Base salary is not a form of
performance-based compensation. Many fringe benefits also do not qualify as performance-based
compensation. Annual incentive cash awards may qualify as a form of performance-based compensation
under the income tax regulations. In 2009 and for prior years, we have not been subject to tax
deduction limitations under Section&nbsp;162(m).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Stock Ownership Guidelines</I></B>. Directors and Named Executive Officers have expressed their
intentions to participate in the stock offering and, at this time, we have not deemed it necessary
to establish any formal policies or guidelines addressing expected levels of stock ownership by the
directors or Named Executive Officers.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->125<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Exceptions to Procedures</I></B>. The Compensation Committee may from time to time recommend to the
full board of directors that they approve the payment of special cash compensation to one or more
Named Executive Officers in addition to payments approved during the normal annual
compensation-setting cycle. The Committee may make such a recommendation if it believes it would
be appropriate to reward one or more Named Executive Officers in recognition of contributions to a
particular project, or in response to competitive and other factors that were not addressed during
the normal annual compensation-setting cycle.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Committee will make off-cycle compensation decisions and recommendations whenever a
current employee is promoted to executive officer status, or an executive officer is hired. The
Committee may depart from the compensation guidelines it would normally follow for executives in
the case of outside hires.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Committee Actions During 2008 and 2009 Affecting 2009 Compensation</I></B>. As previously noted, a
decision was made to forego changes in base salary for our senior vice presidents and above in
January&nbsp;2008 as part of our desire to control expenses of OmniAmerican Bank in the recessionary
environment. We re-evaluated this position in July&nbsp;2008 and provided increases in base salary
consistent with the marketplace at that time for our senior vice presidents and above, including
our Named Executive Officers other than our President and Chief Executive Officer. We increased
the base salary of our President and Chief Executive Officer by five percent to $367,500 in
September&nbsp;2008. In addition, we offered limited retention bonuses to certain key officers,
including Ms.&nbsp;Jane L. Adams, our Executive Vice President and Chief Risk Officer, and Mr.&nbsp;Tony A.
Lippert, formerly our Executive Vice President and Chief Information Officer. The Compensation
Committee again reviewed base salaries of senior vice presidents and above in June&nbsp;2009 and made
certain market-based adjustments, effective in July&nbsp;2009. In addition, commencing in 2008, we
implemented an incentive bonus program. Under the incentive bonus program, our Named Executive
Officers other than our President and Chief Executive Officer, would be entitled to incentive
bonuses upon the achievement of certain corporate and individual goals, which the Compensation
Committee established with the assistance of the President and Chief Executive Officer and the
Executive Vice President Human Resources. For 2009, we have included our President and Chief
Executive Officer in the incentive bonus program.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Annual Compensation-Chief Executive Officer</I></B>. As noted above, the Compensation Committee
recommends, and the board of directors approves, the base salary of its senior executive officers,
including Mr.&nbsp;Carter, on a mid-year basis. Details regarding base salary and annual incentive cash
awards are included in the detailed compensation tables following this section.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the death in 2007 of OmniAmerican Bank&#146;s then President and Chief Executive Officer,
OmniAmerican Bank implemented an extensive executive search and hired Tim Carter as its President
and Chief Executive Officer in June&nbsp;2007. In the offer letter to Mr.&nbsp;Carter, OmniAmerican Bank
offered a base salary of $350,000 and a bonus potential of up to 30%, as well as certain welfare
benefits, including life, health, dental, short and long-term disability, long-term care insurance
for Mr.&nbsp;Carter and his wife, and additional perquisites, such as an annual physical.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In September&nbsp;2008, the Compensation Committee increased Mr.&nbsp;Carter&#146;s base salary by five
percent, to $367,500. This increase was made shortly after his completion of his first year of
employment with OmniAmerican Bank and was established based on the recent financial performance of
OmniAmerican Bank, the estimated value of Mr.&nbsp;Carter&#146;s services in the marketplace, and the
Committee&#146;s view of Mr.&nbsp;Carter&#146;s critical role in the future success of OmniAmerican Bank. In
addition, in consideration of his performance during the 2008 calendar year, the Compensation
Committee
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->126<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">recommended for board approval and the board of directors approved a bonus of 30% of Mr.&nbsp;Carter&#146;s
year-end base salary for the 2008&nbsp;year. This bonus was paid to Mr.&nbsp;Carter in July&nbsp;2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All Compensation Committee actions taken with respect to Mr.&nbsp;Carter&#146;s compensation were
presented as recommendations for approval by the full board of directors. The Committee&#146;s
recommendations regarding Mr.&nbsp;Carter&#146;s July&nbsp;2008 to June&nbsp;2009 base salary were approved by the full
board of directors in June&nbsp;2008. The Committee&#146;s recommendations regarding Mr.&nbsp;Carter&#146;s base
salary for the period from July&nbsp;2009 to June&nbsp;2010 were approved by the full board of directors in
June&nbsp;2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the 2009 calendar year, the Compensation Committee retained The Whitney Smith Company
to provide recommendations with respect to the base salary and cash incentive target for Mr.
Carter&#146;s mid-year salary adjustment. The Whitney Smith Company provided market survey data
regarding CEO compensation for similarly sized financial institutions. The Executive Vice
President Human Resources reviewed the base salary and bonus information compiled by The Whitney
Smith Company, and then formulated a recommendation for the base salary and annual incentive cash
award components for the President and Chief Executive Officer for 2009. Due to Mr.&nbsp;Carter&#146;s
positive impact on the organization, base salary for Mr.&nbsp;Carter was targeted at approximately the
75th percentile of base salaries for executive officers in the same position at financial
institutions with assets of approximately one billion dollars.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based upon this review, Mr.&nbsp;Carter&#146;s base salary for the period from July&nbsp;2009 to June&nbsp;2010
was established at $450,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Annual Compensation- Other Named Executive Officers</I></B>. As noted above, as part of our cost
containment efforts, no increases were made in the base salaries of any of our Named Executive
Officers in January&nbsp;2008. Base salaries were evaluated and adjusted for the senior vice presidents
and above, including our Named Executive Officers (other than the President and Chief Executive
Officer) in July&nbsp;2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In July&nbsp;2009, the Compensation Committee recommended, and the full the board of directors
approved, the total cash components of annual compensation for all the Named Executive Officers.
Details regarding base salary and annual incentive cash awards made to the Named Executive Officers
are included in the detailed compensation tables following this section. The Committee evaluated
the overall level of total cash compensation for each Named Executive Officer (other than the Chief
Executive Officer) after considering the recent performance of OmniAmerican Bank and the role of
each Named Executive Officer, the criticality of each Named Executive Officer to the future success
of OmniAmerican Bank in attaining its goals and their experience, contribution and knowledge of our
organization. In addition, the Compensation Committee reviewed information provided to it by our
Executive Vice President Human Resources.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;After establishing the target value for each Named Executive Officer&#146;s overall total cash
compensation, the Committee made detailed determinations for each element of that package in order
to arrive at the desired overall result:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Base Salary</I>: The Committee first set the 2009 mid-year base salary increases for
each Named Executive Officer, within target dollar ranges contemplated by internal
guidelines. Salary increases for the Named Executive Officers represented increases
ranging from 3% to 6.25%, compared to base salaries for the 2008-2009 period. The
mid-year 2009 base salary increases for the Named Executive Officer was approved by the
full board in June&nbsp;2009, effective July&nbsp;1, 2009.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->127<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In July&nbsp;2009, the Committee established the base salary of each of our Named Executive
Officers at $203,000 (for Ms.&nbsp;Wilkinson), $201,571 (for Ms.&nbsp;Adams) and $193,088 (for Mr.&nbsp;Havran),
respectively. The Committee considered the mix of compensation components related to OmniAmerican
Bank&#146;s short and long-term strategic plans and the Named Executive Officers&#146; roles, experience,
responsibilities and knowledge of the organization.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Prospective Benefit Plans</I></B>. The board of directors has approved the establishment of an
employee stock ownership plan in connection with the stock offering. The employee stock ownership
plan will be a tax-qualified, broad-based employee benefit program. All Named Executive Officers,
including the Chief Executive Officer, will be eligible to receive benefits under this program. In
addition, OmniAmerican Bancorp, Inc. intends to establish an equity incentive plan officers and
directors no sooner than six months following our offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See &#147;&#151;Tax Qualified Benefit Plans&#148; and &#147;Benefits to be Considered Following Completion of the
Stock Offering&#148; for additional information about the employee stock ownership plan and the
additional equity-based benefit plans.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->128<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Executive Officer Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Summary Compensation Table. </I></B>The table below summarizes the total compensation paid to or
earned by our President and Chief Executive Officer Tim Carter, our Senior Executive Vice President
and Chief Financial Officer Deborah B. Wilkinson, our Senior Vice President and Chief Credit
Officer Jane L. Adams, our Executive Vice President and Chief Information Officer Tony A. Lippert
and our Executive Vice President of Mortgage Lending Robert Havran for the year ended December&nbsp;31,
2008. We refer to these individuals as &#147;Named Executive Officers.&#148;
</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD colspan="29" style="border-bottom: 1px solid #000000" align="center"><B>Summary Compensation table for the Year Ended December&nbsp;31, 2008</B>
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Change in Pension</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Value and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Nonqualified</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Non-Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Deferred</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All Other</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name and Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Incentive Plan</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Position</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Year</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Salary</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Bonus</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Earnings</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><SUP style="font-size: 85%; vertical-align: text-top"><B>(3)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Total</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tim Carter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">357,115</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">110,250</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">57,674</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">525,039</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">President and Chief
Executive Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deborah B. Wilkinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">205,180</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,634</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">229,814</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Senior Executive Vice
President and Chief
Financial Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jane L. Adams</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">220,133</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10,000</TD>
    <TD nowrap> <SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,612</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">254,745</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Senior Vice President
and Chief Risk Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tony A. Lippert(4)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">195,899</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">244,624</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Executive Vice President
and Chief Information
Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Robert Havran</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">197,137</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70,034</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">156,432</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,857</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">433,460</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Executive Vice President,
Mortgage Lending</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>2008 salary information includes salary deferral contributions to the OmniAmerican Bank
401(k) Plan of $11,500 for Mr.&nbsp;Carter, $10,634 for Ms.&nbsp;Wilkinson, $11,007 for Ms.&nbsp;Adams,
$9,410 for Mr.&nbsp;Lippert and $9,857 for Mr.&nbsp;Havran.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Represents retention bonus.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>The amount shown in this table represents the break-down of the benefits and perquisites
provided to the named executive officers by OmniAmerican Bank. The amounts reflect what we
have paid for, or reimbursed, the applicable Named Executive Officer for various benefits and
perquisites which the bank provides.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Lippert&#146;s employment with OmniAmerican Bank was terminated in August&nbsp;2009.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Incentive Plan for the Executive Vice President, Mortgage Lending provides Mr.&nbsp;Havran a bonus
equal to 5% of the net income earned by the Mortgage Services Group before taxes, as reflected
on the monthly income statement.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->129<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Mr. Carter</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Ms. Wilkinson</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Ms. Adams</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Mr. Lippert</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Mr. Havran</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Employer 401(k) Matching
Contribution</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,634</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,410</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,857</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Personal Use of Auto</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,882</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Executive Physical Examination</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,166</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Executive Life Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,514</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Club Memberships</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,252</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Long Term Care Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,573</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Reimbursements/Payments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Medical</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,532</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Dental/Vision</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">564</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Short Term Disability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,080</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Long Term Disability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,611</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">605</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">815</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">57,674</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,634</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,612</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">9,857</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Employment Agreements. </I></B>OmniAmerican Bank entered into an employment agreement with Mr.
Carter, effective May&nbsp;30, 2007. The agreement has an initial term of two years. Unless notice of
non-renewal is provided, the agreement renews annually commencing on the second anniversary of the
effective date so that the remaining term is one year. The agreement provides for payment of base
salary, which will be reviewed at least annually. Effective July&nbsp;1, 2009, Mr.&nbsp;Carter&#146;s base salary
was increased to $450,000. In addition to base salary, Mr.&nbsp;Carter is entitled to receive an annual
incentive bonus in an amount determined by the board of directors in its sole discretion and to
participate in other employee pension benefit and fringe benefit plans applicable to executive
employees. In July&nbsp;2009, Mr.&nbsp;Carter received a discretionary bonus of $110,250 based on his
performance for the 2008 calendar year. Mr.&nbsp;Carter will be reimbursed for business expenses
incurred, including reimbursement for use of an automobile and fees for memberships in a country
club and other social and professional clubs and organizations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mr.&nbsp;Carter is entitled to severance payments and benefits in the event of termination of
employment under specified circumstances, including his termination of employment for reasons other
than cause, disability, or death, or in the event Mr.&nbsp;Carter resigns during the term of the
agreement for any of the following reasons:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>other than as a result of written direction from the Office of Thrift
Supervision, a material change in Mr.&nbsp;Carter&#146;s duties that are in effect as of the
effective date of the agreement that result in Executive&#146;s having significantly less
authority and/or responsibility without his consent;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the removal or failure to reappoint Mr.&nbsp;Carter as President and Chief Executive
Officer;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a reduction of Mr.&nbsp;Carter&#146;s base salary by an amount greater than five percent
of his current base salary;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>failure to provide Mr.&nbsp;Carter with substantially the same fringe benefits
(including paid vacations) that were provided to him as of the effective date of the
agreement (other than a reduction generally applicable to more than five employees or
to senior executive officers);</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->130<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a relocation of Mr.&nbsp;Carter&#146;s principal place of employment by more than 50
miles from Forth Worth, Texas (without his consent).</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of Mr.&nbsp;Carter&#146;s involuntary termination or resignation from employment following
the occurrence of one of the circumstances identified above, Mr.&nbsp;Carter will be entitled to a
severance payment equal to one times his base salary, which will be payable in 12 equal monthly
installments. The severance payment will commence within 15&nbsp;days of Mr.&nbsp;Carter&#146;s date of
termination, provided, however, if Mr.&nbsp;Carter is a &#147;specified employee,&#148; as defined in Section&nbsp;409A
of the Internal Revenue Code, then the payment will commence on the first day of the seventh
following Mr.&nbsp;Carter&#146;s date of termination. If Mr.&nbsp;Carter&#146;s employment is terminated at any time
for cause, he would have no right to compensation or other benefits for any period after his date
of termination. Upon Mr.&nbsp;Carter&#146;s termination due to death or incapacity, Mr.&nbsp;Carter, or his
beneficiary, will receive his base salary through the end of the month during which his termination
occurred, in addition to any unused vacation pay.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the term of the employment agreement and for 12&nbsp;months following the expiration or
termination of the employment agreement, Mr.&nbsp;Carter agrees not to provide services to any financial
institution in Tarrant, Dallas, Denton, Johnson and Hood Counties in the State of Texas and any
county adjacent to such counties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The employment agreement also provides that in the event any severance payments or benefits
constitute an &#147;excess parachute payment&#148; under Section&nbsp;280G of the Internal Revenue Code, such
benefits will be reduced accordingly to avoid penalties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the conversion and stock offering, OmniAmerican Bank intends to enter into
a new employment agreement with Mr.&nbsp;Carter that will supersede and replace Mr.&nbsp;Carter&#146;s existing
employment agreement. The agreement has an initial term of three years. Unless notice of
non-renewal is provided, the agreement renews annually so that the remaining term is three years.
The agreement provides for payment of base salary, which will be reviewed at least annually, and
which may be increased, but not decreased (except for a decrease not in excess of any decrease that
is applicable generally to all executive officers, as defined at 12 U.S.C. &#167; 215.2(e)). In
addition to base salary, Mr.&nbsp;Carter is entitled to participate in the bonus programs and other
employee pension benefit and fringe benefit plans applicable to executive employees, and will be
reimbursed for business expenses incurred, including fees for memberships in one country club and
certain other professional and social clubs and organizations. In addition, Mr.&nbsp;Carter will
receive an automobile for his business and personal use under the agreement or will be reimbursed
for use of his personal automobile.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of Mr.&nbsp;Carter&#146;s involuntary termination of employment for reasons other than
cause, disability or death, or in the event Mr.&nbsp;Carter resigns during the term of the agreement for
&#147;good reason,&#148; including such a termination or resignation following a change in control of OmniAmerican Bancorp or OmniAmerican Bank, Mr.&nbsp;Carter will be entitled to a severance payment equal to
three times the sum of his base salary and average rate of bonus awarded to him during the prior
three years payable in a single cash lump sum distribution; provided, however, that if termination
is following a change in control the severance payment will be equal to three times the sum of base
salary and highest level of bonus paid during the year or any of the three preceding years. In
addition, Mr.&nbsp;Carter will have the right to purchase such continued health care coverage for
himself and his family as is available to employees of OmniAmerican Bank under federal and Texas
state health care continuation laws for the maximum period permitted by law. OmniAmerican Bank
will reimburse him for the premiums through the end of the health care continuation period provided
by law and thereafter will assist Mr.&nbsp;Carter in purchasing individual coverage for the remainder of
a period of 36&nbsp;months by paying up to $5,000 per month for such coverage. In addition,
OmniAmerican Bank will reimburse Mr.&nbsp;Carter for a period of three years
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->131<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">following termination of employment for the cost of life insurance coverage substantially
comparable to the coverage maintained by OmniAmerican Bank for him prior to his termination. With
respect to the policy owned by Mr.&nbsp;Carter for which OmniAmerican Bank pays one-half of the premium,
OmniAmerican Bank will continue to make such payments for 36&nbsp;months following his termination. For
purposes of this agreement, circumstances that constitute &#147;good reason&#148; to resign and receive such
payments and benefits are substantially similar to the circumstances that are listed in Mr.
Carter&#146;s existing employment agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, should Mr.&nbsp;Carter become disabled, OmniAmerican Bank is obligated to reimburse
Mr.&nbsp;Carter for 36&nbsp;months for the cost of continued life insurance coverage substantially comparable
to the coverage maintained for Mr.&nbsp;Carter prior to his disability, provided, however that with
respect to the policy owned by Mr.&nbsp;Carter for which the bank pays one-half of the premium,
OmniAmerican Bank will continue the same co-pay arrangement for three years after his termination
due to disability. In addition, OmniAmerican Bank will reimburse Mr.&nbsp;Carter for the cost of
continued health care coverage for the maximum period of time such coverage is available under
federal and Texas state health care continuation laws (not to exceed three years).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of Mr.&nbsp;Carter&#146;s death while employed, his family will be entitled to continue
health care coverage under federal and state health care continuation laws, and OmniAmerican Bank
will reimburse them for the cost of such coverage for the first twelve months.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon termination of employment due to retirement (as defined therein), Mr.&nbsp;Carter would only
be entitled to his benefits under any retirement plan of OmniAmerican Bank and other plans to which
Mr.&nbsp;Carter is a party. In the event that Mr.&nbsp;Carter&#146;s employment is terminated for cause, Mr.
Carter would have no right to receive compensation or other benefits for any period after his
termination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon termination of employment, other than in connection with a change in control, Mr.&nbsp;Carter
agrees not to compete with OmniAmerican Bancorp or OmniAmerican Bank for two years following his
termination, within 25 miles of the locations in which OmniAmerican Bancorp or OmniAmerican Bank
has business operations or has filed an application for regulatory approval to establish an office.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Change in Control Agreements</I></B>. Following the conversion, OmniAmerican Bank intends to enter
into change in control agreements with Deborah Wilkinson, Senior Executive Vice President and Chief
Financial Officer, Terry Almon, Senior Executive Vice President and Chief Operating Officer and
Anne Holland, Senior Executive Vice President and Chief Lending Officer. The term of the
agreements is for two years, renewable for an additional year on each anniversary date of the
agreements, such that the remaining term of the agreements will always be for two years unless the
board of directors determines not to renew the agreement after performing a comprehensive
performance appraisal of executive.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of a change in control of OmniAmerican Bancorp or OmniAmerican Bank followed by
the executive&#146;s voluntary termination for &#147;good reason&#148; or involuntary termination, other than for
cause, the executive will be entitled to a severance payment. &#147;Good reason&#148; is defined as follows:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>failure to appoint or reappoint executive to his executive position;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a material change in the executive&#146;s functions, duties or responsibilities,
which change would cause the executive&#146;s position to become one of lesser
responsibility, importance or scope;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->132<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a liquidation or dissolution of OmniAmerican Bank other than liquidations or
dissolutions that are caused by reorganizations that do not affect the status of the
executive;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a material reduction in base salary;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>material reduction in the aggregate fringe benefits provided to executive;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a relocation of executive&#146;s principal place of employment by more than 50 miles
from its location as of the date of the agreement.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of a change in control followed by the executive&#146;s involuntary termination other
than for cause or resignation from employment for &#147;good reason,&#148; the executive will be entitled to
a severance payment equal to two times the sum of the executive&#146;s base salary in effect as of the
termination date, plus highest rate of bonus earned by the executive during either the calendar
year in which the termination occurs or the two calendar years immediately preceding the year in
which the termination occurs. In addition, the executive will be entitled to continued health
insurance coverage for executive and executive&#146;s family as is customarily available to employees of
the Bank and as required under federal and Texas health care continuation laws, and such coverage
will be paid for or reimbursed by the Bank for two years following termination of employment or the
maximum period of such coverage under the health care continuation law, whichever is less. Any
cash severance payment will be made in a lump sum within 30&nbsp;days following the executive&#146;s
termination date. The agreements provide that in the event the severance payments would include an
&#147;excess parachute payment&#148; under Section&nbsp;280G of the Internal Revenue Code, such benefits will be
reduced accordingly to avoid penalties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Company Performance and Incentive Plan Awards</I></B>. Prior to 2008, our bonus structure was purely
discretionary and subjective. Beginning in 2008, and at the request and direction of our new
President and Chief Executive Officer, OmniAmerican Bank implemented a non-equity incentive plan in
accordance with which cash bonuses would be paid based on satisfaction of quantitative performance
criteria. For 2008, the quantitative performance criteria were approved mid-year and included
corporate goals and individual goals for each of our Named Executive Officers, other than our
President and Chief Executive Officer or our Executive Vice President, Mortgage Lending. For 2008,
the maximum bonus that any of our Named Executive Officers could achieve under this plan was
approximately 7.5% of base salary, with a maximum bonus of $15,000. Successful achievement of the
corporate level goals accounted for 60% of the bonus, while achievement of individual goals
accounted for 40% of the overall bonus for each Named Executive Officer. The corporate goals had
five specific indicators, including: (i)&nbsp;financial performance; (ii)&nbsp;performance management,
including turnover/retention and leadership/communications; (iii)&nbsp;achieving our strategic business
plan; (iv)&nbsp;customer satisfaction; and (v)&nbsp;regulatory compliance. Each indicator had two to three
sub-categories of elements that must be achieved to successfully perform in that category. The
weight ascribed to any particular indicator ranged from 0% to 20% with an aggregate weight of 60%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Individual goals varied and were tailored to the job responsibilities of each officer. Each
of our Named Executive Officer&#146;s had four to five indicators that must be achieved in order to
receive the maximum potential bonus. For example, the indicators for our Chief Financial Officer
included: (i)&nbsp;asset/liability management; (ii)&nbsp;financial and regulatory reporting; (iii)&nbsp;analysis,
including feasibility analysis for new projects and products and analysis and implementation of
cost savings initiatives; and (iv)&nbsp;facilities management, including strategic planning for branch
locations. Our Chief Risk Officer&#146;s individual goals included: (i)&nbsp;tracking and compliance with
the areas of improvement itemized in certain regulatory actions issued by the Office of Thrift
Supervision in May&nbsp;2007; (ii)&nbsp;compliance with Bank Secrecy Act findings; (iii)&nbsp;developing risk
management policies and procedures; (iv)&nbsp;developing and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->133<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">implementing an identity theft red flag program; and (iv)&nbsp;developing policies and procedures for a
vendor management program. Our Chief Information Officer&#146;s individual goal&#146;s included: (i)
management goals, including strengthening information security controls and information technology
security functions; (ii)&nbsp;fulfilling all commitments under certain regulatory action issued by the
Office of Thrift Supervision; (iii)&nbsp;revising the information technology steering committee&#146;s
charter and incorporating process improvements into the steering committee; (iv)&nbsp;completing
construction of our disaster recovery facility; and (v)&nbsp;formalizing customer satisfaction metrics.
The weight ascribed to each of the Named Executive Officer&#146;s individual goals ranged from 5% to 18%
of the total bonus. For 2008, each of the Named Executive Officers was generally successful in
achieving above the threshold level of performance and achieved close to the overall target level
of performance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the 2009 calendar year, our incentive compensation plan requires that OmniAmerican Bank
have a threshold level of net earnings before any cash bonuses are paid due to the satisfaction of
individual or corporate goals.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth for the year ended December&nbsp;31, 2008 certain information as to
grants of plan-based awards for the named executive officers:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD align="center" colspan="13"  style="border-bottom: 1px solid #000000"><B><I>Grants of Plan-Based Awards For the Fiscal Year Ended 2008</I></B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD align="center" colspan="13">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">Estimated future payouts under</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">non-equity incentive plan awards</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Name</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Grant date</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Threshold</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Target</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deborah B. Wilkinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/1/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,300</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jane L. Adams</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/1/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,475</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tony A. Lippert</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1/1/2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Incentive Compensation Plan for President, Mortgage Services Group</I></B><B>. </B>In addition to the
above-named incentive plan, we have adopted a plan solely for the benefit of Robert Havran,
Executive Vice President, Mortgage Lending and the President of our Mortgage Services Group, a
department of OmniAmerican Bank. Under this incentive plan, Mr.&nbsp;Havran is entitled to a bonus of
up to five percent of the departmental net income, before taxes, as reported on the monthly income
statement. The bonus is calculated on the twelve month period ending December&nbsp;31 of each year and
will be paid on or before January&nbsp;31 of the immediately succeeding year. This plan is reviewed on
an annual basis and is subject to change. In addition, the plan can be terminated upon
notification to Mr.&nbsp;Havran no later than 30&nbsp;days prior to the beginning of the plan year. For the
2009 plan year, the maximum bonus available under the plan was limited to $156,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Potential Payments to Named Executive Officers</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth estimates of the amounts that would be payable to the listed
individuals in the event of their termination of employment under their employment or change in
control agreements on December&nbsp;31, 2008 in designated circumstances. The table does not include
vested or accrued benefits under qualified benefit plans that are disclosed elsewhere in this
prospectus. The table also does not provide information on the amounts to which Mr.&nbsp;Carter (or his
beneficiary) would be entitled on his death under individual life insurance or disability policies
for which we pay or reimburse Mr.&nbsp;Carter for part or all of the premium. The table assumes that
the provisions of Mr.&nbsp;Carter&#146;s employment agreement and Ms.&nbsp;Wilkinson&#146;s change in control agreement
that we intend to enter into in connection with the conversion and offering were in effect at
December&nbsp;31, 2008. The payments under Mr.&nbsp;Carter&#146;s proposed employment agreement would be greater
than the payments that would have been
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->134<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">required under Mr.&nbsp;Carter&#146;s existing agreement that was in effect at December&nbsp;31, 2008 but
which will be superseded by the new employment agreement. Similarly, Ms.&nbsp;Wilkinson did not have a
change in control agreement in place at December&nbsp;31, 2008. The estimates shown are highly
dependent on a variety of factors, including but not limited to: the date of termination; interest
rates; federal, state and local tax rates; and compensation history. Actual payments due could
vary substantially from the estimates shown. We consider each termination scenario listed below to
be exclusive of all other scenarios and do not expect that any of our executive officers would be
eligible to collect the benefits shown under more than one termination scenario.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Mr. Carter</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Ms. Wilkinson</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Disability</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Life Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">94,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Medical, dental and other health benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">107,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Death</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Medical, dental and other health benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,350</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Discharge Without Cause or Resignation
With Good Reason &#151; No Change in Control</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Salary (lump sum)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,102,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bonus (lump sum)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">330,750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Medical, dental and other health benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">107,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Life insurance contribution</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Discharge Without Cause or Resignation
With Good Reason &#151; Change in Control</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Salary (lump sum)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,102,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">406,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bonus (lump sum)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">330,750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Medical, dental and other health benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">107,446</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,117</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Life insurance contributions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Tax Qualified Benefit Plans</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>4</I></B><B><I>01(k)</I></B><B><I> Plan. </I></B>OmniAmerican Bank maintains the OmniAmerican 401(k) Profit Sharing Plan, a
tax-qualified defined contribution retirement plan, for all employees of OmniAmerican who have
satisfied the 401(k) Plan&#146;s eligibility requirements. All eligible employees can begin
participation in the 401(k) Plan on the earliest date that coincides with or next follows the date
the employee attains age 21. A participant may contribute up to 100% of his or her compensation to
the 401(k) Plan on a pre-tax basis, subject to the limitations imposed by the Internal Revenue
Code. For 2009, the salary deferral contribution limit is $16,500, provided, however, that a
participant over age 50 may contribute an additional $5,500 to the 401(k) Plan. A participant is
always 100% vested in his or her salary deferral contributions. In addition to salary deferral
contributions, the 401(k) Plan provides that OmniAmerican Bank will make matching contributions up
to 4% of a participant&#146;s salary for the year. A participant will vest in his or her matching
contributions over a 6-year period at the rate of 20% per year, commencing in the second year. A
participant also becomes 100% vested in his or her matching contributions upon the participant&#146;s
death, disability or attainment of age 65 while employed with OmniAmerican Bank. Generally, unless
a participant elects otherwise, the participant&#146;s benefit under the 401(k) Plan will be payable in
the form of a lump sum payment within 60&nbsp;days after the latest of attainment of age 65, the
10<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> anniversary of participation in the plan or termination of employment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each participant has an individual account under the 401(k) Plan and may direct the investment
of his or her account among a variety of investment options or vehicles available. In connection
with the conversion, the 401(k) Plan will be amended to add another investment alternative, the
OmniAmerican Bancorp Stock Fund. The stock fund permits a participant to invest his or her 401(k)
Plan funds in OmniAmerican Bancorp common stock. An independent trustee will purchase the common
stock in the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->135<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">offering on behalf of plan participants, to the extent that shares are available. A participant
will have the right to direct the trustee regarding the voting of shares purchased for his or her
plan account.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Defined Benefit Plan</I></B>. OmniAmerican Bank maintains the OmniAmerican Bank Defined Benefit Plan,
a tax-qualified defined benefit plan. Employees of OmniAmerican Bank who are age 21 or older and
have completed six months of employment are eligible to participate in the plan, provided, however,
the plan was amended to freeze participation to new employees commencing on December&nbsp;31, 2006.
Employees who became eligible to participate prior to December&nbsp;31, 2006 will continue to accrue a
benefit under the plan. A participant becomes vested in his or her retirement benefit over a 7-year
period at the rate of 20% per year, commencing in the third year. Participants also become 100%
vested in their retirement benefits upon the participants&#146; death, disability, or attainment of age
65 while employed with OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan was amended so that commencing on December&nbsp;31, 2006, each participant will no longer
accrue any additional benefits plan. Therefore, upon termination of employment on or after
attaining age 65, a participant will be entitled to his or her accrued benefit as of December&nbsp;31,
2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A participant who terminates employment prior to age 65 will be entitled to an early
retirement benefit, provided that the participant has completed 10&nbsp;years of employment. The early
retirement benefit will be equal to the participant&#146;s accrued benefit as of December&nbsp;31, 2006,
reduced by 5/9&nbsp;percent for each complete calendar month and 5/18&nbsp;percent for each complete calendar
month in excess of 60&nbsp;months that the participant&#146;s termination date precedes the date on which the
participant would have attained age 65. Payments of benefits under the plan are made in the form
of a qualified joint and survivor life annuity if the participant has a spouse, or a straight life
annuity for a participant who does not have a spouse, unless one of the optional forms of
distribution has been selected. The optional forms of distribution under the plan include various
annuities or a lump sum payment option.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event the participant dies while in active service, the participant&#146;s beneficiary will
be entitled to a qualified preretirement survivor annuity equal to the monthly benefit that would
have been payable to a beneficiary if the participant retired and received his or her benefit in
the form of a qualified joint and survivor annuity and immediately died thereafter, unless the
participant or the beneficiary waived the qualified preretirement survivor annuity by electing to
be paid a lump sum death benefit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the actuarial present value of each executive&#146;s accumulated
benefit under our pension benefit plan, along with each executive&#146;s number of years of credited
service under the plan. No payments were made under the plan in 2008.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Present Value of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Payments</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Accumulated</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>During Last</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name and Principal Position</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Plan Name</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Credited Service</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Benefit</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Fiscal Year</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deborah B. Wilkinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" nowrap>OmniAmerican Bank</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">35,334</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Senior Executive Vice
President and Chief
Financial Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Defined Benefit Plan</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jane L. Adams</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">OmniAmerican Bank</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,731</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Senior Vice President and
Chief Risk Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Defined Benefit Plan</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tony A. Lippert</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">OmniAmerican Bank</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,426</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Executive Vice President
and Chief Information Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Defined Benefit Plan</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>OmniAmerican Bank Defined Benefit Plan was frozen as of December&nbsp;31, 2006. Years of credited
service reflects all years of service.</TD>
</TR>

</TABLE>




<P align="center" style="font-size: 10pt"><!-- Folio -->136<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Stock Based Benefit Plans</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Employee Stock Ownership Plan. </I></B>Effective January&nbsp;1, 2010, OmniAmerican Bank adopted an
employee stock ownership plan for eligible employees. Eligible employees who have attained age 21
and were employed by us as of January&nbsp;1, 2010 will begin participation in the employee stock
ownership plan on the later of the effective date of the employee stock ownership plan or upon the
first entry date commencing on or after the eligible employee&#146;s completion of 1,000 hours of
service during a continuous 12-month period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The employee stock ownership plan trustee is expected to purchase, on behalf of the employee
stock ownership plan, 8% of the total number of shares of OmniAmerican Bancorp, Inc. common stock
issued in the offering. We anticipate that the employee stock ownership plan will fund its stock
purchase with a loan from OmniAmerican Bancorp, Inc. equal to the aggregate purchase price of the
common stock. The loan will be repaid principally through OmniAmerican Bank&#146;s contribution to the
employee stock ownership plan and dividends payable on common stock held by the employee stock
ownership plan over the anticipated 25-year term of the loan. The interest rate for the employee
stock ownership plan loan is expected to be an adjustable-rate equal to the prime rate, as
published in The Wall Street Journal, on the closing date of the offering. Thereafter the interest
rate will adjust annually and will be the prime rate on the first business day of the calendar
year, retroactive to January 1 of such year. See &#147;Pro Forma Data.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The trustee will hold the shares purchased by the employee stock ownership plan in an
unallocated suspense account, and shares will be released from the suspense account on a pro-rata
basis as we repay the loan. The trustee will allocate the shares released among participants on
the basis of each participant&#146;s proportional share of compensation relative to all participants.
Participants will become 100% vested upon the completion of three years of service. Participants
who were employed by OmniAmerican Bank immediately prior to the offering will receive credit for
vesting purposes for years of service prior to adoption of the employee stock ownership plan.
Participants also will become fully vested automatically upon normal retirement, death or
disability, a change in control, or termination of the employee stock ownership plan. Generally,
participants will receive distributions from the employee stock ownership plan upon separation from
service. The employee stock ownership plan reallocates any unvested shares forfeited upon
termination of employment among the remaining participants.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The employee stock ownership plan permits participants to direct the trustee as to how to vote
the shares of common stock allocated to their accounts. The trustee votes unallocated shares and
allocated shares for which participants do not provide instructions on any matter in the same ratio
as those shares for which participants provide instructions, subject to fulfillment of the
trustee&#146;s fiduciary responsibilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under applicable accounting requirements, OmniAmerican Bank will record a compensation expense
for the employee stock ownership plan at the fair market value of the shares as they are committed
to be released from the unallocated suspense account to participants&#146; accounts. The compensation
expense resulting from the release of the common stock from the suspense account and allocation to
plan participants will result in a corresponding reduction in OmniAmerican Bancorp, Inc.&#146;s
earnings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Benefits to be Considered Following Completion of the Stock Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following the stock offering, we intend to adopt a new stock-based incentive plan that will
provide for grants of stock options and restricted common stock awards. In accordance with
applicable
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->137<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">regulations, we anticipate that the plan will authorize a number of stock options and a
number of shares of restricted stock, not to exceed 10% and 4%, respectively, of the shares issued in the
offering. These limitations will not apply if the plan is implemented more than one year after the
conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The stock-based incentive plan will not be established sooner than six months after the stock
offering and, if adopted within one year after the stock offering, would require the approval by
stockholders owning a majority of the outstanding shares of OmniAmerican Bancorp, Inc. common stock
eligible to be cast. If the stock-based incentive plan is established after one year after the
stock offering, it would require the approval of our stockholders by a majority of votes cast.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following additional restrictions would apply to our stock-based incentive plan only if
the plan is adopted within one year after the stock offering:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>non-employee directors in the aggregate may not receive more than 30% of the options
and restricted stock awards authorized under the plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any non-employee director may not receive more than 5% of the options and restricted
stock awards authorized under the plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any officer or employee may not receive more than 25% of the options and restricted
stock awards authorized under the plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the options and restricted stock awards may not vest more rapidly than 20% per year,
beginning on the first anniversary of stockholder approval of the plan; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>accelerated vesting is not permitted except for death, disability or upon a change
in control of OmniAmerican Bank or OmniAmerican Bancorp, Inc.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>These restrictions do not apply to plans adopted after one year following the completion of the
stock offering.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have not yet determined whether we will present the stock-based incentive plan for
stockholder approval within one year following the completion of the conversion or whether we will
present this plan for stockholder approval more than one year after the completion of the
conversion. In the event the Office of Thrift Supervision changes its regulations or policies
regarding stock-based incentive plans, including any regulations or policies restricting the size
of awards and vesting of benefits as described above, the restrictions described above may not be
applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may obtain the shares needed for our stock-based benefit plans by issuing additional shares
of common stock from authorized but unissued shares or through stock repurchases.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Transactions with Certain Related Persons</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Sarbanes-Oxley Act of 2002 generally prohibits us from making loans to our executive
officers and directors, but it contains a specific exemption from such prohibition for loans made
by OmniAmerican Bank to our executive officers and directors in compliance with federal banking
regulations. At June&nbsp;30, 2009, all of our loans to directors and executive officers were made in
the ordinary course of business, were made on substantially the same terms, including interest
rates and collateral, as those prevailing at the time for comparable loans with persons not related to OmniAmerican
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->138<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Bank, and did not involve more than the normal risk of collectability or present
other unfavorable features.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, loans made to a director or executive officer must be approved in advance by a
majority of the disinterested members of the board of directors. The aggregate amount of our loans
to our executive officers and directors and their related entities was $2.4&nbsp;million at June&nbsp;30,
2009. As of June&nbsp;30, 2009, these loans were performing according to their original terms and were
made in compliance with federal banking regulations.
</DIV>
<DIV align="left">
<A name="147"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SUBSCRIPTIONS BY DIRECTORS AND EXECUTIVE OFFICERS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth information regarding intended common stock subscriptions by
each of the directors and executive officers of OmniAmerican Bank and their associates, and by all
directors and executive officers as a group. However, there can be no assurance that any
individual director or executive officer, or the directors and executive officers as a group, will
purchase any specific number of shares of our common stock. In the event the individual maximum
purchase limitation is increased, persons subscribing for the maximum amount may increase their
purchase order. Directors and executive officers will purchase shares of common stock at the same
$10.00 purchase price per share and on the same terms as other purchasers in the offering. This
table excludes shares of common stock to be purchased by the employee stock ownership plan, as well
as any stock awards or stock option grants that may be made no earlier than six months after the
completion of the offering. The directors and officers have indicated their intention to subscribe
in the offering for an aggregate of 175,000 shares of common stock (for a total subscription amount
of $1,750,000), which is equal to 2.3% of the shares of common stock to be sold in the offering at
the minimum of the offering range. The shares being acquired by the directors, executive officers
and their associates are being acquired for investment purposes, and not with a view towards
resale.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Percent at</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Minimum of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name and Title</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Number of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Purchase Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Offering Range</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wayne P. Burchfield, Jr., Chairman of the Board</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">60,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Elaine Anderson, Vice Chairman of the Board</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tim Carter, President, Chief Executive Officer
and Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Joan Anthony, Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">James Herring, Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Norm Carroll, Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Patti Callan, Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pat Conley, Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">John Sammons, Jr. , Director</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">250,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deborah B. Wilkinson, Senior Executive Vice
President and Chief Financial Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">75,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Terry Almon, Senior Executive Vice President
and Chief Operating Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Anne Holland, , Senior Executive Vice
President and Chief Lending Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">300,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jane L. Adams, Executive Vice President and
Chief Risk Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wendy Gary, Executive Vice President of
Consumer Lending</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">750</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Robert Havran, Executive Vice President of
Mortgage Lending</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">150,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->139<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Percent at</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Minimum of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name and Title</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Number of Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Purchase Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Offering Range</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">T.L Arnold, Jr., Executive Vice President and
Chief Credit Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maria Jones, Executive Vice President of Human
Resources and Training</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">250</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">All directors and executive officers as a
group (17 persons)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">175,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,750,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.3</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Less than 1%.</TD>
</TR>

</TABLE>


<DIV align="left">
<A name="148"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>THE CONVERSION; PLAN OF DISTRIBUTION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The board of directors of OmniAmerican Bank has approved the plan of conversion. The plan of
conversion must also be approved by OmniAmerican Bank&#146;s members. A special meeting of members has
been called for this purpose. The Office of Thrift Supervision has conditionally approved the plan
of conversion; however, such approval does not constitute a recommendation or endorsement of the
plan of conversion by that agency.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>General</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The board of directors of OmniAmerican Bank approved the plan of conversion on June&nbsp;23, 2009.
Pursuant to the plan of conversion, OmniAmerican Bank will convert from the mutual form of
organization to the fully stock form and we will sell shares of common stock to the public in our
offering. In the conversion, we will organize a new Maryland stock holding company named
OmniAmerican Bancorp, Inc. When the conversion is completed, all of the capital stock of
OmniAmerican Bank will be owned by OmniAmerican Bancorp, Inc., and all of the common stock of
OmniAmerican Bancorp, Inc. will be owned by public stockholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to retain between $74.0&nbsp;million and $100.7&nbsp;million of the net proceeds of the
offering, or $116.0&nbsp;million if the offering range is increased by 15%, and to contribute the
balance of the net proceeds to OmniAmerican Bank. The conversion will be consummated only upon the
issuance of at least 7,650,000 shares of our common stock offered pursuant to the plan of
conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion provides that we will offer shares of common stock for sale in the
subscription offering to eligible account holders, our tax-qualified employee benefit plans,
including our employee stock ownership plan and 401(k) plan, supplemental eligible account holders
and other members. If all shares are not subscribed for in the subscription offering, we may, in
our discretion, offer common stock for sale in a community offering to members of the general
public, with a preference given to natural persons residing in the Texas counties of Collin,
Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise. In
addition, all shares of common stock not purchased in the subscription offering and community
offering may be offered for sale to the general public in a syndicated community offering to be
managed by Keefe, Bruyette &#038; Woods, Inc., acting as our agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have the right to accept or reject, in whole or in part, any orders to purchase shares of
the common stock received in the community or syndicated community offering. The community
offering or syndicated community, if any, may begin at the same time as, during, or after the
subscription offering, and must be completed within 45&nbsp;days after the completion of the
subscription offering unless otherwise extended by us with the approval of the Office of Thrift
Supervision. See &#147;&#151;Community Offering.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We determined the number of shares of common stock to be offered in the offering based upon an
independent valuation of the estimated consolidated pro forma market value of OmniAmerican Bancorp,
Inc. All shares of common stock to be sold in the offering will be sold at $10.00 per share.
Investors will
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->140<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">not be charged a commission to purchase shares of common stock. The independent
valuation will be updated and the final number of the shares of common stock to be issued in the offering will
be determined at the completion of the offering. See &#147;&#151;Determination of Share Price and Number of
Shares to be Issued&#148; for more information as to the determination of the estimated pro forma market
value of the common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following is a brief summary of the conversion. We recommend reading the plan of
conversion in its entirety for more information. A copy of the plan of conversion is available for
inspection at each branch office of OmniAmerican Bank and at the Western Regional Office and the
Washington, D.C. Office of the Office of Thrift Supervision. The plan of conversion is also filed
as an exhibit to OmniAmerican Bank&#146;s application to convert from mutual to stock form of which this
prospectus is a part, copies of which may be obtained from the Office of Thrift Supervision. See
&#147;Where You Can Find Additional Information.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Reasons for the Conversion</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our primary reasons for converting and raising additional capital through the offering are:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to increase our capital levels to support future growth;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to have greater flexibility to structure and finance the expansion of our
operations, including potential acquisitions of other financial institutions, although
we have no current arrangements or agreements with respect to any such acquisitions;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to have a broader platform through the holding company structure to offer products
and services that will expand our banking relationships with our customers;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to provide better capital management tools, including the ability to pay dividends
and to repurchase shares of our common stock, subject to market conditions; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to attract and retain qualified personnel by establishing stock-based benefit plans
for management and employees.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the stock holding company structure, we will have greater flexibility in structuring
mergers and acquisitions. Our current mutual structure prevents us from offering shares of our
common stock as consideration for a merger or acquisition. Potential sellers often want stock for
at least part of the acquisition consideration. Our new stock holding company structure will
enable us to offer stock or cash consideration, or a combination thereof, and will therefore
enhance our ability to compete with other bidders when acquisition opportunities arise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have no current arrangements or agreements to acquire other banks, thrifts, financial
service companies or branch offices. However, we have had, and intend to continue to have,
discussions with local financial institutions to determine whether they would be interested in
exploring the possibility of our acquiring them after the offering is completed, and we have
sufficient capital resources to fund an acquisition. In addition, we have participated in, and
intend to continue to participate in, sales processes initiated on behalf of local financial
institutions that have made a decision to explore the possibility of a sale. We have also
explored, and intend to continue to explore, the possibility of acquiring financial service
companies. There can be no assurance that we will be able to consummate any acquisitions or
establish any new branches.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->141<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We believe that the additional capital raised in the offering may enable us to take advantage
of business opportunities that may not otherwise be available to us. We are not subject to a
directive or a recommendation from the Office of Thrift Supervision to raise capital.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Approvals Required</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The affirmative vote of a majority of the total eligible votes of members of OmniAmerican Bank
at the special meeting of members is required to approve the plan of conversion. The plan of
conversion also must be approved by the Office of Thrift Supervision, which has given its
conditional approval to the plan of conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A special meeting of members to consider and vote upon the plan of conversion has been set for
&#091;meeting date&#093;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Effects of Conversion on Depositors, Borrowers and Members</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Continuity</I></B><I>. </I>While the conversion is being accomplished, our normal business of accepting
deposits and making loans will continue without interruption. We will continue to be a federally
chartered savings bank and will continue to be regulated by the Office of Thrift Supervision. After
the conversion, we will continue to offer existing services to depositors, borrowers and other
customers. The directors serving OmniAmerican Bank at the time of the conversion will be the
directors of OmniAmerican Bank and of OmniAmerican Bancorp, Inc., a Maryland corporation, after the
conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Effect on Deposit Accounts</I></B><I>. </I>Pursuant to the plan of conversion, each depositor of OmniAmerican
Bank at the time of the conversion will automatically continue as a depositor after the conversion,
and the deposit balance, interest rate and other terms of such deposit accounts will not change as
a result of the conversion. Each such account will be insured by the Federal Deposit Insurance
Corporation to the same extent as before the conversion. Depositors will continue to hold their
existing certificates, passbooks and other evidences of their accounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Effect on Loans</I></B><I>. </I>No loan outstanding from OmniAmerican Bank will be affected by the
conversion, and the amount, interest rate, maturity and security for each loan will remain as it
was contractually fixed prior to the conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Effect on Voting Rights of Members</I></B><I>. </I>At present, all of our depositors are members of, and
have voting rights in, OmniAmerican Bank as to all matters requiring membership action. Upon
completion of the conversion, depositors will cease to be members of OmniAmerican Bank and will no
longer have voting rights. Upon completion of the conversion, all voting rights in OmniAmerican
Bank will be vested in OmniAmerican Bancorp, Inc. as the sole stockholder of OmniAmerican Bank.
The stockholders of OmniAmerican Bancorp, Inc. will possess exclusive voting rights with respect to
OmniAmerican Bancorp, Inc. common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Tax Effects</I></B><I>. </I>We will receive an opinion of counsel or tax advisor with regard to federal and
state income tax consequences of the conversion to the effect that the conversion will not be
taxable for federal or state income tax purposes to OmniAmerican Bank or its members. See
&#147;&#151;Material Income Tax Consequences.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Effect on Liquidation Rights</I></B><I>. </I>Each depositor in OmniAmerican Bank has both a deposit account
in OmniAmerican Bank and a pro rata ownership interest in the net worth of OmniAmerican Bank based
upon the deposit balance in his or her account. This ownership interest is tied to the depositor&#146;s
account and has no tangible market value separate from the deposit account. This interest may only
be realized in
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->142<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the event of a complete liquidation of OmniAmerican Bank. Any depositor who opens a deposit
account obtains a pro rata ownership interest in OmniAmerican Bank without any additional payment
beyond the amount of the deposit. A depositor who reduces or closes his or her account receives a
portion or all, respectively, of the balance in the deposit account but nothing for his or her
ownership interest in the net worth of OmniAmerican Bank, which is lost to the extent that the
balance in the account is reduced or closed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consequently, depositors in a mutual savings bank normally have no way of realizing the value
of their ownership interest, which has realizable value only in the unlikely event that the
association is completely liquidated. If this occurs, the depositors of record at that time, as
owners, would share pro rata in any residual surplus and reserves of OmniAmerican Bank after other
claims, including claims of depositors to the amounts of their deposits, are paid.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the unlikely event that OmniAmerican Bank were to liquidate after the conversion, all
claims of creditors, including those of depositors, also would be paid first, followed by
distribution of the &#147;liquidation account&#148; to depositors as of March&nbsp;31, 2008 and &#091;supplemental
date&#093; who continue to maintain their deposit accounts as of the date of liquidation, with any
assets remaining thereafter distributed to OmniAmerican Bancorp, Inc. as the holder of OmniAmerican
Bank&#146;s capital stock. Pursuant to the rules and regulations of the Office of Thrift Supervision, a
post-conversion merger, consolidation, sale of bulk assets or similar combination or transaction
with another insured savings institution would not be considered a liquidation and, in such a
transaction, the liquidation account would be assumed by the surviving institution. See
&#147;&#151;Liquidation Rights.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Determination of Share Price and Number of Shares to be Issued</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion and federal regulations require that the aggregate purchase price of
the common stock sold in the offering be based on the appraised pro forma market value of the
common stock, as determined by an independent valuation. We have retained RP Financial, LC. to
prepare an independent valuation appraisal. For its services in preparing the initial valuation,
RP Financial, LC. will receive a fee of $60,000, and will be reimbursed for its expenses. RP
Financial, LC. will receive an additional fee of $5,000 for each update to the valuation appraisal.
We have agreed to indemnify RP Financial, LC. and its employees and affiliates against specified
losses, including any losses in connection with claims under the federal securities laws, arising
out of its services as independent appraiser, except where such liability results from its
negligence or bad faith.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The independent valuation appraisal considered the pro forma impact of the offering.
Consistent with the Office of Thrift Supervision appraisal guidelines, the appraisal applied three
primary methodologies: the pro forma price-to-book value approach applied to both reported book
value and tangible book value; the pro forma price-to-earnings approach applied to reported and
core earnings; and the pro forma price-to-assets approach. The market value ratios applied in the
three methodologies were based upon the current market valuations of the peer group companies
identified by RP Financial, LC., subject to valuation adjustments applied by RP Financial, LC. to
account for differences between us and our peer group.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The independent valuation was prepared by RP Financial, LC. in reliance upon the information
contained in this prospectus, including our financial statements. RP Financial, LC. also considered
the following factors, among others:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our present and projected results and financial condition;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->143<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the economic and demographic conditions in our existing market area;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>certain historical, financial and other information relating to us;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a comparative evaluation of our operating and financial characteristics with those
of other similarly situated publicly traded savings institutions;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the impact of the conversion and the offering on our equity and earnings potential;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our potential to pay cash dividends; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the trading market for securities of comparable institutions and general conditions
in the market for such securities.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Included in the independent valuation were certain assumptions as to our pro forma earnings
after the conversion that were utilized in determining the appraised value. These assumptions
included estimated expenses, an assumed after-tax rate of return on the net offering proceeds and
purchases in the open market of 4% of the common stock issued in the offering by the stock-based
benefit plan at the $10.00 purchase price. See &#147;Pro Forma Data&#148; for additional information
concerning these assumptions. The use of different assumptions may yield different results.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The independent valuation states that as of August&nbsp;28, 2009, the estimated pro forma market
value of OmniAmerican Bancorp, Inc. ranged from $76.5&nbsp;million to $103.5&nbsp;million, with a midpoint of
$90.0&nbsp;million. Our board of directors decided to offer the shares of common stock for a price of
$10.00 per share primarily because it is the price most commonly used in mutual-to-stock
conversions of financial institutions. The number of shares offered will be equal to the aggregate
offering price of the shares divided by the price per share. Based on the valuation range and the
$10.00 price per share, the minimum of the offering range will be 7,650,000 shares, the midpoint of
the offering range will be 9,000,000 shares and the maximum of the offering range will be
10,350,000 shares, or 11,902,500 shares if the maximum amount is adjusted because of demand for
shares or changes in market conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table presents a summary of selected pricing ratios for OmniAmerican Bancorp,
Inc. and our peer group companies identified by RP Financial, LC. Pro forma price-to- earnings
multiple is based on earnings for the 12&nbsp;months ended June&nbsp;30, 2009, and pro forma price-to-book
value and price-to-tangible book value ratios are based on equity as of June&nbsp;30, 2009. Compared to
the median pricing of the peer group, our pro forma pricing ratios at the maximum of the offering
range indicated a premium of 5,888.31% on a price-to-earnings basis, a premium of 1.5% on a
price-to-book basis and a discount of 20.1% on a price-to-tangible book basis. The pricing ratios
result from our generally having higher levels of equity but lower earnings than the companies in
the peer group on a pro forma basis. Our board of directors, in reviewing and approving the
valuation, considered the range of price-to-core earnings multiples and the range of price-to-book
value ratios and price-to-tangible book value ratios at the different amounts of shares to be sold
in the offering.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->144<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro forma</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>price-to-book</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>price-to-tangible</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>price-to- earnings multiple</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>value ratio</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>book value ratio</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>OmniAmerican Bancorp, Inc.</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Maximum, as adjusted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,471.36x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">62.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">62.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Maximum</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">804.23x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">58.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">58.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Minimum</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">238.67x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">49.33</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">49.33</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Valuation of peer group companies using
stock prices as of August&nbsp;28, 2009</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Averages</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17.70x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">66.09</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">74.69</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Medians</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13.43x</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">57.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">72.55</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Based on earnings for the twelve months ended June&nbsp;30, 2009 and book value as of June&nbsp;30,
2009.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our board of directors reviewed the independent valuation and, in particular, considered the
following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>our financial condition and results of operations;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>comparison of our financial performance ratios to those of other financial
institutions of similar size; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>market conditions generally and, in particular, for financial institutions.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All of these factors are set forth in the independent valuation. Our board of directors also
reviewed the methodology and the assumptions used by RP Financial, LC. in preparing the independent
valuation and believes that such assumptions were reasonable. The offering range may be amended
with the approval of the Office of Thrift Supervision, if required, as a result of subsequent
developments in our financial condition or market conditions generally. In the event the
independent valuation is updated to amend our pro forma market value to less than $76.5&nbsp;million or
more than $119.0&nbsp;million, the appraisal will be filed with the Securities and Exchange Commission
by a post-effective amendment to our registration statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>The independent valuation is not intended, and must not be construed, as a recommendation of
any kind as to the advisability of purchasing shares of our common stock. RP Financial, LC. did
not independently verify our financial statements and other information that we provided to them,
nor did RP Financial, LC. independently value our assets or liabilities. The independent valuation
considers OmniAmerican Bank as a going concern and should not be considered as an indication of the
liquidation value of OmniAmerican Bank. Moreover, because the valuation is necessarily based upon
estimates and projections of a number of matters, all of which may change from time to time, no
assurance can be given that persons purchasing our common stock in the offering will thereafter be
able to sell their shares at prices at or above the $10.00 offering price per share.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following commencement of the subscription offering, the maximum of the valuation range may be
increased by up to 15%, or up to $119.0&nbsp;million, without resoliciting subscribers, which would
result in a corresponding increase of up to 15% in the maximum of the offering range to up to
11,902,500 shares, to reflect changes in the market and financial conditions or demand for the
shares. We will not decrease the minimum of the valuation range and the minimum of the offering
range without a resolicitation of subscribers. The subscription price of $10.00 per share will
remain fixed. See &#147;&#151;Limitations on Common Stock Purchases&#148; as to the method of distribution and
allocation of additional shares that may be issued in the event of an increase in the offering
range to fill unfilled orders in the offering.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->145<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the update to the independent valuation at the conclusion of the offering results in an
increase in the maximum of the valuation range to more than $119.0&nbsp;million and a corresponding
increase in the offering range to more than 11,902,500 shares, or a decrease in the minimum of the
valuation range to less than $76.5&nbsp;million and a corresponding decrease in the offering range to
fewer than 7,650,000 shares, then we may promptly return with interest at our current passbook
savings rate of interest all funds previously delivered to us to purchase shares of common stock
and cancel deposit account withdrawal authorizations, and, after consulting with the Office of
Thrift Supervision, we may terminate the plan of conversion. Alternatively, we may hold a new
offering, establish a new offering range, extend the offering period and commence a resolicitation
of subscribers or take other actions as permitted by the Office of Thrift Supervision in order to
complete the conversion and the offering. In the event that a resolicitation is commenced, we will
notify subscribers of the extension of time and of the rights of subscribers to place a new stock
order for a specified period of time. If a person does not respond, we will cancel his or her
stock order and return his or her subscription funds, with interest, and cancel any authorization
to withdraw funds from deposit accounts for the purchase of shares of common stock. Any
resolicitation following the conclusion of the subscription and community offerings would not
exceed 45&nbsp;days unless further extended by the Office of Thrift Supervision for periods of up to 90
days.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An increase in the number of shares to be issued in the offering would decrease both a
subscriber&#146;s ownership interest and our pro forma earnings and stockholders&#146; equity on a per share
basis while increasing pro forma earnings and stockholders&#146; equity on an aggregate basis. A
decrease in the number of shares to be issued in the offering would increase both a subscriber&#146;s
ownership interest and our pro forma earnings and stockholders&#146; equity on a per share basis, while
decreasing pro forma earnings and stockholders&#146; equity on an aggregate basis. For a presentation of
the effects of these changes, see &#147;Pro Forma Data.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Copies of the independent valuation appraisal report of RP Financial, LC. and the detailed
memorandum setting forth the method and assumptions used in the appraisal report are available for
inspection at our main office and as specified under &#147;Where You Can Find Additional Information.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Subscription Offering and Subscription Rights</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In accordance with the plan of conversion, rights to subscribe for shares of common stock in
the subscription offering have been granted in the following descending order of priority. The
filling of all subscriptions that we receive will depend on the availability of common stock after
satisfaction of all subscriptions of all persons having prior rights in the subscription offering
and to the maximum, minimum and overall purchase limitations set forth in the plan of conversion
and as described below under &#147;&#151;Limitations on Common Stock Purchases.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Priority 1: Eligible Account Holders</I></B><I>. </I>Each depositor with aggregate deposit account balances
of $50.00 or more (a &#147;Qualifying Deposit&#148;) on March&nbsp;31, 2008 (an &#147;Eligible Account Holder&#148;) will
receive, without payment therefor, nontransferable subscription rights to purchase, subject to the
overall purchase limitations, up to the greater of 30,000 shares of our common stock, 0.10% of the
total number of shares of common stock issued in the offering, or 15 times the number of
subscription shares offered multiplied by a fraction of which the numerator is the aggregate
Qualifying Deposit account balances of the Eligible Account Holder and the denominator is the
aggregate Qualifying Deposit account balances of all Eligible Account Holders, subject to the
overall purchase limitations. See &#147;&#151;Limitations on Common Stock Purchases.&#148; If there are not
sufficient shares available to satisfy all subscriptions, shares will first be allocated so as to
permit each Eligible Account Holder to purchase a number of shares sufficient to make his or her
total allocation equal to the lesser of 100 shares or the number of shares for which he or she
subscribed. Thereafter, unallocated shares will be allocated to each Eligible Account Holder whose
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->146<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">subscription remains unfilled in the proportion that the amount of his or her Qualifying
Deposit bears to the total amount of Qualifying Deposits of all subscribing Eligible Account
Holders whose subscriptions remain unfilled. If an amount so allocated exceeds the amount
subscribed for by any one or more Eligible Account Holders, the excess shall be reallocated (one or
more times as necessary) among those Eligible Account Holders whose subscriptions are not fully
satisfied until all available shares have been allocated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To ensure proper allocation of shares of our common stock, each Eligible Account Holder must
list on his or her stock order and certification form all deposit accounts in which he or she has
an ownership interest on March&nbsp;31, 2008. In the event of oversubscription, failure to list an
account could result in fewer shares being allocated than if all accounts had been disclosed. In
the event of an oversubscription, the subscription rights of Eligible Account Holders who are also
our directors or executive officers or their associates will be subordinated to the subscription
rights of other Eligible Account Holders to the extent attributable to increased deposits during
the year preceding March&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Priority 2: Tax-Qualified Plans</I></B><I>. </I>Our tax-qualified employee benefit plans, including our
employee stock ownership plan and 401(k) plan, will receive, without payment therefor,
nontransferable subscription rights to purchase in the aggregate up to 10% of the shares of common
stock sold in the offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Priority 3: Supplemental Eligible Account Holders</I></B><I>. </I>To the extent that there are sufficient
shares of common stock remaining after satisfaction of subscriptions by Eligible Account Holders
and our tax-qualified employee benefit plans, each depositor with a Qualifying Deposit on
&#091;supplemental date&#093; who is not an Eligible Account Holder (&#147;Supplemental Eligible Account Holder&#148;)
will receive, without payment therefor, nontransferable subscription rights to purchase up to the
greater of 30,000 shares of common stock, 0.10% of the total number of shares of common stock
issued in the offering, or 15 times the number of subscription shares offered multiplied by a
fraction of which the numerator is the aggregate Qualifying Deposit account balances of the
Supplemental Eligible Account Holder and the denominator is the aggregate Qualifying Deposit
account balances of all Supplemental Eligible Account Holders, subject to the overall purchase
limitations. See &#147;&#151;Limitations on Common Stock Purchases.&#148; If there are not sufficient shares
available to satisfy all subscriptions, shares will be allocated so as to permit each Supplemental
Eligible Account Holder to purchase a number of shares sufficient to make his or her total
allocation equal to the lesser of 100 shares of common stock or the number of shares for which he
or she subscribed. Thereafter, unallocated shares will be allocated to each Supplemental Eligible
Account Holder whose subscription remains unfilled in the proportion that the amount of his or her
Qualifying Deposit bears to the total amount of Qualifying Deposits of all Supplemental Eligible
Account Holders whose subscriptions remain unfilled. If an amount so allocated exceeds the amount
subscribed for by any one or more Supplemental Eligible Account Holders, the excess shall be
reallocated (one or more times as necessary) among those Supplemental Eligible Account Holders
whose subscriptions are not fully satisfied until all available shares have been allocated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To ensure proper allocation of common stock, each Supplemental Eligible Account Holder must
list on the stock order and certification form all deposit accounts in which he or she has an
ownership interest at &#091;supplemental date&#093;. In the event of oversubscription, failure to list an
account could result in fewer shares being allocated than if all accounts had been disclosed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Priority 4: Other Members</I></B><I>. </I>To the extent that there are shares of common stock remaining after
satisfaction of subscriptions by Eligible Account Holders, our tax-qualified employee benefit plans
and Supplemental Eligible Account Holders, each depositor on the voting record date of &#091;other
member date&#093; who is not an Eligible Account Holder or Supplemental Eligible Account Holder (&#147;Other
Members&#148;) will
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->147<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">receive, without payment therefor, nontransferable subscription rights to purchase up to the
greater of 30,000 shares of common stock or 0.10% of the total number of shares of common stock
issued in the offering, subject to the overall purchase limitations. See &#147;&#151;Limitations on Common
Stock Purchases.&#148; If there are not sufficient shares available to satisfy all subscriptions,
available shares will be allocated so as to permit each Supplemental Eligible Account Holder to
purchase a number of shares sufficient to make his or her total allocation equal to the lesser of
100 shares of common stock or the number of shares for which he or she subscribed. Thereafter,
unallocated shares will be allocated to each Other Member whose subscription remains unfilled in
the proportion that the amount of his or her subscription bears to the total amount of
subscriptions of all Other Members whose subscriptions remain unfilled.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Expiration Date</I></B>. The Subscription Offering will expire at 12:00 noon, local time, on
&#091;expiration date&#093;, unless extended by us for up to 45&nbsp;days or such additional periods with the
approval of the Office of Thrift Supervision, if necessary. Subscription rights will expire
whether or not each eligible depositor can be located. We may decide to extend the expiration date
of the subscription offering for any reason, whether or not subscriptions have been received for
shares at the minimum, midpoint or maximum of the offering range. Subscription rights that have not
been exercised prior to the expiration date will become void.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will not execute orders until we have received orders to purchase at least the minimum
number of shares of common stock. If we have not received orders to purchase at least 7,650,000
shares within 45&nbsp;days after the expiration date and the Office of Thrift Supervision has not
consented to an extension, all funds delivered to us to purchase shares of common stock in the
offering will be returned promptly to the subscribers with interest at our current passbook savings
rate and all deposit account withdrawal authorizations will be canceled. If an extension beyond
&#091;extension date&#093; is granted by the Office of Thrift Supervision, we will resolicit subscribers,
giving them an opportunity to change or cancel their orders. We will notify subscribers of the
extension of time and of the rights of subscribers to place a new stock order for a specified
period of time. If a subscriber does not respond, we will cancel his or her stock order and return
his or her subscription funds, with interest, and cancel any authorization to withdraw funds from
deposit accounts for the purchase of shares of common stock. Extensions may not go beyond &#091;final
date&#093;, which is two years after the special meeting of our members to vote on the conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Community Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To the extent that shares of common stock remain available for purchase after satisfaction of
all subscriptions of the Eligible Account Holders, our tax-qualified employee benefit plans,
Supplemental Eligible Account Holders and Other Members, we may offer shares pursuant to the plan
of conversion to members of the general public in a community offering. Shares may be offered with
a preference to natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton,
Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subscribers in the community offering may purchase up to 30,000 shares of common stock,
subject to the overall purchase limitations. See &#147;&#151;Limitations on Common Stock Purchases.&#148; <B>The
opportunity to purchase shares of common stock in the community offering category is subject to our
right, in our sole discretion, to accept or reject any such orders in whole or in part either at
the time of receipt of an order or as soon as practicable following the expiration date of the
offering.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we do not have sufficient shares of common stock available to fill the orders of natural
persons residing in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood,
Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, we will allocate the available shares among
those persons in a
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->148<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">manner that permits each of them, to the extent possible, to purchase the lesser of 100
shares, or the number of shares subscribed for by such person. Thereafter, unallocated shares will
be allocated among natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton,
Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, whose orders remain
unsatisfied on an equal number of shares basis per order. If, after the allocation of shares to
natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood,
Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, we do not have sufficient shares of common
stock available to fill the orders of other members of the general public, we will allocate the
available shares among those persons in a manner that permits each of them, to the extent possible,
to purchase the lesser of 100 shares, or the number of shares subscribed for by such person.
Thereafter, unallocated shares will be allocated among members of the general public whose orders
remain unsatisfied will be filled up to a maximum of 2% of the shares sold in the offering, and
thereafter any remaining shares will be allocated on an equal number of shares basis per order.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term &#147;residing&#148; or &#147;resident&#148; as used in this prospectus means any person who occupies a
dwelling within the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman,
Johnson, Rockwall, Parker, Tarrant and Wise, has a present intent to remain within the community
for a period of time and manifests the genuineness of that intent by establishing an ongoing
physical presence within the community, together with an indication that this presence within the
community is something other than merely transitory in nature. We may utilize deposit or loan
records or other evidence provided to us to decide whether a person is a resident. In all cases,
however, the determination shall be in our sole discretion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Expiration Date. </I></B>The community offering may begin at the same time as, during or after the
subscription offering. It is currently expected to terminate at the same time as the subscription
offering, although it must terminate no more than 45&nbsp;days following the subscription offering. We
may decide to extend the community offering for any reason and are not required to give purchasers
notice of any such extension unless such period extends beyond &#091;extension date&#093;. If an extension
beyond &#091;extension date&#093; is granted by the Office of Thrift Supervision, we will resolicit persons
whose orders we accept in the community offering, giving them an opportunity to change or cancel
their orders. If a person does not respond, we will cancel his or her stock order and return
purchase funds, with interest, and cancel any authorization to withdraw funds from deposit accounts
for the purchase of shares of common stock. These extensions may not go beyond &#091;final date&#093;, which
is two years after the special meeting of our members to vote on the conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Syndicated Community Offering</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion provides that, if necessary, all shares of common stock not purchased
in the subscription offering and community offering may be offered for sale to the general public
in a syndicated community offering to be managed by Keefe, Bruyette &#038; Woods, Inc., acting as our
agent. In such capacity, Keefe, Bruyette &#038; Woods, Inc. may form a syndicate of other
broker-dealers. Neither Keefe, Bruyette &#038; Woods, Inc. nor any registered broker-dealer will have
any obligation to take or purchase any shares of the common stock in the syndicated community
offering; however, Keefe, Bruyette &#038; Woods, Inc. has agreed to use its best efforts in the sale of
shares in any syndicated community offering. The syndicated community offering would terminate no
later than &#091;extension date&#093;, unless extended by us, with approval of the Office of Thrift
Supervision. See &#147;&#151;Community Offering&#148; above for a discussion of rights of persons who place
orders in the syndicated community offering in the event an extension is granted.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->149<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The opportunity to order shares of common stock in the syndicated community offering is
subject to our right to reject orders, in whole or in part, either at the time of receipt of an
order or as soon as practicable following the expiration date of the offering. If your order is
rejected in part, you will not have the right to cancel the remainder of your order. Purchasers in
the syndicated community offering are eligible to purchase up to 30,000 shares of common stock,
subject to the overall purchase limitations. See &#147;&#151;Limitations on Common Stock Purchases.&#148;
Unless the Office of Thrift Supervision permits otherwise, accepted orders for OmniAmerican
Bancorp, Inc. common stock in the syndicated community offering will first be filled up to a
maximum of two percent (2%) of the shares sold in the offering, and thereafter any remaining shares
will be allocated on an equal number of shares basis per order until all shares have been
allocated. We may begin the syndicated community offering at any time following the commencement of
the subscription offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we are unable to find purchasers from the general public for all unsubscribed shares, we
will make other purchase arrangements, if feasible. Other purchase arrangements must be approved
by the Office of Thrift Supervision. If other purchase arrangements cannot be made, we may do any
of the following: terminate the offering and promptly return all funds; set a new offering range,
notify all subscribers and give them the opportunity to confirm, cancel or change their orders; or
take such other actions as may be permitted by the Office of Thrift Supervision.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Limitations on Common Stock Purchases</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion includes the following limitations on the number of shares of common
stock that may be purchased in the offering:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No person or entity together with any associate or group of persons acting in
concert may purchase more than 50,000 shares of common stock in the offering, except
that our tax-qualified employee benefit plans, including our employee stock ownership
plan and 401(k) plan, may purchase in the aggregate up to 10% of the shares of common
stock issued in the offering (including shares issued in the event of an increase in
the offering range of up to 15%);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The maximum number of shares of common stock that may be purchased in all categories
of the offering by our executive officers and directors and their associates, in the
aggregate, may not exceed 25% of the shares issued in the offering;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The minimum purchase by each person purchasing shares in the offering is 25 shares,
to the extent those shares are available; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The maximum number of shares of common stock that may be subscribed for or purchased
in the offering by any person or entity together with any associate or group of persons
acting in concert, may not exceed 5.0% of the outstanding shares of our common stock at
the completion of the offering (excluding our ESOP and 401(k) Plan).</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depending upon market or financial conditions, our board of directors, with the approval of
the Office of Thrift Supervision and without further approval of our members, may decrease or
increase the purchase limitations. If a purchase limitation is increased, subscribers in the
subscription offering who ordered the maximum amount will be, and, in our sole discretion, some
other large subscribers may be, given the opportunity to increase their subscriptions up to the
then-applicable limit. The effect of this type of resolicitation would be an increase in the
number of shares of common stock owned by subscribers who choose to increase their subscriptions.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->150<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of an increase in the offering range of up to 15% of the total number of shares
of common stock offered in the offering, shares will be allocated in the following order of
priority in accordance with the plan of conversion:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to fill our tax-qualified employee benefit plans&#146; subscriptions for up to 10%
of the total number of shares of common stock issued in the offering;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>in the event that there is an oversubscription at the Eligible Account Holder,
Supplemental Eligible Account Holder or Other Member levels, to fill unfulfilled
subscriptions of these subscribers according to their respective priorities; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to fill unfulfilled subscriptions in the community offering, with preference
given first to natural persons residing in the Texas counties of Collin, Dallas, Delta,
Denton, Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term &#147;associate&#148; of a person means:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any corporation or organization, other than OmniAmerican Bank, OmniAmerican
Bancorp, Inc. or a majority-owned subsidiary of these entities, of which the person is
a senior officer, partner or 10% beneficial stockholder;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any trust or other estate in which the person has a substantial beneficial
interest or serves as a trustee or in a fiduciary capacity, excluding any employee
stock benefit plan in which the person has a substantial beneficial interest or serves
as trustee or in a fiduciary capacity; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any blood or marriage relative of the person, who either lives in the same home
as the person or who is a director or officer of OmniAmerican Bank or OmniAmerican
Bancorp, Inc.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The term &#147;acting in concert&#148; means:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>knowing participation in a joint activity or interdependent conscious parallel
action towards a common goal whether or not pursuant to an express agreement; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>a combination or pooling of voting or other interests in the securities of an
issuer for a common purpose pursuant to any contract, understanding, relationship,
agreement or other arrangement, whether written or otherwise.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A person or company that acts in concert with another person or company (&#147;other party&#148;) shall
also be deemed to be acting in concert with any person or company who is also acting in concert
with that other party, except that any tax-qualified employee stock benefit plan will not be deemed
to be acting in concert with its trustee or a person who serves in a similar capacity solely for
the purpose of determining whether common stock held by the trustee and common stock held by the
employee stock benefit plan will be aggregated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our directors are not treated as associates of each other solely because of their membership
on the board of directors. We have the right to determine whether prospective purchasers are
associates or acting in concert. Shares of common stock purchased in the offering will be freely
transferable except for shares purchased by our executive officers and directors and except as
described below. Any purchases made by any associate of OmniAmerican Bank or OmniAmerican Bancorp,
Inc. for the explicit purpose of meeting
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->151<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the minimum number of shares of common stock required to be sold in order to complete the
offering shall be made for investment purposes only and not with a view toward redistribution. In
addition, under the guidelines of the Financial Industry Regulatory Authority, members of the
Financial Industry Regulatory Authority and their associates are subject to certain restrictions on
transfer of securities purchased in accordance with subscription rights and to certain reporting
requirements upon purchase of these securities. For a further discussion of limitations on
purchases of shares of our common stock at the time of conversion and thereafter, see &#147;&#151;Certain
Restrictions on Purchase or Transfer of Our Shares After Conversion&#148; and &#147;Restrictions on
Acquisition of OmniAmerican Bancorp, Inc.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Marketing and Distribution; Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Offering materials have been initially distributed to certain persons by mail, with additional
copies made available through our Stock Information Center.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have engaged Keefe, Bruyette &#038; Woods, Inc., a broker-dealer registered with the Financial
Industry Regulatory Authority, as a financial advisor in connection with the offering of our common
stock. In its role as financial advisor, Keefe, Bruyette &#038; Woods, Inc., will:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>provide advice on the financial and securities market implications of the plan of
conversion and related corporate documents, including our business plan;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist in structuring our stock offering, including developing and assisting in
implementing a market strategy for the stock offering;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>review all offering documents, including this prospectus, stock order forms and
related offering materials (we are responsible for the preparation and filing of such
documents);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist us in preparing for and scheduling meetings with potential investors and
broker-dealers, as necessary;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist us in analyzing proposals from outside vendors retained in connection with
the stock offering, including printers, transfer agents and appraisal firms;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist us in the drafting and distribution of press releases as required or
appropriate in connection with the stock offering</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>meet with the board of directors and management to discuss any of these services;
and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>provide such other financial advisory and investment banking services in connection
with the stock offering as may be agreed upon by Keefe, Bruyette &#038; Woods, Inc. and us.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For these services, Keefe, Bruyette &#038; Woods, Inc. will receive a management fee of $50,000,
payable in four consecutive monthly installments commencing July&nbsp;2009, and a success fee of 1.25%
of the aggregate dollar amount of the common stock sold in the subscription offering and community
offering, each if the conversion is consummated, excluding shares purchased by our directors,
officers and employees and members of their immediate families, our employee stock ownership plan
and our tax-qualified or stock-based compensation or similar plans (except individual retirement
accounts). The management fee will be credited against the fee payable upon the consummation of
the conversion.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->152<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion provides that, if necessary, all shares of common stock not purchased
in the subscription offering and community offering may be offered for sale to the general public
in a syndicated community offering to be managed by Keefe, Bruyette &#038; Woods, Inc. In such
capacity, Keefe, Bruyette &#038; Woods, Inc. may form a syndicate of other broker-dealers. Neither
Keefe, Bruyette &#038; Woods, Inc. nor any registered broker-dealer will have any obligation to take or
purchase any shares of common stock in the syndicated community offering; however, Keefe, Bruyette
&#038; Woods, Inc. has agreed to use its best efforts in the sale of shares in any syndicated community
offering. If there is a syndicated community offering, Keefe, Bruyette &#038; Woods, Inc. will receive
a management fee not to exceed 5.5% of the aggregate dollar amount of the common stock sold in the
syndicated community offering. This fee will include the success fees earned by Keefe, Bruyette &#038;
Woods, Inc. in connection with the subscription and community offerings set forth above. Of this
amount, Keefe, Bruyette &#038; Woods, Inc. will pass on to selected broker-dealers, who assist in the
syndicated community offering, an amount competitive with gross underwriting discounts charged at
such time for comparable amounts of stock sold at a comparable price per share in a similar market
environment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We also will reimburse Keefe, Bruyette &#038; Woods, Inc. for its reasonable out-of-pocket expenses
associated with its marketing effort up. In addition, we will reimburse Keefe, Bruyette &#038; Woods,
Inc. for fees and expenses of its counsel not to exceed $60,000. If the plan of conversion is
terminated or if Keefe, Bruyette &#038; Woods, Inc.&#146;s engagement is terminated in accordance with the
provisions of the agreement, Keefe, Bruyette &#038; Woods, Inc. will only receive reimbursement of its
reasonable out-of-pocket expenses and the portion of the management fee payable and will return any
amounts paid or advanced by us in excess of these amounts. We will indemnify Keefe, Bruyette &#038;
Woods, Inc. against liabilities and expenses (including legal fees) related to or arising out of
Keefe, Bruyette &#038; Woods, Inc.&#146;s engagement as our financial advisor and performance of services as
our financial advisor.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have also engaged Keefe, Bruyette &#038; Woods, Inc. to act as our conversion agent in
connection with the stock offering. In its role as conversion agent, Keefe, Bruyette &#038; Woods, Inc.
will, among other things:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>consolidate accounts and develop a central file;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>prepare proxy forms and proxy materials;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>tabulate proxies and ballots;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>act as inspector of election at the special meeting of members;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist us in establishing and managing the Stock Information Center;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist our financial printer with labeling of stock offering materials;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>process stock order forms and certification forms and produce daily reports and
analysis;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>assist our transfer agent with the generation and mailing of stock certificates;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>advise us on interest and refund calculations; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>create tax forms for interest reporting.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->153<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For these services, Keefe, Bruyette &#038; Woods, Inc. will receive a fee of $100,000, and we have
made an advance payment of $25,000 to Keefe, Bruyette &#038; Woods, Inc. with respect to this fee. We
also will reimburse Keefe, Bruyette &#038; Woods, Inc. for its reasonable out-of-pocket expenses
associated with its acting as conversion agent. If the plan of conversion is terminated or if
Keefe, Bruyette &#038; Woods, Inc.&#146;s engagement is terminated in accordance with the provisions of the
agreement, Keefe, Bruyette &#038; Woods, Inc. will be entitled to the advance payment and also receive
reimbursement of its reasonable out-of-pocket expenses. We will indemnify Keefe, Bruyette &#038; Woods,
Inc. against liabilities and expenses (including legal fees) related to or arising out of Keefe,
Bruyette &#038; Woods, Inc.&#146;s engagement as our conversion agent and performance of services as our
conversion agent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our directors and executive officers may participate in the solicitation of offers to purchase
common stock. These persons will be reimbursed for their reasonable out-of-pocket expenses incurred
in connection with the solicitation. Other trained employees of OmniAmerican Bank or its affiliates
may assist in the offering in ministerial capacities, providing clerical work in effecting a sales
transaction or answering questions of a ministerial nature. No offers or sales may be made by
tellers or at the teller counters. All sales activity will be conducted in a segregated or
separately identifiable area of our main office facility apart from the area accessible to the
general public. Other questions of prospective purchasers will be directed to executive officers
or registered representatives of Keefe, Bruyette &#038; Woods, Inc. Our other employees have been
instructed not to solicit offers to purchase shares of common stock or provide advice regarding the
purchase of common stock. We will rely on Rule&nbsp;3a4-1 under the Securities Exchange Act of 1934, as
amended, and sales of common stock will be conducted within the requirements of Rule&nbsp;3a4-1, so as
to permit officers, directors and employees to participate in the sale of common stock. None of our
officers, directors or employees will be compensated in connection with their participation in the
offering by the payment of commissions or other remuneration based either directly or indirectly on
the transactions in the shares of common stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The offering will comply with the requirements of Rule&nbsp;10b-9 under the Securities Exchange Act
of 1934.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Procedure for Purchasing Shares</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Expiration Date</I></B><I>. </I>The offering will expire at 12:00 noon, local time, on &#091;expiration date&#093;,
unless we extend it for up to 45&nbsp;days. This extension may be approved by us, in our sole
discretion, without further approval or additional notice to purchasers in the offering. Any
extension of the subscription and/or community offering beyond &#091;extension date&#093; would require the
Office of Thrift Supervision&#146;s approval. If an extension beyond &#091;extension date&#093; is granted by the
Office of Thrift Supervision, we will resolicit subscribers/persons who place orders, giving them
an opportunity to change or cancel their orders. We will notify these persons of the extension of
time and of the rights to place a new stock order for a specified period of time. If a person does
not respond, we will cancel his or her stock order and return his or her subscription funds, with
interest, and cancel any authorization to withdraw funds from deposit accounts for the purchase of
shares of common stock. If we have not received orders to purchase the minimum number of shares
offered in the offering by the expiration date or any extension thereof, we may terminate the
offering and promptly refund all funds received for shares of common stock. If the number of
shares offered is reduced below the minimum of the offering range, or increased above the adjusted
maximum of the offering range, subscribers may be resolicited with the approval of the Office of
Thrift Supervision.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To ensure that each purchaser receives a prospectus at least 48 hours before &#091;expiration
date&#093;, the expiration date of the offering, in accordance with Rule&nbsp;15c2-8 of the Securities
Exchange Act of 1934, as amended, no prospectus will be mailed any later than five days prior to
the expiration date or hand
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->154<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">delivered any later than two days prior to the expiration date. Execution of an order form
will confirm receipt of delivery in accordance with Rule&nbsp;15c2-8. Order forms will be distributed
only with a prospectus. Subscription funds will be maintained in a segregated account at
OmniAmerican Bank or at another insured depository institution and will earn interest at our
current passbook savings rate from the date of receipt.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We reserve the right in our sole discretion to terminate the offering at any time and for any
reason, in which case we will cancel any deposit account withdrawal orders and promptly return all
funds delivered to us, with interest at our current passbook savings rate from the date of receipt.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have the right to reject any order submitted in the offering by a person who we believe is
making false representations or who we otherwise believe, either alone or acting in concert with
others, is violating, evading, circumventing, or intends to violate, evade or circumvent the terms
and conditions of the plan of conversion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Use of Order Forms</I></B><I>. </I>In order to purchase shares of common stock in the subscription offering
and community offering, you must complete an order form and remit full payment. We will not be
required to accept incomplete order forms, unsigned order forms, orders submitted on photocopied or
facsimiled order forms. We must receive all order forms prior to 12:00 noon, local time, on
&#091;expiration date&#093;. We are not required to accept order forms that are not received by that time,
are executed defectively or are received without full payment or without appropriate withdrawal
instructions. A postmark prior to &#091;expiration date&#093; will not entitle you to purchase shares of
common stock unless we receive the envelope by &#091;expiration date&#093;. We are not required to notify
subscribers of incomplete or improperly executed order forms. We have the right to permit the
correction of incomplete or improperly executed order forms or waive immaterial irregularities. We
do not represent, however, that we will do so and we have no affirmative duty to notify any
prospective subscriber of any such defects. You may submit your order form and payment by mail
using the return envelope provided, by bringing your order form to our Stock Information Center or
to any branch office or by overnight delivery to the indicated address on the order form. Once
tendered, an order form cannot be modified or revoked without our consent. We reserve the absolute
right, in our sole discretion, to reject orders received in the community offering, in whole or in
part, at the time of receipt or at any time prior to completion of the offering. If you are
ordering shares, you must represent that you are purchasing shares for your own account and that
you have no agreement or understanding with any person for the sale or transfer of the shares. Our
interpretation of the terms and conditions of the plan of conversion and of the acceptability of
the order forms will be final, subject to the authority of the Office of Thrift Supervision.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By signing the order form, you will be acknowledging that the common stock is not a deposit or
savings account and is not federally insured or otherwise guaranteed by OmniAmerican Bank or the
federal government, and that you received a copy of this prospectus. However, signing the order
form will not result in you waiving your rights under the Securities Act of 1933 or the Securities
Exchange Act of 1934.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Payment for Shares</I></B><I>. </I>Payment for all shares of common stock will be required to accompany all
completed order forms for the purchase to be valid. Payment for shares may be made by:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>personal check, bank check or money order, payable to OmniAmerican Bank; or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>authorization of withdrawal from OmniAmerican Bank deposit accounts designated
on the order form.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->155<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Appropriate means for designating withdrawals from deposit accounts at OmniAmerican Bank are
provided in the order forms. The funds designated must be available in the account(s) at the time
the order form is received. A hold will be placed on these funds, making them unavailable to the
depositor. Funds authorized for withdrawal will continue to earn interest within the account at the
contract rate until the offering is completed, at which time the designated withdrawal will be
made. Interest penalties for early withdrawal applicable to certificate accounts will not apply to
withdrawals authorized for the purchase of shares of common stock; however, if a withdrawal results
in a certificate account with a balance less than the applicable minimum balance requirement, the
certificate will be canceled at the time of withdrawal without penalty and the remaining balance
will be transferred to a savings account and earn interest at our current passbook savings rate
subsequent to the withdrawal. In the case of payments made by check or money order, these funds
must be available in the account(s) and will be immediately cashed and placed in a segregated
account at OmniAmerican Bank and/or another insured depository institution and will earn interest
at our current passbook savings rate from the date payment is received until the offering is
completed or terminated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may not use a check drawn on an OmniAmerican Bank line of credit, and we will not accept
third-party checks (a check written by someone other than you) payable to you and endorsed over to
OmniAmerican Bank. If you request that we place a hold on your checking account for the
subscription amount, we reserve the right to interpret that as your authorization to treat those
funds as if we had received a check for the designated amount, and we will immediately withdraw the
amount from your checking account. Once we receive your executed order form, it may not be
modified, amended or rescinded without our consent, unless the offering is not completed by the
expiration date, in which event purchasers may be given the opportunity to increase, decrease or
rescind their orders for a specified period of time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you are interested in using your individual retirement account funds to purchase shares of
common stock, you must do so through a self-directed individual retirement account such as a
brokerage firm individual retirement account. By regulation, OmniAmerican Bank&#146;s individual
retirement accounts are not self-directed, so they cannot be invested in shares of our common
stock. Therefore, if you wish to use your funds that are currently in an OmniAmerican Bank
individual retirement account, you may not designate on the order form that you wish funds to be
withdrawn from the account for the purchase of common stock. The funds you wish to use for the
purchase of common stock will have to be transferred to a brokerage account. It may take several
weeks to transfer your OmniAmerican Bank individual retirement account to an independent trustee,
so please allow yourself sufficient time to take this action. There will be no early withdrawal or
Internal Revenue Service interest penalties for these transfers. Depositors interested in using
funds in an individual retirement account or any other retirement account to purchase shares of
common stock should contact our Stock Information Center as soon as possible, preferably at least
two weeks prior to the end of the offering period, because processing such transactions takes
additional time, and whether such funds can be used may depend on limitations imposed by the
institutions where such funds are currently held. We cannot guarantee that you will be able to use
such funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will have the right, in our sole discretion, to permit institutional investors to submit
irrevocable orders together with the legally binding commitment for payment and to thereafter pay
for the shares of common stock for which they subscribe in the syndicated community offering at any
time prior to the completion of the offering. This payment may be made by wire transfer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our employee stock ownership plan will not be required to pay for any shares purchased in the
offering until consummation of the offering, provided there is a loan commitment from an unrelated
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->156<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">financial institution or OmniAmerican Bancorp, Inc. to lend to the employee stock ownership
plan the necessary amount to fund the purchase.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Regulations prohibit OmniAmerican Bank from knowingly lending funds or extending credit to any
persons to purchase shares of common stock in the offering.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Delivery of Stock Certificates</I></B><I>. </I>Certificates representing shares of common stock issued in the
offering and OmniAmerican Bank checks representing any applicable refund and/or interest paid on
subscriptions made by check or money order will be mailed to the persons entitled thereto at the
certificate registration address noted on the order form, as soon as practicable following
consummation of the offering and receipt of all necessary regulatory approvals. Any certificates
returned as undeliverable will be held by the transfer agent until claimed by persons legally
entitled thereto or otherwise disposed of in accordance with applicable law. <B>Until certificates for
the shares of common stock are available and delivered to purchasers, purchasers may not be able to
sell the shares of common stock that they ordered, even though the common stock will have begun
trading.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Other Restrictions</I></B><I>. </I>Notwithstanding any other provision of the plan of conversion, no person
is entitled to purchase any shares of common stock to the extent the purchase would be illegal
under any federal or state law or regulation, including state &#147;blue sky&#148; regulations, or would
violate regulations or policies of the Financial Industry Regulatory Authority, particularly those
regarding free riding and withholding. We may ask for an acceptable legal opinion from any
purchaser as to the legality of his or her purchase and we may refuse to honor any purchase order
if an opinion is not timely furnished. In addition, we are not required to offer shares of common
stock to any person who resides in a foreign country.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Restrictions on Transfer of Subscription Rights and Shares</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Office of Thrift Supervision regulations prohibit any person with subscription rights,
including the Eligible Account Holders, Supplemental Eligible Account Holders and Other Members,
from transferring or entering into any agreement or understanding to transfer the legal or
beneficial ownership of the subscription rights issued under the plan of conversion or the shares
of common stock to be issued upon their exercise. These rights may be exercised only by the person
to whom they are granted and only for his or her account. Each person exercising subscription
rights will be required to certify that he or she is purchasing shares solely for his or her own
account and that he or she has no agreement or understanding regarding the sale or transfer of such
shares. The regulations also prohibit any person from offering or making an announcement of an
offer or intent to make an offer to purchase subscription rights or shares of common stock to be
issued upon their exercise prior to completion of the offering.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>We intend to pursue any and all legal and equitable remedies in the event we become aware of
the transfer of subscription rights, and we will not honor orders that we believe involve the
transfer of subscription rights.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Stock Information Center</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you have any questions regarding the offering, please call our Stock Information Center at
&#091;stock info #&#093;, or visit the Stock Information Center located at 1320 South University Drive, Suite
900, Fort Worth, Texas, Monday through Friday between 9:00 a.m. and 4:00 p.m., local time. The
Stock Information Center will be closed weekends and bank holidays.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->157<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Liquidation Rights</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the unlikely event of a complete liquidation of OmniAmerican Bank prior to the conversion,
all claims of creditors of OmniAmerican Bank, including those of depositors of OmniAmerican Bank
(to the extent of their deposit balances), would be paid first. Then, if there were any assets of
OmniAmerican Bank remaining, members of OmniAmerican Bank would receive those remaining assets, pro
rata, based upon the deposit balances in their deposit account in OmniAmerican Bank immediately
prior to liquidation. In the unlikely event that OmniAmerican Bank were to liquidate after the
conversion, all claims of creditors, including those of depositors, would be paid first, followed
by distribution of the &#147;liquidation account&#148; to certain depositors, with any assets remaining
thereafter distributed to OmniAmerican Bancorp, Inc. as the holder of OmniAmerican Bank capital
stock. Pursuant to the rules and regulations of the Office of Thrift Supervision, a post-conversion
merger, consolidation, sale of bulk assets or similar combination or transaction with another
insured savings institution would not be considered a liquidation and, in these types of
transactions, the liquidation account would be assumed by the surviving institution.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan of conversion provides for the establishment, upon the completion of the conversion,
of a special &#147;liquidation account&#148; for the benefit of Eligible Account Holders and Supplemental
Eligible Account Holders in an amount equal to the total equity of OmniAmerican Bank as of the date
of its latest balance sheet contained in this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The purpose of the liquidation account is to provide Eligible Account Holders and Supplemental
Eligible Account Holders who maintain their deposit accounts with OmniAmerican Bank after the
conversion with a liquidation interest in the unlikely event of the complete liquidation of
OmniAmerican Bank after the conversion. Each Eligible Account Holder and Supplemental Eligible
Account Holder that continues to maintain his or her deposit account at OmniAmerican Bank, would be
entitled, on a complete liquidation of OmniAmerican Bank after the conversion, to an interest in
the liquidation account prior to any payment to the stockholders of OmniAmerican Bancorp, Inc.
Each Eligible Account Holder and Supplemental Eligible Account Holder would have an initial
interest in the liquidation account for each deposit account, including savings accounts,
transaction accounts such as negotiable order of withdrawal accounts, money market deposit
accounts, and certificates of deposit, with a balance of $50 or more held in OmniAmerican Bank on
March&nbsp;31, 2008 and &#091;supplemental date&#093;, respectively. Each Eligible Account Holder and
Supplemental Eligible Account Holder would have a pro rata interest in the total liquidation
account for each such deposit account, based on the proportion that the balance of each such
deposit account on March&nbsp;31, 2008 and &#091;supplemental date&#093;, respectively, bears to the balance of
all deposit accounts in OmniAmerican Bank on such dates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If, however, on any December&nbsp;31 annual closing date commencing on or after the effective date
of the conversion, the amount in any such deposit account is less than the amount in the deposit
account on March&nbsp;31, 2008 and &#091;supplemental date&#093;, as applicable, or any other annual closing date,
then the interest in the liquidation account relating to such deposit account would be reduced from
time to time by the proportion of any such reduction, and such interest will cease to exist if such
deposit account is closed. In addition, no interest in the liquidation account would ever be
increased despite any subsequent increase in the related deposit account. Payment pursuant to
liquidation rights of Eligible Account Holders and Supplemental Eligible Account Holders would be
separate and apart from the payment of any insured deposit accounts to such depositor. Any assets
remaining after the above liquidation rights of Eligible Account Holders and Supplemental Eligible
Account Holders are satisfied would be distributed to OmniAmerican Bancorp, Inc., as the sole
stockholder of OmniAmerican Bank.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->158<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Material Income Tax Consequences</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Consummation of the conversion is subject to the prior receipt of an opinion of counsel or tax
advisor with respect to federal and state income taxation that the conversion will not be a taxable
transaction to OmniAmerican Bank, OmniAmerican Bancorp, Inc., Eligible Account Holders,
Supplemental Eligible Account Holders and Other Members. Unlike private letter rulings, opinions
of counsel or tax advisors are not binding on the Internal Revenue Service or any state taxing
authority, and such authorities may disagree with such opinions. In the event of such disagreement,
there can be no assurance that OmniAmerican Bank or OmniAmerican Bancorp, Inc. would prevail in a
judicial proceeding.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank and OmniAmerican Bancorp, Inc. have received an opinion of counsel, Luse
Gorman Pomerenk &#038; Schick, P.C., regarding all of the material federal income tax consequences of
the conversion, which includes the following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The conversion of OmniAmerican Bank to a federally chartered stock savings bank
will qualify as a tax-free reorganization within the meaning of Section&nbsp;368(a)(1)(F) of
the Internal Revenue Code.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>OmniAmerican Bank will not recognize any gain or loss upon the receipt of money
from OmniAmerican Bancorp, Inc. in exchange for shares of common stock of OmniAmerican
Bank.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">3.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The basis and holding period of the assets received by OmniAmerican Bank, in
stock form, from OmniAmerican Bank, in mutual form, will be the same as the basis and
holding period in such assets immediately before the conversion.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">4.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No gain or loss will be recognized by account holders of OmniAmerican Bank,
including Eligible Account Holders, Supplemental Eligible Account Holders and Other
Members, upon the issuance to them of withdrawable deposit accounts in the OmniAmerican
Bank, in stock form, in the same dollar amount and under the same terms as held at
OmniAmerican Bank, in mutual form. In addition, Eligible Account Holders, Supplemental
Eligible Account Holders and Other Members will not recognize gain or loss upon receipt
of an interest in a liquidation account in OmniAmerican Bank in exchange for their
deemed ownership interests in OmniAmerican Bank.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">5.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The basis of the account holders deposit accounts in OmniAmerican Bank, in
stock form, will be the same as the basis of their deposit accounts in OmniAmerican
Bank, in mutual form. The basis of the Eligible Account Holders, Supplemental Eligible
Account Holders and Other Members interests in the liquidation account will be zero,
which is the cost of such interest to such persons.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">6.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>It is more likely than not that the nontransferable subscription rights have no
value, based on the fact that these rights are acquired by the recipients without cost,
are nontransferable and of short duration, and afford the recipients the right only to
purchase the common stock at a price equal to its estimated fair market value, which
will be the same price as the subscription price for the shares of common stock in the
offering. Accordingly, no gain or loss will be recognized by Eligible Account Holders,
Supplemental Eligible Account Holders or Other Members upon distribution to them of
nontransferable subscription rights to purchase shares of OmniAmerican Bancorp, Inc.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->159<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>common stock, provided that the amount to be paid for OmniAmerican Bancorp, Inc.
common stock is equal to the fair market value of OmniAmerican Bancorp, Inc. common
stock.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">7.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The basis of the shares of OmniAmerican Bancorp, Inc. common stock purchased in
the offering will be the purchase price. The holding period of the OmniAmerican
Bancorp, Inc. common stock purchased pursuant to the exercise of nontransferable
subscription rights will commence on the date on which the right to acquire such stock
was exercised.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">8.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No gain or loss will be recognized by OmniAmerican Bancorp, Inc. on the receipt
of money in exchange for shares of OmniAmerican Bancorp, Inc. common stock sold in the
offering.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the view of RP Financial, LC. (which is acting as independent appraiser of the value of the
shares of OmniAmerican Bancorp, Inc. common stock in connection with the conversion), the
subscription rights do not have any value for the reasons set forth above. RP Financial, LC.&#146;s
view is not binding on the Internal Revenue Service. If the subscription rights granted to
Eligible Account Holders, Supplemental Eligible Account Holders and Other Members are deemed to
have an ascertainable value, receipt of these rights could result in taxable gain to those Eligible
Account Holders, Supplemental Eligible Account Holders and Other Members who exercise the
subscription rights in an amount equal to their value, and OmniAmerican Bancorp, Inc. could
recognize gain on a distribution. Eligible Account Holders, Supplemental Eligible Account Holders
and Other Members are encouraged to consult with their own tax advisors as to the tax consequences
in the event that subscription rights are deemed to have an ascertainable value.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Internal Revenue Service has announced that it will not issue private letter rulings with
respect to the issue of whether nontransferable rights have value. Unlike private letter rulings,
an opinion of counsel or the view of an independent appraiser is not binding on the Internal
Revenue Service and the Internal Revenue Service could disagree with the conclusions reached
therein. Depending on the conclusion or conclusions with which the Internal Revenue Service
disagrees, the Internal Revenue Service may take the position that the transaction is taxable to
any one or more of OmniAmerican Bank, the members of OmniAmerican Bank, OmniAmerican Bancorp, Inc.
and the Eligible Account Holders, Supplemental Eligible Account Holders and Other Members who
exercise their subscription rights. In the event of a disagreement, there can be no assurance that
OmniAmerican Bancorp, Inc. or OmniAmerican Bank would prevail in a judicial or administrative
proceeding.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The federal tax opinion has been filed with the Securities and Exchange Commission as an
exhibit to OmniAmerican Bancorp, Inc.&#146;s registration statement. Advice regarding the Texas state
income tax consequences consistent with the federal tax opinion has been issued by McGladrey &#038;
Pullen, LLP, tax advisors to OmniAmerican Bank and OmniAmerican Bancorp, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Restrictions on Purchase or Transfer of Our Shares after Conversion</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The shares being acquired by the directors, executive officers and their associates are being
acquired for investment purposes, and not with a view towards resale. All shares of common stock
purchased in the offering by a director or an executive officer of OmniAmerican Bank generally may
not be sold for a period of one year following the closing of the conversion, except in the event
of the death of the director or executive officer. Each certificate for restricted shares will bear
a legend giving notice of this restriction on transfer, and instructions will be issued to the
effect that any transfer within this time period of any certificate or record ownership of the
shares other than as provided above is a violation of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->160<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the restriction. Any shares of common stock issued at a later date as a stock dividend, stock
split or otherwise with respect to the restricted stock will be similarly restricted. The directors
and executive officers of OmniAmerican Bancorp, Inc. also will be restricted by the insider trading
rules promulgated pursuant to the Securities Exchange Act of 1934.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchases of shares of our common stock by any of our directors, executive officers and their
associates, during the three-year period following the closing of the conversion may be made only
through a broker or dealer registered with the Securities and Exchange Commission, except with the
prior written approval of the Office of Thrift Supervision. This restriction does not apply,
however, to negotiated transactions involving more than 1% of our outstanding common stock, to
purchases of our common stock to fund stock options by one or more stock-based benefit plans or to
any of our tax-qualified employee stock benefit plans or nontax-qualified employee stock benefit
plans, including any stock-based benefit plans.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office of Thrift Supervision regulations prohibit OmniAmerican Bancorp, Inc. from repurchasing
its shares of common stock during the first year following conversion unless compelling business
reasons exist for such repurchases. After one year, the Office of Thrift Supervision does not
impose any repurchase restrictions.
</DIV>
<DIV align="left">
<A name="149"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RESTRICTIONS ON ACQUISITION OF OMNIAMERICAN BANCORP, INC.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although the board of directors of OmniAmerican Bancorp, Inc. is not aware of any effort that
might be made to obtain control of OmniAmerican Bancorp, Inc. after the conversion, the board of
directors believes that it is appropriate to include certain provisions as part of OmniAmerican
Bancorp, Inc.&#146;s articles of incorporation to protect the interests of OmniAmerican Bancorp, Inc.
and its stockholders from takeovers which our board of directors might conclude are not in the best
interests of OmniAmerican Bank, OmniAmerican Bancorp, Inc. or OmniAmerican Bancorp, Inc.&#146;s
stockholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bancorp, Inc.&#146;s Articles of Incorporation and Bylaws</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following discussion is a general summary of the material provisions of OmniAmerican
Bancorp, Inc.&#146;s articles of incorporation and bylaws, OmniAmerican Bank&#146;s charter and bylaws,
Maryland corporate law and certain other regulatory provisions that may be deemed to have an
&#147;anti-takeover&#148; effect. The following description of certain of these provisions is necessarily
general and, with respect to provisions contained in OmniAmerican Bancorp, Inc.&#146;s articles of
incorporation and bylaws and OmniAmerican Bank&#146;s stock charter and bylaws, reference should be made
in each case to the document in question, each of which is part of OmniAmerican Bank&#146;s application
for conversion with the Office of Thrift Supervision and OmniAmerican Bancorp, Inc.&#146;s registration
statement filed with the Securities and Exchange Commission. See &#147;Where You Can Find Additional
Information.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bancorp, Inc.&#146;s Articles of Incorporation and Bylaws</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc.&#146;s articles of incorporation and bylaws contain a number of
provisions relating to corporate governance and rights of stockholders that might discourage future
takeover attempts. As a result, stockholders who might desire to participate in such transactions
may not have an opportunity to do so. In addition, these provisions will also render the removal of
the board of directors or management of OmniAmerican Bancorp, Inc. more difficult.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Directors</I></B><I>. </I>The board of directors will be divided into three classes. The members of each
class will be elected for a term of three years and only one class of directors will be elected
annually. Thus, it
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->161<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">would take at least two annual elections to replace a majority of our directors. The bylaws
establish qualifications for board members, including restrictions on affiliations with competitors
of OmniAmerican Bank and prior legal or regulatory violations. Further, the bylaws impose notice
and information requirements in connection with the nomination by stockholders of candidates for
election to the board of directors or the proposal by stockholders of business to be acted upon at
an annual meeting of stockholders. Such notice and information requirements are applicable to all
stockholder business proposals and nominations, and are in addition to any requirements under the
federal securities laws.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Evaluation of Offers. </I></B>The articles of incorporation of OmniAmerican Bancorp, Inc. provide
that its board of directors, when evaluating a transaction that would or may involve a change in
control of OmniAmerican Bancorp, Inc. (whether by purchases of its securities, merger,
consolidation, share exchange, dissolution, liquidation, sale of all or substantially all of its
assets, proxy solicitation or otherwise), may, in connection with the exercise of its business
judgment in determining what is in the best interests of OmniAmerican Bancorp, Inc. and its
stockholders and in making any recommendation to the stockholders, give due consideration to all
relevant factors, including, but not limited to:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the economic effect, both immediate and long-term, upon OmniAmerican Bancorp, Inc.&#146;s
stockholders, including stockholders, if any, who do not participate in the
transaction;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the social and economic effect on the present and future employees, creditors and
customers of, and others dealing with, OmniAmerican Bancorp, Inc. and its subsidiaries
and on the communities in which OmniAmerican Bancorp, Inc. and its subsidiaries operate
or are located;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>whether the proposal is acceptable based on the historical, current or projected
future operating results or financial condition of OmniAmerican Bancorp, Inc.;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>whether a more favorable price could be obtained for OmniAmerican Bancorp, Inc.&#146;s
stock or other securities in the future;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the reputation and business practices of the other entity to be involved in the
transaction and its management and affiliates as they would affect the employees of
OmniAmerican Bancorp, Inc. and its subsidiaries;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the future value of the stock or any other securities of OmniAmerican Bancorp, Inc.
or the other entity to be involved in the proposed transaction;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>any antitrust or other legal and regulatory issues that are raised by the proposal;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the business and historical, current or expected future financial condition or
operating results of the other entity to be involved in the transaction, including, but
not limited to, debt service and other existing financial obligations, financial
obligations to be incurred in connection with the proposed transaction, and other
likely financial obligations of the other entity to be involved in the proposed
transaction; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the ability of OmniAmerican Bancorp, Inc. to fulfill its objectives as a financial
institution holding company and on the ability of its subsidiary financial
institution(s) to fulfill the objectives of a federally insured financial institution
under applicable statutes and regulations.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->162<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the board of directors determines that any proposed transaction should be rejected, it may
take any lawful action to defeat such transaction.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Restrictions on Call of Special Meetings</I></B><I>. </I>The bylaws provide that special meetings of
stockholders can be called by only the President, a majority of the total number of directors that
OmniAmerican Bancorp, Inc. would have if there were no vacancies on the board of directors (the
&#147;whole board&#148;), or the Secretary upon the written request of stockholders entitled to cast at least
a majority of all votes entitled to vote at the meeting.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Prohibition of Cumulative Voting</I></B><I>. </I>The articles of incorporation prohibit cumulative voting
for the election of directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Limitation of Voting Rights</I></B><I>. </I>The articles of incorporation provide that in no event will any
person who beneficially owns more than 10% of the then-outstanding shares of common stock, be
entitled or permitted to vote any of the shares of common stock held in excess of the 10% limit;
provided that such 10% limit shall not apply if a majority of the unaffiliated directors approve
the acquisition of shares in excess of the 10% limit prior to such acquisition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Restrictions on Removing Directors from Office</I></B><I>. </I>The articles of incorporation provide that
directors may be removed only for cause, and only by the affirmative vote of the holders of at
least 80% of the voting power of all of our then-outstanding capital stock entitled to vote
generally in the election of directors (after giving effect to the limitation on voting rights
discussed above in &#147;&#151;Limitation of Voting Rights&#148;), voting together as a single class.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Authorized but Unissued Shares</I></B>. After the conversion, OmniAmerican Bancorp, Inc. will have
authorized but unissued shares of common and preferred stock. See &#147;Description of Capital Stock.&#148;
The articles of incorporation authorize 50,000,000 shares of serial preferred stock. OmniAmerican
Bancorp, Inc. is authorized to issue preferred stock from time to time in one or more series
subject to applicable provisions of law, and the board of directors is authorized to fix the
preferences, conversion and other rights, voting powers, restrictions, limitations as to dividends,
qualifications and terms and conditions of redemption of such shares. In addition, the articles of
incorporation provide that a majority of the whole board may, without action by the stockholders,
amend the articles of incorporation to increase or decrease the aggregate number of shares of stock
of any class or series that OmniAmerican Bancorp, Inc. has the authority to issue. In the event of
a proposed merger, tender offer or other attempt to gain control of OmniAmerican Bancorp, Inc. that
the board of directors does not approve, it would be possible for the board of directors to
authorize the issuance of a series of preferred stock with rights and preferences that would impede
the completion of the transaction. An effect of the possible issuance of preferred stock therefore
may be to deter a future attempt to gain control of OmniAmerican Bancorp, Inc. The board of
directors has no present plan or understanding to issue any preferred stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Amendments to Articles of Incorporation and Bylaws. </I></B>Except as provided under &#147;&#151; Authorized
but Unissued Shares,&#148; above, regarding the amendment of the articles of incorporation by the board
of directors to increase or decrease the number of shares authorized for issuance, or as otherwise
allowed by law, any amendment to the articles of incorporation must be approved by our board of
directors and also by a majority of the outstanding shares of our voting stock; provided, however,
that approval by at least 80% of the outstanding voting stock is generally required to amend the
following provisions:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(i)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The limitation on voting rights of persons who directly or indirectly
beneficially own more than 10% of the outstanding shares of common stock;</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->163<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The division of the board of directors into three staggered classes;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The ability of the board of directors to fill vacancies on the board;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(iv)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The requirement that at least 80% of stockholders must vote to remove
directors, and can only remove directors for cause;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(v)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The ability of the board of directors to amend and repeal the bylaws;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(vi)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The ability of the board of directors to evaluate a variety of factors in
evaluating offers to purchase or otherwise acquire OmniAmerican Bancorp, Inc.;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(vii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The authority of the board of directors to provide for the issuance of
preferred stock;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(viii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The validity and effectiveness of any action lawfully authorized by the affirmative
vote of the holders of a majority of the total number of outstanding shares of common
stock;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(ix)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The number of stockholders constituting a quorum or required for stockholder
consent;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(x)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The indemnification of current and former directors and officers, as well as
employees and other agents, by OmniAmerican Bancorp, Inc.; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(xi)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The limitation of liability of officers and directors to OmniAmerican Bancorp,
Inc. for money damages.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(xii)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The provision of the articles of incorporation requiring approval of at least
80% of the outstanding voting stock to amend the provisions of the articles of
incorporation provided in (i)&nbsp;through (xi)&nbsp;of this list.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The articles of incorporation also provide that the bylaws may be amended by the affirmative
vote of a majority of our directors or by the stockholders by the affirmative vote of at least 80%
of the total votes eligible to be voted at a duly constituted meeting of stockholders. Any
amendment of this supermajority requirement for amendment of the bylaws would also require the
approval of 80% of the outstanding voting stock.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Maryland Corporate Law</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under Maryland law, &#147;business combinations&#148; between a Maryland corporation and an interested
stockholder or an affiliate of an interested stockholder are prohibited for five years after the
most recent date on which the interested stockholder becomes an interested stockholder. These
business combinations include a merger, consolidation, statutory share exchange or, in
circumstances specified in the statute, certain transfers of assets, certain stock issuances and
transfers, liquidation plans and reclassifications involving interested stockholders and their
affiliates or issuance or reclassification of equity securities. Maryland law defines an interested
stockholder as: (i)&nbsp;any person who beneficially owns 10% or more of the voting power of a
corporation&#146;s voting stock after the date on which the corporation had 100 or more beneficial
owners of its stock; or (ii)&nbsp;an affiliate or associate of the corporation at any time after the
date on which the corporation had 100 or more beneficial owners of its stock who, within the
two-year period prior to the date in question, was the beneficial owner of 10% or more of the
voting power of the then-outstanding voting stock of the corporation. A person is not an interested
stockholder under the statute if the board of directors approved in advance the transaction by
which the person otherwise would have become an interested stockholder. However, in approving a
transaction, the board of directors may
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->164<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">provide that its approval is subject to compliance, at or after the time of approval, with any
terms and conditions determined by the board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;After the five-year prohibition, any business combination between the Maryland corporation and
an interested stockholder generally must be recommended by the board of directors of the
corporation and approved by the affirmative vote of at least: (i)&nbsp;80% of the votes entitled to be
cast by holders of outstanding shares of voting stock of the corporation and (ii)&nbsp;two-thirds of the
votes entitled to be cast by holders of voting stock of the corporation other than shares held by
the interested stockholder with whom or with whose affiliate the business combination is to be
effected or held by an affiliate or associate of the interested stockholder. These super-majority
vote requirements do not apply if the corporation&#146;s common stockholders receive a minimum price, as
defined under Maryland law, for their shares in the form of cash or other consideration in the same
form as previously paid by the interested stockholder for its shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Conversion Regulations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Office of Thrift Supervision regulations prohibit any person from making an offer, announcing
an intent to make an offer or participating in any other arrangement to purchase stock or acquiring
stock or subscription rights in a converting institution or its holding company from another person
prior to completion of its conversion. Further, without the prior written approval of the Office of
Thrift Supervision, no person may make an offer or announcement of an offer to purchase shares or
actually acquire shares of a converted institution or its holding company for a period of three
years from the date of the completion of the conversion if, upon the completion of such offer,
announcement or acquisition, the person would become the beneficial owner of more than 10% of the
outstanding stock of the institution or its holding company. The Office of Thrift Supervision has
defined &#147;person&#148; to include any individual, group acting in concert, corporation, partnership,
association, joint stock company, trust, unincorporated organization or similar company, a
syndicate or any other group formed for the purpose of acquiring, holding or disposing of
securities of an insured institution. However, offers made exclusively to a bank or its holding
company, or an underwriter or member of a selling group acting on the converting institution&#146;s or
its holding company&#146;s behalf for resale to the general public are excepted. The regulation also
provides civil penalties for willful violation or assistance in any such violation of the
regulation by any person connected with the management of the converting institution or its holding
company or who controls more than 10% of the outstanding shares or voting rights of a converted
institution or its holding company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Change in Control Regulations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under the Change in Bank Control Act, no person may acquire control of an insured federal
savings bank or its parent holding company unless the Office of Thrift Supervision has been given
60&nbsp;days&#146; prior written notice and has not issued a notice disapproving the proposed acquisition. In
addition, Office of Thrift Supervision regulations provide that no company may acquire control of a
savings bank without the prior approval of the Office of Thrift Supervision. Any company that
acquires such control becomes a &#147;savings and loan holding company&#148; subject to registration,
examination and regulation by the Office of Thrift Supervision.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Control, as defined under federal law, means ownership, control of or holding irrevocable
proxies representing more than 25% of any class of voting stock, control in any manner of the
election of a majority of the institution&#146;s directors, or a determination by the Office of Thrift
Supervision that the acquirer has the power to direct, or directly or indirectly to exercise a
controlling influence over, the management or policies of the institution. Acquisition of more than
10% of any class of a savings bank&#146;s voting stock, if the acquirer is also subject to any one of
eight &#147;control factors,&#148; constitutes a rebuttable
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->165<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">determination of control under the regulations. Such control factors include the acquirer
being one of the two largest stockholders. The determination of control may be rebutted by
submission to the Office of Thrift Supervision, prior to the acquisition of stock or the occurrence
of any other circumstances giving rise to such determination, of a statement setting forth facts
and circumstances which would support a finding that no control relationship will exist and
containing certain undertakings. The regulations provide that persons or companies that acquire
beneficial ownership exceeding 10% or more of any class of a savings bank&#146;s stock who do not intend
to participate in or seek to exercise control over a savings bank&#146;s management or policies may
qualify for a safe harbor by filing with the Office of Thrift Supervision a certification form that
states, among other things, that the holder is not in control of such institution, is not subject
to a rebuttable determination of control and will take no action which would result in a
determination or rebuttable determination of control without prior notice to or approval of the
Office of Thrift Supervision, as applicable. There are also rebuttable presumptions in the
regulations concerning whether a group &#147;acting in concert&#148; exists, including presumed action in
concert among members of an &#147;immediate family.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Office of Thrift Supervision may prohibit an acquisition of control if it finds, among
other things, that:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the acquisition would result in a monopoly or substantially lessen competition;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the financial condition of the acquiring person might jeopardize the financial
stability of the institution;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the competence, experience or integrity of the acquiring person indicates that it
would not be in the interest of the depositors or the public to permit the acquisition
of control by such person; or</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%">&nbsp;</TD>
    <TD width="1%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the acquisition would have an adverse effect on the Deposit Insurance Fund.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left">
<A name="150"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>DESCRIPTION OF CAPITAL STOCK</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>General</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At the effective date, OmniAmerican Bancorp, Inc. will be authorized to issue 100,000,000
shares of common stock, par value of $0.01 per share, and 50,000,000 shares of preferred stock, par
value $0.01 per share. OmniAmerican Bancorp, Inc. currently expects to issue in the offering up to
11,902,500 shares of common stock. OmniAmerican Bancorp, Inc. will not issue shares of preferred
stock in the conversion. Each share of OmniAmerican Bancorp, Inc. common stock will have the same
relative rights as, and will be identical in all respects to, each other share of common stock.
Upon payment of the subscription price for the common stock, in accordance with the plan of
conversion, all of the shares of common stock will be duly authorized, fully paid and
nonassessable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The shares of common stock of OmniAmerican Bancorp, Inc. will represent nonwithdrawable
capital, will not be an account of an insurable type, and will not be insured by the Federal
Deposit Insurance Corporation or any other government agency.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Common Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Dividends</I></B><I>. </I>OmniAmerican Bancorp, Inc. can pay dividends on its common stock if, after giving
effect to the distribution, it would be able to pay its indebtedness as the indebtedness comes due
in the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->166<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">usual course of business and its total assets exceed the sum of its liabilities and the amount
needed, if OmniAmerican Bancorp, Inc. were to be dissolved at the time of the distribution, to
satisfy the preferential rights upon dissolution of any holders of capital stock who have a
preference in the event of dissolution. The holders of common stock of OmniAmerican Bancorp, Inc.
will be entitled to receive and share equally in dividends as may be declared by our board of
directors out of funds legally available therefor. If OmniAmerican Bancorp, Inc. issues shares of
preferred stock, the holders thereof may have a priority over the holders of the common stock with
respect to dividends.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Voting Rights</I></B><I>. </I>Upon consummation of the conversion, the holders of common stock of
OmniAmerican Bancorp, Inc. will have exclusive voting rights in OmniAmerican Bancorp, Inc. They
will elect OmniAmerican Bancorp, Inc.&#146;s board of directors and act on other matters as are required
to be presented to them under Maryland law or as are otherwise presented to them by the board of
directors. Generally, each holder of common stock will be entitled to one vote per share and will
not have any right to cumulate votes in the election of directors. Any person who beneficially
owns more than 10% of the then-outstanding shares of OmniAmerican Bancorp, Inc.&#146;s common stock,
however, will not be entitled or permitted to vote any shares of common stock held in excess of the
10% limit. If OmniAmerican Bancorp, Inc. issues shares of preferred stock, holders of the
preferred stock may also possess voting rights. Certain matters require an 80% stockholder vote.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a federal stock savings bank, corporate powers and control of OmniAmerican Bank are vested
in its board of directors, who elect the officers of OmniAmerican Bank and who fill any vacancies
on the board of directors. Voting rights of OmniAmerican Bank are vested exclusively in the owners
of the shares of capital stock of OmniAmerican Bank, which will be OmniAmerican Bancorp, Inc., and
voted at the direction of OmniAmerican Bancorp, Inc.&#146;s board of directors. Consequently, the
holders of the common stock of OmniAmerican Bancorp, Inc. will not have direct control of
OmniAmerican Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Liquidation</I></B><I>. </I>In the event of any liquidation, dissolution or winding up of OmniAmerican Bank,
OmniAmerican Bancorp, Inc., as the holder of 100% of OmniAmerican Bank&#146;s capital stock, would be
entitled to receive all assets of OmniAmerican Bank available for distribution, after payment or
provision for payment of all debts and liabilities of OmniAmerican Bank, including all deposit
accounts and accrued interest thereon, and after distribution of the balance in the liquidation
account to Eligible Account Holders and Supplemental Eligible Account Holders. In the event of
liquidation, dissolution or winding up of OmniAmerican Bancorp, Inc., the holders of its common
stock would be entitled to receive, after payment or provision for payment of all its debts and
liabilities, all of the assets of OmniAmerican Bancorp, Inc. available for distribution. If
preferred stock is issued, the holders thereof may have a priority over the holders of the common
stock in the event of liquidation or dissolution.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B><I>Preemptive Rights</I></B><I>. </I>Holders of the common stock of OmniAmerican Bancorp, Inc. will not be
entitled to preemptive rights with respect to any shares that may be issued, unless such preemptive
rights are approved by the board of directors. The common stock is not subject to redemption.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Preferred Stock</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;None of the shares of OmniAmerican Bancorp, Inc.&#146;s authorized preferred stock will be issued
as part of the offering or the conversion. Preferred stock may be issued with preferences and
designations as our board of directors may from time to time determine. Our board of directors may,
without stockholder approval, issue shares of preferred stock with voting, dividend, liquidation
and conversion rights that could dilute the voting strength of the holders of the common stock and
may assist management in impeding an unfriendly takeover or attempted change in control.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->167<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="151"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TRANSFER AGENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The transfer agent and registrar for OmniAmerican Bancorp, Inc.&#146;s common stock
is<B>&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;&#95;.</B>
</DIV>
<DIV align="left">
<A name="152"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>EXPERTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The financial statements of OmniAmerican Bank as of December&nbsp;31, 2008 and 2007, and for each
of the years in the three-year period ended December&nbsp;31, 2008, have been included herein and in the
registration statement in reliance upon the report of McGladrey &#038; Pullen, LLP, independent
registered public accounting firm, appearing elsewhere herein, and upon the authority of said firm
as experts in accounting and auditing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;RP Financial, LC. has consented to the publication herein of the summary of its report to
OmniAmerican Bancorp, Inc. setting forth its opinion as to the estimated pro forma market value of
the shares of common stock upon completion of the conversion and offering and its letter with
respect to subscription rights.
</DIV>
<DIV align="left">
<A name="153"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>LEGAL AND TAX MATTERS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Luse Gorman Pomerenk &#038; Schick, P.C., Washington, D.C., counsel to OmniAmerican Bancorp, Inc.
and OmniAmerican Bank, will issue to OmniAmerican Bancorp, Inc. its opinions regarding the legality
of the common stock and the federal income tax consequences of the conversion. Luse Gorman
Pomerenk &#038; Schick, P.C. has consented to the references in this prospectus to its opinions.
Certain legal matters will be passed
upon for Keefe, Bruyette and Woods, Inc. by Malizia Spidi &#038; Fisch, P.C., Washington, D.C.
</DIV>
<DIV align="left">
<A name="154"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>WHERE YOU CAN FIND ADDITIONAL INFORMATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bancorp, Inc. has filed with the Securities and Exchange Commission a
registration statement under the Securities Act of 1933 with respect to the shares of common stock
offered hereby. As permitted by the rules and regulations of the Securities and Exchange
Commission, this prospectus does not contain all the information set forth in the registration
statement. Such information, including the appraisal report which is an exhibit to the
registration statement, can be examined without charge at the public reference facilities of the
Securities and Exchange Commission located at 100 F Street, N.E., Washington, D.C. 20549, and
copies of such material can be obtained from the Securities and Exchange Commission at prescribed
rates. The Securities and Exchange Commission telephone number is 1-800-SEC-0330. In addition,
the Securities and Exchange Commission maintains a web site (http://www.sec.gov) that contains
reports, proxy and information statements and other information regarding registrants that file
electronically with the Securities and Exchange Commission, including OmniAmerican Bancorp, Inc.
The statements contained in this prospectus as to the contents of any contract or other document
filed as an exhibit to the registration statement are, of necessity, brief descriptions of the
material terms of, and should be read in conjunction with, such contract or document.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;OmniAmerican Bank has filed with the Office of Thrift Supervision an Application on Form&nbsp;AC
with respect to the conversion. This prospectus omits certain information contained in the
application. The application may be examined at the principal office of the Office of Thrift
Supervision, 1700 G Street, N.W., Washington, D.C. 20552, and at the Western Regional Office of the
Office of Thrift
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->168<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Supervision, located at 225 East John Carpenter Freeway, Suite&nbsp;500, Irving, Texas 75062. Our
plan of conversion is available, upon request, at each of our branch offices.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>In connection with the offering, OmniAmerican Bancorp, Inc. will register its common stock
under </B><B>Section 12(b)</B><B> of the Securities Exchange Act of 1934 and, upon such registration,
OmniAmerican Bancorp, Inc. and the holders of its common stock will become subject to the proxy
solicitation rules, reporting requirements and restrictions on common stock purchases and sales by
directors, officers and greater than 10% stockholders, the annual and periodic reporting and
certain other requirements of the Securities Exchange Act of 1934. Under the plan of conversion,
OmniAmerican Bancorp, Inc. has undertaken that it will not terminate such registration for a period
of at least three years following the offering.</B>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->169<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<A name="155"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>INDEX TO FINANCIAL STATEMENTS OF<BR>
OMNIAMERICAN BANK</B>
</DIV>

<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="92%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#300">Report of Independent Registered Public Accounting Firm </A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-2</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#301">Balance Sheets at June&nbsp;30, 2009 (unaudited)&nbsp;and December&nbsp;31, 2008 and 2007 </A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-3</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#302">Statements of Operations for the six months ended June&nbsp;30, 2009 and 2008 (unaudited)&nbsp;and the years
ended December&nbsp;31, 2008, 2007 and 2006</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-4</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#303">Statements of Changes in Equity Capital for the six months ended June&nbsp;30, 2009 (unaudited)
and the years ended December&nbsp;31, 2008, 2007 and 2006 </A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-5</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#304">Statements of Cash Flows for the six months ended June&nbsp;30, 2009 and 2008 (unaudited)&nbsp;and the years
ended December&nbsp;31, 2008, 2007 and 2006</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-6</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#305">Notes to Financial Statements</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">F-7</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left">
<!-- /TOC -->
</DIV>




<DIV align="center" style="font-size: 10pt; margin-top: 18pt">***
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Separate financial statements for OmniAmerican Bancorp, Inc. have not been included in this
prospectus because OmniAmerican Bancorp, Inc. has not engaged in any significant activities, has no
significant assets, and has no contingent liabilities, revenue or expenses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">All financial statement schedules have been omitted as the required information either is not
applicable or is included in the financial statements or related notes.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->F-1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><IMG src="g20470g2047006.gif" alt="(MCGLADREY &#038; PULLEN LOGO)"></DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</B></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Board of Directors<BR>
OmniAmerican Bank<BR>
Fort Worth, Texas</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">We have audited the accompanying balance sheets of OmniAmerican Bank (&#147;the
Company&#148;) as of December 31,
2008 and 2007, and the related consolidated statements of operations, changes in equity capital, and cash flows for
each of the three years in the period ended December 31, 2008. These consolidated financial statements are the
responsibility of the Company&#146;s management. Our responsibility is to express an opinion on these consolidated
financial statements based on our audits.</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board
(United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis for our opinion.</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position
of OmniAmerican Bank as of December 31, 2008 and 2007, and the results of its operations and its cash flows for
each of the three years in the period ended December 31, 2008 in conformity with U.S. generally accepted
accounting principles.</DIV>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><IMG src="g20470g2047007.gif" alt="(MCGLADREY &#038; PULLEN, LLP)"></DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">Dallas, Texas<BR>
March 23, 2009</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">McGladrey &#38; Pullen, LLP is a member firm of RSM International,<BR>
an affiliation of separate and independent legal entities.</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-2<!-- /Folio -->
</DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="301"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Balance Sheets<BR>
(In thousands)</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>December 31,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000"><B>June 30, 2009</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000"><B>2007</B></TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px"><B>ASSETS </B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and due from financial institutions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">14,181</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">17,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">15,853</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Short-term interest-earning deposits in other
financial institutions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39,015</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,183</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Investments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Securities available for sale (Amortized cost of
$181,214 on June&nbsp;30, 2009, $228,249 on December
31, 2008 and $243,603 on December&nbsp;31, 2007)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">230,304</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">244,585</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,014</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,065</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans held for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">425</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">160</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">253</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans, net of deferred fees and discounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">733,922</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">724,044</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">714,485</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Less allowance for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(8,822</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(8,270</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7,386</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Loans, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">725,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">715,774</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">707,099</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Premises and equipment, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,572</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,176</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,187</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued interest receivable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,502</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,921</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,883</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred tax asset, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,942</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,406</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,720</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,289</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,917</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,193</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Total assets</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,038,306</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,067,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,051,021</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px"><B>LIABILITIES AND EQUITY CAPITAL </B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deposits:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Noninterest-bearing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">69,357</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">67,483</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">69,879</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest-bearing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">690,474</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">672,363</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">660,016</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px"><B>Total deposits</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">739,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">729,895</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">117,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">169,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">66,156</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued expenses and other liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,309</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,175</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,348</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Total liabilities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">948,040</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">978,585</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">962,299</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commitments and contingencies</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Equity capital:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Retained earnings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,256</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accumulated other comprehensive loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(93</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(571</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(534</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Total equity capital</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,722</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Total liabilities and equity capital</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,038,306</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,067,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,051,021</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">See Notes to Financial Statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left">
<A name="302"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Statements of Operations<BR>
(In thousands)</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" colspan="7" style="border-bottom: 0px solid #000000"><B>Six
Months Ended<BR> June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 0px solid #000000"><B>Year Ended December 31,</B></TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2006</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loans, including fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">22,795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">22,140</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">45,111</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">44,016</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">43,125</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Securities &#151; taxable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,780</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,680</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,536</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,899</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,885</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Securities &#151; nontaxable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px"><B>Total interest income</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,651</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,820</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,696</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,915</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,010</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,095</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,805</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,724</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,444</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Borrowed funds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,068</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,916</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,572</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,964</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,077</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px"><B>Total interest expense</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,163</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,677</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,688</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,521</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px"><B>Net interest income</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,488</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,019</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,227</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,489</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Provision for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,825</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,113</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px"><B>Net interest income after provision for loan
losses</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,088</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,224</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,194</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,577</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,376</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Service charges and other fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,366</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,316</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,467</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net gains on sales of securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">121</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net gains on sales of loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">991</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">226</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,175</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">223</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net (losses)&nbsp;gains on sales of fixed assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(5</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(11</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commissions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">431</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">584</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,166</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,020</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,209</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">474</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,080</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,150</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">616</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px"><B>Total noninterest income</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,362</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,257</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,269</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,569</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,325</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest expense:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Salaries and benefits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,501</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,443</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,261</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,977</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,617</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Operations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,094</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,633</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,712</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,379</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,787</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Occupancy</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,879</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,268</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,094</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,135</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Professional and outside services</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,589</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,319</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,281</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,560</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,829</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loan servicing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">193</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">125</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">276</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">305</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Marketing</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">246</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">186</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">443</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">934</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,284</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px"><B>Total noninterest expense</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,502</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,974</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,077</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,433</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,957</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income (loss)&nbsp;before income tax expense (benefit)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">948</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">507</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3,287</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(8,256</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax expense (benefit)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">286</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">742</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,115</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7,332</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px"><B>Net income (loss)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">221</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pro forma income statement data:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less tax benefit &#151; change in tax status</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,541</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px"><B>Pro forma net income (loss)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">221</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(5,465</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">See Notes to Financial Statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="303"></A>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Statements of Changes in Equity Capital<BR>
(In thousands)</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Accumulated</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Other</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Total</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Retained</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Comprehensive</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Equity</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Earnings</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Income (Loss)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Capital</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at January&nbsp;1, 2006</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">92,352</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(4,634</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">87,718</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Comprehensive income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in fair value of securities available for sale, net of
income tax effect of $(1,036)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,623</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,623</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in unrealized loss on pension plan, net of income
tax effect of $286</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(556</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(556</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Total comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,143</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at December&nbsp;31, 2006</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">91,428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,567</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,861</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Comprehensive income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in fair value of securities available for sale, net of
income tax effect of $(1,370)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,659</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,659</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in unrealized loss on pension plan, net of income
tax effect of $322</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(626</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(626</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Total comprehensive loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(139</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at December&nbsp;31, 2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,256</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(534</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,722</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Comprehensive income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in fair value of securities available for sale, net of
reclassification to earnings of $(121) and
income tax effect of $(365)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">708</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in unrealized loss on pension plan, net of income
tax effect of $384</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(745</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(745</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Total comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">607</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(571</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Six months ended June&nbsp;30, 2009 (unaudited)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Comprehensive income:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Change in fair value of securities available for sale, net of
reclassification to earnings of $(1,104) and
income tax effect of $(246)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">478</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">478</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Total comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">937</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Balances at June&nbsp;30, 2009 (unaudited)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left"><B>$</B></TD>
    <TD align="right"><B>90,359</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>$</B></TD>
    <TD align="right"><B>(93</B></TD>
    <TD nowrap><B>)</B></TD>
    <TD>&nbsp;</TD>
    <TD align="left"><B>$</B></TD>
    <TD align="right"><B>90,266</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="11" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">See Notes to Financial Statements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left">
<A name="304"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Statements of Cash Flows<BR>
(In thousands)</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" colspan="7" style="border-bottom: 0px solid #000000"><B>Six
Months Ended<BR> June 30,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 0px solid #000000"><B>Year Ended December 31,</B></TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 0px solid #000000">2006</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from operating activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net income (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">221</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(2,172</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(924</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Adjustments to reconcile net income (loss)&nbsp;to net cash provided
by operating activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Depreciation and amortization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,768</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,445</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,079</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,937</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,636</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Provision for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,825</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,113</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Amortization of net premium on investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">207</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">271</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">448</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net gain on sale of securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,104</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(121</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net gain on sales of loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(991</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(226</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,175</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(223</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(44</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net loss (gain)&nbsp;on disposition of premises and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net loss on write-down of other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">222</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net (gain)&nbsp;loss on sale of other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Federal Home Loan Bank stock dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(13</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(135</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(220</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(320</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(525</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Decrease (increase)&nbsp;in cash surrender value of life insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">824</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(99</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Changes in operating assets and liabilities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Loans held for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(265</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(738</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">666</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(919</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Accrued interest receivable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">419</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">239</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(38</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(517</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(284</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(92</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(917</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(520</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">394</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3,990</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Accrued interest payable and other liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,134</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">588</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">829</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(446</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,108</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Net cash provided by operating activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,927</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,622</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,834</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,317</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,096</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from investing activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Securities available for sale:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Purchases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(18,104</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(38,560</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(73,612</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(123,451</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,303</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Proceeds from sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,809</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Proceeds from maturities, calls and principal repayments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,230</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,016</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47,830</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33,341</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,509</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loans purchased</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(14,914</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(48,669</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(78,044</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(37,720</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(12,973</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Proceeds from sales of loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,616</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,546</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">72,834</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,659</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,265</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Purchases of other investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(10</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,201</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,518</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3,189</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(325</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Redemptions of other investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,751</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">262</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,789</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,158</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,010</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net (increase)&nbsp;decrease in loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(46,500</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,284</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,873</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,945</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Purchases of premises and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,171</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2,090</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,123</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3,444</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3,269</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net decrease in National Credit Union Share Insurance Fund deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,387</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Proceeds from sales of premises and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">213</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Proceeds from sales of other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">171</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">443</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Net cash provided by (used in) investing activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38,706</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(47,560</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2,087</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(75,329</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108,459</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash flows from financing activities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net increase (decrease)&nbsp;in deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,985</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,314</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,951</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(64,257</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">105,095</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net (decrease)&nbsp;increase in Federal Home Loan Bank advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(52,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(124,579</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net (decrease)&nbsp;increase in other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(664</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,808</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7,492</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,988</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(36,628</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:75px; text-indent:-15px"><B>Net cash (used in) provided by financing activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(32,679</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,506</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(11,269</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(56,112</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" nowrap align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net increase (decrease)&nbsp;in cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,954</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(2,432</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,206</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(79,281</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,443</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents, beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98,317</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,874</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">53,196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">16,604</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">98,317</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="19" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Supplemental cash flow information:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Interest paid</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">16,815</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">14,878</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">27,672</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">28,996</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">25,457</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-cash transactions:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Premises transferred to other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">665</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loans transferred to other real estate owned</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">63</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">508</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loans transferred to foreclosed assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,612</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">951</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,682</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,264</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">289</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">See Notes to Financial Statements.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->F-6<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>

<DIV align="left">
<A name="305"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>NOTE 1 &#151; Organization and Nature of Operations</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">OmniAmerican Bank (&#147;OmniAmerican&#148;, the &#147;Company&#148; or the &#147;Bank&#148;) is a federally-chartered mutual
savings bank headquartered in Fort Worth, Texas. The Bank provides a variety of banking and
financial services to individuals and business customers located in a market area which includes
North Central Texas. The Bank&#146;s operations are conducted primarily through its executive office in
Fort Worth, Texas and 16 branches located in the Dallas/Fort Worth Metroplex and Hood County.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">OmniAmerican converted to a federal mutual savings bank on January&nbsp;1, 2006. The Bank previously
operated as a Texas state-chartered credit union organized under the provisions of the Texas Credit
Union Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 2 &#151; Summary of Significant Accounting and Reporting Policies</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Interim Financial Statements</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The financial statements of the Bank at June&nbsp;30, 2009, and for the six months ended June&nbsp;30, 2009
and 2008 have been prepared in conformity with accounting principles generally accepted in the
United States of America for interim financial information and predominant practices followed by
the financial services industry; and are unaudited. However, in management&#146;s opinion, the interim
data as of June&nbsp;30, 2009 and for the six months ended June&nbsp;30, 2009 and 2008 includes all
adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the
results of the interim periods. The results of operations for the interim periods are not
necessarily indicative of the results of operations to be expected for the full year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Principles of Consolidation </U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The financial statements include the accounts of OmniAmerican Bank and, for the years ended
December&nbsp;31, 2007 and 2006, its wholly-owned subsidiary, OmniAmerican Inc. OmniAmerican Inc.
became inactive in 2008. All significant intercompany balances and transactions have been
eliminated in consolidation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Use of Estimates</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The preparation of financial statements in conformity with accounting principles generally accepted
in the United States of America requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during
the reporting periods. Actual results could differ materially from those estimates. The allowance
for loan losses, realization of deferred tax assets and fair values of financial instruments are particularly
subject to change.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Cash and Cash Equivalents</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Cash and cash equivalents consist of cash on hand, amounts due from banks and investments with
maturities of three months or less at date of purchase. Net cash flows are reported for loan and
deposit transactions and, in 2006, the National Credit Union Share Insurance Fund deposit.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company maintains funds on deposit at correspondent banks which at times exceed the federally
insured limits. The Company&#146;s management monitors the balance in these accounts and periodically
assesses the financial condition of correspondent banks.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Investment Securities</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Investments that the Company intends to hold for an indefinite period of time, but not necessarily
to maturity, are classified as available-for-sale and are carried at fair value. Unrealized gains
and losses on investments classified as available-for-sale have been accounted for as accumulated
other comprehensive income (loss).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Gains and losses on the sale of available-for-sale securities are determined using the
specific-identification method. Amortization of premiums and discounts are recognized in interest
income over the period to maturity. For debt securities the Company intends to sell prior to
recovery or for which it is more-likely-than not that the Company will have to sell prior to
recovery, impairment losses are considered other-than-temporary and the entire difference between
the security&#146;s cost and its fair value are recorded in earnings. For debt securities the Company
does not intend to sell or for which it is more-likely-than not that the Company will not have to
sell prior to recovery, the Company recognizes a credit loss component of an other-than-temporary
impairment in earnings and the remaining portion of the impairment loss in other comprehensive
income. The credit loss component of an other-than-temporary impairment is determined based upon
the Company&#146;s estimate of the present value of the cash flows expected to be collected.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company, as a member of the Federal Home Loan Bank (FHLB)&nbsp;system, is required to maintain an
investment in capital stock of the FHLB in an amount between 0.05% and 0.30% of its assets plus
between 3.50% and 5.00% of advances outstanding. No ready market exists for the FHLB stock, and it
has no quoted market value; however, the stock is redeemable upon proper notice given to the FHLB.
The investment in FHLB stock is carried at cost and included in other investments in the balance
sheets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Membership Capital Accounts at Corporate Credit Unions</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company had membership capital accounts at corporate credit unions as of December&nbsp;31, 2008 and
December&nbsp;31, 2007. The accounts were uninsured deposits that could be redeemed with a three-year
notice. Such amounts are included in other investments in the balance sheets.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Loans Held for Sale</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Loans originated and intended for sale in the secondary market are carried at the lower of cost or
estimated fair value in the aggregate. Net unrealized losses, if any, are recognized through a
valuation allowance by charges to income. Sales in the secondary market are recognized when full
acceptance and funding has been received. Gains and losses on sales of loans are recorded as the
difference between the sales price and the carrying value of the loan sold.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Loans</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Loans that management intends to hold for the foreseeable future or until maturity or payoff are
reported at the amount of unpaid principal, net of an allowance for loan losses and deferred loan
fees and costs. Interest on loans is recognized over the terms of the loans and is calculated
using the simple interest method on principal amounts outstanding. Loan fees and certain direct
loan origination costs are deferred, and the net fee or cost is recognized as an adjustment to
interest income using the interest method over the contractual lives of the related loans. For
loans that pay-off prior to their contractual maturity, any remaining unamortized loan fees or
costs are recognized.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The accrual of interest on loans is discontinued when management believes that the borrower&#146;s
financial condition is such that collection of interest is doubtful. The Company&#146;s policy is
generally to discontinue accrual of interest when the loan becomes 90&nbsp;days delinquent. All
interest accrued but not collected for loans that are placed on non-accrual status or charged off
is reversed against interest income. Interest income on these loans is subsequently recognized on
the cash basis until all the principal and interest amounts contractually due are brought current
and future payments are reasonably assured, in which case the loan is returned to accrual status.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Allowance for Loan Losses </U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The allowance for loan losses is maintained at a level that, in management&#146;s judgment, is adequate
to cover probable credit losses inherent in the loan portfolio at the balance sheet date. The
allowance for loan losses is established as losses are estimated to have occurred through a
provision for loan losses charged to earnings. Loan losses are charged against the allowance when
management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if
any, are credited to the allowance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The allowance for loan losses is evaluated on a regular basis by management and is based upon
management&#146;s periodic review of the collectibility of the loans in light of historical experience,
the nature and volume of the loan portfolio, adverse situations that may affect the borrower&#146;s
ability to repay, estimated value of any underlying collateral and prevailing economic conditions.
This evaluation is inherently subjective as it requires estimates that are susceptible to significant
revision as more information becomes available.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The allowance consists of specific and general components. The specific component relates to loans
that are classified as doubtful, substandard or special mention. For such loans that are also
classified
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">as impaired, an allowance is established when the discounted cash flows (or collateral value or
observable market price) of the impaired loan is lower than the carrying value of that loan. The
general component covers non-classified loans and is based on the historical loss experience
adjusted for qualitative factors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A loan is considered impaired when, based on current information and events, it is probable that
the Company will be unable to collect the scheduled payments of principal or interest when due
according to the contractual terms of the loan agreement. Factors considered by management in
determining impairment include payment status, collateral value and the probability of collecting
scheduled principal and interest payments when due. Loans that experience insignificant payment
delays and payment shortfalls generally are not classified as impaired. Management determines the
significance of payment delays and payment shortfalls on a case-by-case basis, taking into
consideration all of the circumstances surrounding the loan and the borrower, and the amount of the
shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan
basis for commercial loans by either the present value of expected future cash flows discounted at
the loan&#146;s effective interest rate, the loan&#146;s obtainable market price or the fair value of the
collateral if the loan is collateral dependent.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Large groups of smaller balance homogeneous loans are collectively evaluated for impairment.
Accordingly, the Company does not separately review individual consumer and residential mortgage
loans for impairment, unless such loans are the subject of a restructuring agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Premises and Equipment</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Land is carried at cost. Depreciable premises and equipment are stated at cost less accumulated
depreciation and amortization. Depreciation expense is computed on the straight-line method based
upon the estimated useful lives of the assets ranging from 3 to 40&nbsp;years. Maintenance and repairs
are charged to noninterest expense. Renewals and betterments are added to the asset accounts and
depreciated over the periods benefited. Depreciable assets sold or retired are removed from the
asset and related accumulated depreciation accounts and any resulting gain or loss is reflected in
the income and expense accounts. The cost of leasehold improvements is amortized using the
straight-line method over the lesser of the useful lives of the assets or the terms of the related
leases.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Other Real Estate Owned</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Other real estate owned is recorded at the lower of cost or fair value less estimated costs to sell
the property at the date of transfer to other real estate owned. The fair value of other real
estate is determined through independent third-party appraisals. At the time a loan is transferred
to other real estate owned, any carrying amount in excess of the fair value less estimated costs to
sell the property is charged off to the allowance for loan losses. Subsequently, should the fair
value of an asset, less the estimated costs to sell, decline to less than the carrying amount of
the asset, the deficiency is recognized in the period in which it becomes known and is included in
noninterest expense. Net operating expenses of properties are also included in noninterest
expense. Other real estate owned is included in other assets in the accompanying balance sheets.
Gains and losses realized from sales of other real estate owned are recorded in noninterest income.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Foreclosed Assets</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially
recorded at fair value at the date of foreclosure, establishing a new cost basis. Subsequent to
foreclosure, valuations are periodically performed by management and the assets are carried at the
lower of carrying amount or fair value less costs to sell. Foreclosed assets are included in other
assets in the accompanying balance sheets. Revenues and expenses from operations and changes in
the valuation allowance are included in operations expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Transfers of Financial Assets</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Transfers of financial assets are accounted for as sales when control over the assets has been
surrendered. Control over transferred assets is deemed to be surrendered when (1)&nbsp;the assets have
been isolated from the Company, (2)&nbsp;the transferee obtains the right (free of conditions that
constrain it from taking advantage of the right) to pledge or exchange the transferred assets, and
(3)&nbsp;the Company does not maintain effective control over the transferred assets through an
agreement to repurchase them before their maturity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Income Taxes</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company accounts for income taxes using the asset and liability method of accounting for income
taxes as prescribed in SFAS No.&nbsp;109, &#147;Accounting for Income Taxes.&#148; Under this method, deferred
tax assets and liabilities are recognized for the future tax consequences attributable to
differences between the financial statement carrying amounts of existing assets and liabilities and
their respective tax bases and net operating loss carryforwards. If currently available
information raises doubt as to the realization of the deferred tax assets, a valuation allowance is
established. Deferred tax assets and liabilities are measured using enacted tax rates expected to
apply to taxable income in the years in which those temporary differences are expected to be
recovered or settled.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Effective January&nbsp;1, 2009, the Company adopted the provisions of Financial Accounting Standards
Board (&#147;FASB&#148;) Interpretation No.&nbsp;48, &#147;Accounting for Uncertainty in Income Taxes&#148; (&#147;FIN 48&#148;), and
uses a &#147;more-likely-than-not&#148; recognition threshold and measurement attribute for the financial
statement recognition and measurement of a tax position taken or expected to be taken in a tax
return. The adoption of FIN 48 did not have any impact on the Company&#146;s financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Pension Plan </U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company has a non-contributory defined benefit plan providing pension benefits covering
employees who meet certain age and service requirements. The Plan was initially established
through the Company&#146;s membership in the CUNA Mutual Group. Effective December&nbsp;31, 2006, the
Company froze its defined benefit plan for current participants and closed the plan to new
participants. The compensation cost under the defined benefit plan is recognized on the net
periodic cost method over the employees&#146; approximate service period. The aggregate cost method is
utilized for funding purposes. Effective April&nbsp;1, 2007, the administration of the plan was
transferred from CUNA Mutual Group to Principal Financial Group.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Comprehensive Income</U>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Accounting principles generally require that recognized revenue, expenses, gains, and losses be
included in net income. Certain changes in assets and liabilities, such as unrealized gains and
losses on available-for-sale securities and the defined benefit pension plan, are reported as a
separate component of the equity capital section of the balance sheet.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Restrictions on Cash</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Cash on hand or on deposit with the Federal Reserve Bank of $9,774 (unaudited), $8,990 and $8,814
was required to meet regulatory reserve and clearing requirements at June&nbsp;30, 2009, December&nbsp;31,
2008 and December&nbsp;31, 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Reclassifications</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Certain prior year amounts have been reclassified in order to conform to current year presentation.
Such reclassifications had no affect on net income or equity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>Advertising Costs</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Advertising costs are charged to earnings as incurred. Total advertising expense was $153 and $109
(unaudited)&nbsp;for the six months ended June&nbsp;30, 2009 and 2008, respectively. During the years ended
December&nbsp;31, 2008, 2007, and 2006, advertising costs of $261, $592, and $1,726, respectively, were
charged to earnings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U>Recent Accounting Pronouncements</U>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In April&nbsp;2009, the Financial Accounting Standards Board (&#147;FASB&#148;) issued FASB Staff Position (&#147;FSP&#148;)
No.&nbsp;FAS 115-2 and FAS No.&nbsp;124-2, &#147;Recognition and Presentation of Other-Than-Temporary
Impairments.&#148; This FSP amends the other-than-temporary impairment guidance in U.S. generally
accepted accounting principles (&#147;GAAP&#148;) for debt securities. Consistent with current requirements
for recording other-than-temporary impairments, this FSP states that the amount of impairment loss
recorded in earnings for a debt security will be the entire difference between the security&#146;s cost
and its fair value if the company intends to sell the debt security prior to recovery or it is
more-likely-than not that the company will have to sell the debt security prior to recovery. If,
however, the company does not intend to sell the debt security and it concludes that it is
more-likely-than-not that it will not have to sell the debt security prior to recovery, this FSP
requires a company to recognize the credit loss component of an other-than-temporary impairment of
a debt security in earnings and the remaining portion of the impairment loss in other comprehensive
income. The credit loss component of an other-than-temporary impairment must be determined based
on a company&#146;s best estimate of cash flows expected to be collected. This FSP became effective for
interim and annual periods ending after June&nbsp;15, 2009. The Company adopted this FSP for the period
ended June&nbsp;30, 2009. Adoption did not have a material effect on the Company&#146;s financial
statements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In April&nbsp;2009, the FASB issued FSP No.&nbsp;FAS 157-4, &#147;Determining Fair Value When the Volume and Level
of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions
That Are Not Orderly.&#148; This FSP provides additional guidance for estimating fair value in
accordance with SFAS 157 when the volume and level of activity for an asset or liability have
significantly decreased. It also provides guidance on identifying circumstances that indicate a
transaction is not orderly. Determination of whether a transaction is orderly or not orderly in
instances when there has been a significant decrease in the volume and level of activity for an
asset or liability depends on an evaluation of facts and circumstances and requires the use of
significant judgment. This FSP requires a company to disclose the inputs and valuation techniques
used to measure fair value and to discuss changes in such inputs and valuation techniques, if any,
that occurred during the reporting period. This FSP became effective for interim and annual
periods ending after June&nbsp;15, 2009. The Company adopted this FSP for the period ended June&nbsp;30,
2009. Adoption did not have a material effect on the Company&#146;s financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In April&nbsp;2009, the FASB issued FSP No.&nbsp;FAS 107-1 and APB 28-1, &#147;Interim Disclosures about Fair
Value of Financial Instruments.&#148; This FSP amends FASB Statement No.&nbsp;107, &#147;Disclosures about Fair
Value of Financial Instruments,&#148; to require interim reporting period disclosure about the fair
value of financial instruments, including assets, liabilities and off-balance sheet items for which
it is practicable to estimate fair value. The fair value estimates are made based upon relevant
market information, if available, and upon the characteristics of the financial instruments
themselves. The Company adopted this FSP for the period ended June&nbsp;30, 2009. See Note 14 &#151; Fair
Value Measurements for the disclosures required by this FSP.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In April&nbsp;2009, the FASB issued FSP 141(R)-1, &#147;Accounting for Assets Acquired and Liabilities
Assumed in a Business Combination That Arise from Contingencies,&#148; which amends and clarifies SFAS
No.&nbsp;141 (revised 2007), &#147;Business Combinations,&#148; to address application issues raised by preparers,
auditors and members of the legal profession on initial recognition and measurement, subsequent
measurement and accounting, and disclosure of assets and liabilities arising from contingencies in
a business combination. This FSP is effective for assets or liabilities arising from contingencies
in business combinations for which the acquisition date is on or after the beginning of the first
annual reporting period beginning after December&nbsp;15, 2008. This FSP is not expected to have a
material effect on the Company&#146;s financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In May&nbsp;2009, the FASB issued Statement of Financial Accounting Standards (&#147;SFAS&#148;) No.&nbsp;165,
&#147;Subsequent Events.&#148; The objective of this statement is to establish principles and requirements
for subsequent events and, in particular, the period after the balance sheet date during which
management of a reporting entity shall evaluate events or transactions that may occur for potential
recognition or disclosure in the financial statements; the circumstances under which an entity
shall recognize events or transactions occurring after the balance sheet date in its financial
statements and the disclosures that an entity shall make about events or transactions that occurred
after the balance sheet date. SFAS 165 is effective for interim and annual reporting periods
ending after June&nbsp;15, 2009. The Company adopted this FSP for the period ended June&nbsp;30, 2009.
Adoption did not have a material effect on the Company&#146;s financial statements. The Company has evaluated all events
or transactions that occurred after June 30, 2009 through September 11, 2009, the date the Company issued these financial
statements.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In June&nbsp;2009, the FASB issued SFAS No.&nbsp;166, &#147;Accounting for Transfers of Financial Assets &#151; an
amendment of FASB Statement No.&nbsp;140,&#148; to improve the reporting for the transfer of financial assets
resulting from (1)&nbsp;practices that have developed since the issuance of FASB Statement No.&nbsp;140,
&#147;Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities,&#148;
that are not consistent with the original intent and key requirements of that Statement and (2)
concerns of financial statement users that many of the financial assets (and related obligations)
that have been derecognized should continue to be reported in the financial statements of
transferors. SFAS 166 is effective for interim and annual reporting periods beginning after
November&nbsp;15, 2009. The adoption of SFAS 166 is not expected to have a material effect on the
Company&#146;s results of operations or financial position.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In June&nbsp;2009, the FASB issued SFAS No.&nbsp;167, &#147;Amendments to FASB Interpretation No.&nbsp;46(R)&#148; to amend
certain requirements of FASB Interpretation No.&nbsp;46 (revised December&nbsp;2003), &#147;Consolidation of
Variable Interest Entities&#148; to improve financial reporting by enterprises involved with variable
interest entities and to provide more relevant and reliable information to users of financial
statements. The Statement is effective for interim and annual reporting periods beginning after
November&nbsp;15, 2009. The adoption of SFAS 167 is not expected to have a material effect on the Company&#146;s results
of operations or financial position.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In June&nbsp;2009, the FASB issued SFAS No.&nbsp;168, &#147;The FASB Accounting Standards Codification&#153; and the
Hierarchy of Generally Accepted Accounting Principles&#151;a replacement of FASB Statement No.&nbsp;162.&#148;
SFAS 168 identifies the sources of authoritative accounting principles and the framework for
selecting the principles used in the preparation of financial statements that are presented in
conformity with U.S. GAAP by nongovernmental entities. SFAS 168 is effective for financial
statements issued for interim and annual periods ending after September&nbsp;15, 2009. The adoption of
SFAS 168 is not expected to have a material effect on the Company&#146;s results of operations or
financial position.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 3 &#151; Concentration of Funds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company had the following balances on deposit at other financial institutions at the dates
indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">December 31,</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2007</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">The Independent Bankers&#146; Bank</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">22,640</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">22,107</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">4,115</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>NOTE 4 &#151; Investment Securities</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The amortized cost and estimated fair values of investment securities available for sale and the
related gross unrealized gains and losses recognized in accumulated other comprehensive income
(loss)&nbsp;as of June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007 were as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Gross</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Gross</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Amortized</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unrealized</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unrealized</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Cost</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Gains</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Losses</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair Value</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="15" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">June&nbsp;30, 2009 (unaudited)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">155,168</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(582</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">159,811</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Agency bonds</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,078</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,778</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,916</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Municipal obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,190</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,052</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total investment
securities available
for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">181,214</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,277</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,498</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">212,151</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,882</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,323</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">215,710</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,808</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,533</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Municipal obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,290</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,290</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,029</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total investment
securities available
for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">228,249</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,911</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,856</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">230,304</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">December&nbsp;31, 2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">240,603</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,743</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(793</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">241,553</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,032</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total investment
securities available
for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">243,603</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,775</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(793</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">244,585</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-15<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Investment securities available for sale with gross unrealized losses at June&nbsp;30, 2009, December
31, 2008 and December&nbsp;31, 2007, aggregated by investment category and length of time that
individual securities have been in a continuous loss position, are as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000">Continuous Unrealized Losses Existing for</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Less Than 12 Months</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Greater Than 12 Months</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Total</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unrealized</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unrealized</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unrealized</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Losses</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Losses</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Losses</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="23" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">June&nbsp;30, 2009 (unaudited)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,438</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(43</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,535</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(539</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,973</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(582</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,916</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,916</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,438</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(43</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,397</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,455</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,835</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,498</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">14,476</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,046</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,475</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(277</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">17,951</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,323</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Trust preferred securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,533</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,533</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">20,751</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,579</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,475</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(277</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">24,226</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(2,856</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">December&nbsp;31, 2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Mortgage-backed securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,450</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(48</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">95,457</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(745</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">106,907</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(793</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Unrealized losses are generally the result of interest rate levels differing from those existing at the time
of purchase of the securities and, as to mortgage-backed securities, estimated prepayment speeds.
These unrealized losses are considered temporary as they reflect fair values on June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007 and are subject to change daily as interest rates
fluctuate. The Company does not intend to sell these securities and it is more-likely-than-not that the Company
will not be required to sell prior to recovery. Management evaluates investment securities for other-than-temporary
impairment at least on a quarterly basis, and more frequently when economic or market concerns
warrant such evaluation. Consideration is given to (1)&nbsp;the length of time and the extent to which
the fair value has been less than cost, (2)&nbsp;the financial condition and near-term prospects of the
issuer, and (3)&nbsp;the intent of the Company to sell or whether it would be more-likely-than-not required to sell its investment in the issuer for a
period of time sufficient to allow for any anticipated recovery in fair value.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, investment securities available for sale
consisted primarily of mortgage-backed securities having stated maturities over five years. The
expected maturities on these securities are between one and five years as of June&nbsp;30, 2009 and
December&nbsp;31, 2008, based on estimated prepayments of the underlying mortgages. Expected maturities
may differ from contractual maturities because borrowers may have the right to call or repay
obligations with or without call or prepayment penalties, therefore, a summary of the maturities of
these securities is not presented.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Investment securities with an amortized cost of $107,642, $144,019 and $175,989 at June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively, were pledged to secure Federal Home Loan
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Bank advances. In addition, investment securities with an amortized cost of $67,211, $68,318 and
$63,932 at June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively, were pledged to
secure other borrowings. See Note 9 for additional information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During the six months ended June&nbsp;30, 2009, proceeds from sales of investment securities were
$36,806, and gains from sales of investment securities were $1,104. During the twelve months ended
December&nbsp;31, 2008, proceeds from sales of investment securities were $40,809 and gains from sales
of investment securities were $121. No investment securities were sold during the six months ended
June&nbsp;30, 2008 or the twelve months ended December&nbsp;31, 2007 or 2006. Gains or losses on the sales
of securities are recognized at the trade date utilizing the specific identification method.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Other investments consisted of the following at the dates indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">June 30</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Membership capital accounts in corporate credit unions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,359</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,359</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal Home Loan Bank stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,262</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,640</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,706</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Community Development Investment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,014</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">10,065</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Membership capital accounts are uninsured equity capital accounts that may be redeemed with a
three-year notice. The Company provided a notice of withdrawal to the holders of the membership
capital accounts on January&nbsp;1, 2006 due to the Company&#146;s conversion to a federally-chartered thrift
and the accounts were closed on January&nbsp;2, 2009.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>NOTE 5 &#151; Loans and Allowance for Loan Losses</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The loan portfolio consists of various types of loans made principally to borrowers located in
Tarrant and Dallas County, Texas. The composition of the loan portfolio was as follows at the
dates indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real Estate Loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">One- to four-family</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">261,334</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">245,554</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">210,475</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Home equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,564</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,180</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,183</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Commercial real estate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95,625</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,023</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,953</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Real estate construction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,003</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total real estate loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">425,023</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">407,597</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">356,614</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Consumer Loans:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, indirect</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">198,296</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">209,371</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">258,782</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Automobile, direct</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31,238</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,824</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,687</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Unsecured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,135</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,505</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,991</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,552</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,832</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,048</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total consumer loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">249,221</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">264,532</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">319,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commercial Business Loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,442</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,884</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">735,686</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">723,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">711,006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Plus (Less):</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred fees and discounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,764</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">940</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,479</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Allowance for losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,822</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,270</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,386</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total loans receivable, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">725,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">715,774</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">707,099</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In 2008, the Bank began purchasing one- to four-family residential loans at a discounted price to
the principal balance of the mortgage loans. As of June&nbsp;30, 2009, the total outstanding loan
balance of all purchased one- to four-family residential loans was $32,399, while the carrying
value, net of purchase discounts was $27,324. As of December&nbsp;31, 2008, the total outstanding loan
balance of all purchased one- to four-family residential loans was $20,218, while the carrying
value, net of purchase discounts was $17,916.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At December&nbsp;31, 2008 and December&nbsp;31, 2007, vehicle loan participations amounting to $664 and
$16,156, respectively, are included in loans receivable. These loan participations did not meet
the criteria for treatment as sales under SFAS No.&nbsp;140, &#147;Accounting for Transfers and Servicing of
Financial Assets and Extinguishments of Liabilities-a replacement of FASB Statement No.&nbsp;125,&#148; and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">were included in loans and other secured borrowings in the balance sheets. There were no vehicle
loan participations remaining at June&nbsp;30, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Activity in the allowance for loan losses was as follows for the periods indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">Six Months Ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance, beginning of year</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,049</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,792</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Provision for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,825</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,113</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Loans charged-off</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,058</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,958</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3,520</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,329</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,548</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Recoveries of loans previously charged-off</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">210</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">315</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">579</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,016</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">692</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,822</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,618</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,049</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, eight loans with balances outstanding of $5,122 and related allowance for loan
losses of $1,135 were considered to be impaired under SFAS No.&nbsp;114, &#147;Accounting by Creditors for
Impairment of a Loan.&#148; At December&nbsp;31, 2008, one loan with a balance outstanding of $5,272 and a
related allowance of $683 was considered to be impaired under SFAS No.&nbsp;114. At December&nbsp;31, 2007,
there were no loans that were reported as impaired.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, loans on which accrual of interest had
been discontinued were $5,573, $5,701 and $2,972, respectively. In addition, at June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007, the Bank had troubled debt restructurings (loans for which
a portion of interest or principal has been forgiven and loans modified at interest rates
materially less than current market rates) of $6,321, $3,976 and $2,079, respectively. If interest
on these non-accruing and troubled debt restructured loans had been current in accordance with
their original terms, such income would have been approximately $695 and $404 for the six months
ended June&nbsp;30, 2009 and 2008, respectively, and $531, $271, and $26 for the years ended December
31, 2008, 2007, and 2006, respectively. At December&nbsp;31, 2006, there was one loan with a balance of
$2,938 greater than 90&nbsp;days past due that continued to accrue interest. There were no loans greater than 90&nbsp;days past
due that continued to accrue interest at June&nbsp;30, 2009, December&nbsp;31, 2008 or December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company originates real estate mortgage loans which are sold in the secondary market. The
Company retains the servicing for residential real estate loans that are sold to the Federal
National Mortgage Association (&#147;FNMA&#148;). Mortgage loans serviced for FNMA are not included as
assets on the balance sheets. The principal balances of the loans at June&nbsp;30, 2009, December&nbsp;31,
2008 and December&nbsp;31, 2007 were $90,077, $60,198 and $4,710, respectively. Mortgage servicing
rights associated with the mortgage loans serviced for FNMA totaled $1,114, $765 and $65 as of June
30, 2009, December&nbsp;31, 2008, and December&nbsp;31, 2007, respectively, and are included in other assets
in the balance sheets.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A large percentage of the Company&#146;s customers work or reside in Tarrant or Dallas County, and
surrounding areas. Although the Company has a diversified loan portfolio, borrowers&#146; ability to
repay loans may be affected by the economic climate of the overall geographic region in which
borrowers reside.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 6 &#151; Premises and Equipment</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Premises and equipment were as follows at the dates indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" >June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Land</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,690</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,690</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,690</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Buildings and improvements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,958</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,682</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,738</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Furniture and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,637</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40,817</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,088</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Leasehold improvements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,118</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,157</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,081</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,403</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">96,346</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">90,597</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accumulated amortization and depreciation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(44,831</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(42,170</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(37,410</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">52,572</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">54,176</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">53,187</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Depreciation and amortization charged to expense amounted to $2,768, $2,445, $5,079, $4,937 and
$5,636 for the six months ended June&nbsp;30, 2009 and 2008 and the years ended December&nbsp;31, 2008, 2007
and 2006, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At December&nbsp;31, 2008, the Company had certain non-cancelable operating leases for premises with
future minimum annual rental payments as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Year ended December 31,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">460</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">245</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">237</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">237</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Thereafter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">303</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,898</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Rent expense was $352, $263, $560, $544 and $540, for the six months ended June&nbsp;30, 2009 and 2008
and the years ended December&nbsp;31, 2008, 2007 and 2006, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During the six months ended June&nbsp;2009, the St. Paul branch located in Dallas, Texas was closed and
the lease was terminated.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-20<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The lease for the Lewisville, Texas branch will expire on December&nbsp;31, 2009. Prior to termination
of the lease, the branch will relocate to Flower Mound, Texas. The Company has entered into a
ten-year lease for the new branch location.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company owns a 202,000 square-foot office building in Fort Worth, Texas that it uses for its
administrative headquarters and certain bank operations. The Company occupies approximately 60,000
square feet of the building and leases the remaining space to various tenants. Gross rental income
from these leases of $1,237, $1,248, $2,515, $2,456 and $2,122 was recognized for the six months
ended June&nbsp;30, 2009 and 2008 and the years ended December&nbsp;31, 2008, 2007 and 2006, respectively.
At December&nbsp;31, 2008, non-cancelable operating leases for the building with future minimum lease
payments are as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Year ended December 31,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,463</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,058</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,528</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,164</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,062</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Thereafter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,388</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">11,663</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 7 &#151; Other Real Estate Owned</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, other real estate owned included the
fair market value of property that had been purchased as a potential branch site in 2000. In 2006,
the property was reclassified to other real estate owned from premises and equipment and a $222
charge to operations was recorded to write-down the book value of the property to its fair market
value of $488 as a result of management&#146;s decision to sell the property rather than build a branch
at the site. At June&nbsp;30, 2009, other real estate owned also included a foreclosed residential
mortgage property with a fair market value of $63. Through June&nbsp;30, 2009, no gain or loss had been
recorded related to this property. During the year ended December&nbsp;31, 2008, a residential mortgage
property of $168 was acquired through deed in lieu of foreclosure. The proceeds from mortgage
insurance and the sale of the property exceeded the loan balance and costs to sell the property by
$3. During the year ended December&nbsp;31, 2007, a commercial loan with a balance of $508 was charged
off and the collateral was recorded as other real estate owned at its fair market value less
estimated selling costs of $457. Proceeds of $443 were realized on the sale of the property in
December&nbsp;2007.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-21<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 8 &#151; Deposits</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Deposits by major type consisted of the following at the dates indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Noninterest-bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">69,357</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">67,483</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">69,879</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest bearing demand</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63,995</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,962</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">62,249</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Savings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">199,378</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">186,352</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">187,329</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Money market</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,559</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,634</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">82,823</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Certificates of deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">338,542</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">342,415</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">327,615</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">739,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">729,895</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Certificates of deposit in excess of $100 were $101,416, $87,684 and $91,985 at June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The remaining maturity on certificates of deposit at December&nbsp;31, 2008 is presented below:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Year ended December 31,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<tr>
  <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">288,324</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,969</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,404</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,338</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,380</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">342,415</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, brokered time deposits totaled $10,424,
$19,873 and $5,063, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 9 &#151; Borrowed Funds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company has a line of credit with the FHLB of Dallas which allows it to borrow on a
collateralized basis at a fixed term with pledged assignments. At June&nbsp;30, 2009, advances from the
FHLB of Dallas totaled $117,900 and had fixed interest rates ranging from 2.58% to 4.71% with a
weighted average rate of 3.97%. At December&nbsp;31, 2008, advances from the FHLB of Dallas totaled
$169,900 and had fixed interest rates ranging from 2.58% to 5.20% with a weighted average rate of
4.20%. At December&nbsp;31, 2007, advances from the FHLB of Dallas totaled $156,900 and had fixed
interest rates ranging from 3.45% to 5.20% with a weighted average rate of 4.46%. The borrowings
are collateralized by a blanket floating lien on all first mortgage loans, mortgage-backed
securities, the FHLB capital stock owned by the Company and any funds on deposit with FHLB. At
June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, the borrowing limit was $322,779, $388,294
and
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">$426,404, respectively. In addition, investment securities with an amortized cost of $107,642,
$144,019 and $175,989 were pledged to secure the advances at June&nbsp;30, 2009, December&nbsp;31, 2008 and
December&nbsp;31, 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At December, 31, 2008, the Company had FHLB advances outstanding which mature on the dates
indicated as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Year ended December 31,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<tr>
   <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">103,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,400</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Thereafter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">169,900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company entered into a sale of securities under agreement to repurchase (&#147;repurchase
agreement&#148;) with PNC Bank, N.A. (&#147;PNC&#148;) on July&nbsp;24, 2007. The agreement is structured as the sale
of a specified amount of identified securities to PNC which the Company has agreed to repurchase
five years after the initial sale. The repurchase agreement is treated as a financing and the
obligation to repurchase securities sold are included in other secured borrowings in the balance
sheets. The underlying securities continue to be carried as assets of the Company and the Company
is entitled to receive interest and principal payments on the underlying securities. At June&nbsp;30,
2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, the Company had $58,000, $58,000 and $50,000 in
repurchase agreements outstanding, respectively. These repurchase agreements were secured by
investment securities with an amortized cost of $67,211, $68,318 and $63,932 at June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At December&nbsp;31, 2008 and December&nbsp;31, 2007, other secured borrowings also included the participated
portion of loans with outside financial institutions that did not qualify as a sale under SFAS No.
140, &#147;Accounting for Transfers and Servicing of Financial Assets and Extinguishments of
Liabilities,&#148; due to the Company maintaining an obligation to repurchase any loans that become
impaired. The balance of participated loans included in other secured borrowings was $664 and
$16,156 at December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively. There were no participated loans
remaining at June&nbsp;30, 2009 (unaudited).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Additionally, the Company maintains $31,500 in federal funds lines with other financial
institutions.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Information relating to the FHLB advances and other borrowings for the six months ended June&nbsp;30,
2009 and 2008 and the years ended December&nbsp;31, 2008, 2007 and 2006 is summarized as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Six Months Ended June 30,</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2009</TD>
    <TD style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2006</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maximum Balance:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">FHLB advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">159,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">181,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">189,650</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">246,479</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">75,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">74,218</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Average Balance:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">FHLB advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143,768</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">165,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">169,026</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">108,848</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">193,592</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69,052</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64,497</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">49,349</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,261</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average interest
rate:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">During the period:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">FHLB advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.18</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.31</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.15</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.40</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.67</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.94</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.80</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.97</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.21</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">End of period:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">FHLB advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.97</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.49</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.20</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.46</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.76</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.52</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.34</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.25</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.06</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.97</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 10 &#151; Employee Benefit Plans</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company sponsors a defined benefit pension plan (the &#147;Pension Plan&#148;) for the benefit of its
employees. The Pension Plan originally called for benefits to be paid to eligible employees at
retirement based primarily upon years of service with the Company and compensation levels at
retirement. On November&nbsp;15, 2006, the Company announced that it would freeze benefits under the
Pension Plan effective December&nbsp;31, 2006, so that no further benefits will be earned by employees
after that date. In addition, no new participants may be added to the Pension Plan after December
31, 2006.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Changes in the plan benefit obligation using a December&nbsp;31 measurement date for the years ended
December&nbsp;31, 2008 and 2007 were as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Projected benefit obligation as of January&nbsp;1,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,591</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,595</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest cost</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">295</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">322</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Actuarial loss (gain)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(412</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,148</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Effect of settlement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(777</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,474</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Projected benefit obligation at December&nbsp;31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,591</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accumulated benefit obligation at December
31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,591</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Changes in plan assets for the years ended December&nbsp;31, 2008 and 2007 were as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fair value of plan assets as of January&nbsp;1,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,977</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,197</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Actual return on plan assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,638</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">254</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Effect of settlement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(777</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,474</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fair value of plan assets as of December&nbsp;31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,562</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,977</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Funded status as of December&nbsp;31,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,135</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">386</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At December&nbsp;31, 2008, the funded status is recognized in accrued expenses and other liabilities in
the balance sheets. At December&nbsp;31, 2007, the funded status is recognized in other assets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The net periodic pension cost for the six months ended June&nbsp;30, 2009 and 2008 and the years ended
December&nbsp;31, 2008, 2007 and 2006 includes the following components:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">Six Months Ended</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2006</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Service cost &#151; benefits earned during the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,116</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest cost on projected benefit obligation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">138</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">295</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">322</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">403</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Expected return on assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(112</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(216</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(431</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(540</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(476</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Amortization of net loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">336</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Effect of settlement recognition</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">483</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">472</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net periodic pension cost</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">76</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(46</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">392</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">268</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,379</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The expected rate of return for the six months ended June&nbsp;30, 2009 was 6.50%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Assumptions used in accounting for the Pension Plan are as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000">Year Ended December 31,</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2006</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Discount rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.75</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.75</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Expected long-term rate of return on assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.50</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Rate of increase in future compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.00</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Historical and future expected returns of multiple asset classes were analyzed to develop a
risk-free real rate of return and risk premiums for each asset class. The overall rate for each
asset class was developed by combining a long-term inflation component, the risk-free real rate of
return, and the associated risk premium. A weighted average rate was developed based on those
overall rates and the target asset allocation of the plan.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company&#146;s current pension plan target allocations and the weighted-average asset allocations as
of December&nbsp;31, 2008 and December&nbsp;31, 2007 by asset category are as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Target</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Actual Allocations</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Allocations</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">2007</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Equity securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">50</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">40</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">71</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Debt securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">45</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">56</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">25</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Real estate securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>

</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The assets of the defined benefit pension plan are invested in domestic and international equity
securities, fixed income securities and real estate securities funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company did not make any contributions to the defined benefit pension plan during the six
months ended June&nbsp;30, 2009. A contribution of $116 was made to the plan in July&nbsp;2009. The Company
does not expect to make additional contributions to the plan in fiscal year 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As of December&nbsp;31, 2008, the pension benefit payments were expected to be paid as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Year ended December 31,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">190</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">110</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">120</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Years 2014 - 2018</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,090</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company also has a discretionary defined contribution savings plan (the &#147;Savings Plan&#148;). The
Savings Plan is qualified under Sections&nbsp;401 and 401(k) of the Internal Revenue Code and allows
employees to contribute a portion of their salary on a pretax basis into the Savings Plan. The
Company matches a portion of employees&#146; contributions. Matching contributions made by the Company
are accrued and funded on a current basis. During the six months ended June&nbsp;30, 2009 and 2008 and
the years ended December&nbsp;31, 2008, 2007 and 2006, the Company contributed approximately $310, $311,
$616, $535 and $473 to the Savings Plan, respectively, which is included in salaries and benefits
expense in the accompanying statements of operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company has entered into deferred compensation agreements with certain executives that provide
benefits payable based on specified terms of the agreements. A portion of the benefits is subject
to forfeiture if the employee willfully leaves employment or employment is terminated for cause as
defined in the agreements. The accrued liability for these agreements as of December&nbsp;31, 2008 and
December&nbsp;31, 2007 was $210 and $1,327, respectively. Deferred compensation expense related to
these agreements was $266, $204 and $1,291 for the years ended December&nbsp;31, 2008, 2007 and 2006,
respectively.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The accrued liability for deferred compensation agreements as of December&nbsp;31, 2007 and salaries and
benefits expense for the year ended December&nbsp;31, 2006 includes $1,273 for a Salary Continuation
Plan (the &#147;Document&#148;) signed on December&nbsp;28, 2006 In June&nbsp;2007, the beneficiary under the Document
made a claim for the benefits. In November&nbsp;2007, after a thorough review of the plan and the
pertinent facts, the Plan Administrator denied the beneficiary&#146;s claim. The beneficiary
subsequently requested a review of the denial and access to documents and records relative to the
claim. After another thorough review of the facts by the Plan Administrator, the claim was denied
a second time in February&nbsp;2008. In May&nbsp;2008, the beneficiary terminated the claim to the benefits
and the liability was reversed, resulting in a $1,273 credit to salaries and benefits expense in
2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 11 &#151; Regulatory Matters</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On January&nbsp;1, 2006, the Company converted its charter to a federal mutual savings bank charter. As
a result of the conversion, the Company is subject to regulation and examination by the Office of
Thrift Supervision (&#147;OTS&#148;), its primary regulator. The Federal Deposit Insurance Corporation
(&#147;FDIC&#148;) also has regulatory and examination authority with respect to the Company. The deposits
of the Company are insured by the FDIC.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In January&nbsp;2008, the Bank incurred a breach of its ATM/debit card system. According to the OTS,
this breach of the Bank&#146;s data systems indicated deficiencies in the Bank&#146;s monitoring of its
information technology and customer information security. In response to its findings, the OTS
issued a Cease and Desist Order (&#147;the Order&#148;) relative to the Bank&#146;s customer information security
programs. The Bank&#146;s Board of Directors executed a Stipulation and Consent to the Order. In
response to the terms of the Order, and with the assistance of qualified consultants, the Bank
prepared and received OTS approval of an information technology security remediation and action
plan. This plan addressed, among other things, any identified security deficiencies,
implementation of processes to detect intrusions and compliance with all applicable regulatory
guidelines as set forth by the OTS. As of October&nbsp;23, 2008, the Bank had completed its performance
of all requirements of the Order. The OTS conducted an information technology examination in April
2009 and found that the Bank had taken the required steps to address the weaknesses that had
allowed the breach of its ATM/debit card system to occur. As a result of the findings of the
examination, the OTS terminated the Order on June&nbsp;11, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company is subject to various regulatory capital requirements administered by the federal
banking agencies. Bank regulatory authorities have established risk-based capital guidelines for
U.S. banking organizations. The objective of these efforts is to provide a more consistent system
for comparing capital positions of banking organizations and to reflect the level of risk
associated with holding various categories of assets. The guidelines define Tier 1 capital and
Tier 2 capital. The components of Tier 1 capital for the Company include equity capital excluding
unrealized gains and losses on
available-for-sale securities, goodwill and other intangible assets. Tier 2 capital includes a
portion of the allowance for loan losses. These two components combine to become Total Capital.
The guidelines also stipulate that four categories of risk weights (0, 20, 50 and 100&nbsp;percent),
primarily based on the relative credit risk of the counterparty, be applied to the different types
of balance sheet assets. Risk weights for all off-balance sheet exposures are determined by a two
step process, whereas the face value of the off-balance sheet item is converted to a &#147;credit
equivalent amount&#148; and that
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">amount is assigned to the appropriate risk category. Off-balance sheet items at June&nbsp;30, 2009,
December&nbsp;31, 2008 and December&nbsp;31, 2007 included unfunded loan commitments and letters of credit.
The minimum ratio for qualifying Total Capital is 8.0%, of which 4.0% must be Tier 1 capital.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In addition to the minimum guidelines stated above, the regulatory authorities have established
minimums for an institution to be classified as &#147;well capitalized.&#148; A financial institution is
deemed to be well capitalized if the institution has a total risk-based capital ratio of 10.0% or
greater, a Tier 1 risk-based capital ratio of 6.0% or greater, and a Tier 1 leverage ratio of 5.0%
or greater and the institution is not subject to an order, written agreement, capital directive or
prompt corrective action directive to meet and maintain a specific capital level for any capital
measure.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table sets forth the Company&#146;s capital ratios as of June&nbsp;30, 2009, December&nbsp;31, 2008
and December&nbsp;31, 2007:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">To Be Well</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">Capitalized Under</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">For Capital</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7">Prompt Corrective</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Actual</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Adequacy Purposes</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000">Action Provisions</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Ratio</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Ratio</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Ratio</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">As of June&nbsp;30, 2009 (unaudited)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total risk-based capital
to risk-weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">91,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">12.25</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">59,597</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">74,496</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I risk-based capital
to risk- weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.07</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,799</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,698</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I (Core) capital to
adjusted total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,220</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51,525</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">As of December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total risk-based capital
to risk-weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">90,058</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.82</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">60,972</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">76,215</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I risk-based capital
to risk- weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.73</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,486</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,729</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I (Core) capital to
adjusted total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.71</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,415</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,019</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">As of December&nbsp;31, 2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total risk-based capital
to risk-weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">88,192</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">11.66</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">60,497</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">75,622</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I risk-based capital
to risk- weighted assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">80,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">10.69</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,249</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">45,373</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.00</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Tier I (Core) capital to
adjusted total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">80,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">7.75</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41,724</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">4.00</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,155</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.00</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Home Owners&#146; Loan Act (&#147;HOLA&#148;), as amended, requires savings institutions to meet a Qualified
Thrift Lender (&#147;QTL&#148;) test. The QTL test requires at least 65% of assets be maintained in
housing-related finance and other specified areas. An institution must be in compliance with the
QTL test on a monthly basis in nine out of every 12&nbsp;months. If this requirement is not met, limits
are placed on
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">growth, branching, new investments, and FHLB advances and dividends or the Company must convert to
a commercial bank charter. At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, QTL was
calculated as 80.17%, 84.0% and 78.9%, respectively, and the Company has met the test in each month
of the six months ended June&nbsp;30, 2009 and the years ended December&nbsp;31, 2008 and 2007.
Additionally, the Company must operate within the parameters of its approved three-year business
plan and submit a variance report to the OTS each calendar quarter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following is a reconciliation of the Company&#146;s equity under accounting principles generally
accepted in the United States of America to regulatory capital (as defined by the OTS and FDIC) as
of June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">89,329</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,722</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred tax assets disallowed for regulatory
capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(7,894</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,112</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,450</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Unrealized gain on securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,834</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,356</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(648</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,927</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,927</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,182</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Tier I capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">82,465</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">81,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">80,806</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">General allowance for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,822</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,386</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total regulatory capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">91,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">90,058</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">88,192</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 12 &#151; Income Taxes</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In June&nbsp;2006, the FASB issued FIN 48, which prescribes a &#147;more-likely than-not&#148; recognition
threshold and measurement attribute (the largest amount of benefit that is greater than 50% likely
of being realized upon ultimate resolution with tax authorities) for the financial statement
recognition and measurement of an income tax position taken or expected to be taken in a tax
return. The Company adopted FIN 48 effective January&nbsp;1, 2009. As of June&nbsp;30, 2009, the Company
has not recognized a FIN 48 liability in the balance sheet.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During the six months ended June&nbsp;30, 2009 or the year ended December&nbsp;31, 2008, the Company did not
incur any interest or penalties on income taxes. The Company will record interest on income tax
penalties, if any, when they are incurred in noninterest expense.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company was a credit union prior to 2006 and was not subject to federal or state income taxes.
The Company became a taxable entity effective January&nbsp;1, 2006 in conjunction with its charter
conversion. As a result of the change in tax status, the Company recorded a net deferred tax asset
on January&nbsp;1, 2006 in the amount of $6,107. The Company&#146;s pretax income
is subject to federal income taxes at a combined rate of 34%.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-29<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, the net deferred tax asset consisted of
the following:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred tax assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Allowance for loan losses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,614</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,475</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,277</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Premises and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,785</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,712</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,803</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net operating loss</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,365</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,749</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,792</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Deferred compensation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">166</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">573</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Self-funded health insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">138</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Pension plan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">993</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">609</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">320</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">265</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,411</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,504</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,149</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred tax liabilities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Servicing rights</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(379</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(260</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(945</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(698</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(334</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">FHLB stock dividend</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(145</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(140</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(95</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,469</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,098</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(429</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net deferred tax asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">7,942</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,406</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">8,720</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">No valuation allowance has been provided on deferred tax assets as of June&nbsp;30, 2009, December&nbsp;31,
2008 or December&nbsp;31, 2007. In assessing the realization of deferred tax assets, management
considers whether it is more likely than not that some portion or all of the deferred tax assets
will not be realized. The ultimate realization of deferred tax assets is dependent on the
generation of future taxable income during the periods in which those temporary differences become
deductible. Management considers the projected future taxable income and tax planning strategies
in making this assessment. Based upon the level of historical income and projections for future
taxable income over the periods in which the
deferred tax assets are deductible, management believes it is more likely than not the Company will
realize all benefits related to these deductible temporary differences.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the six months ended June&nbsp;30, 2009 and the years ended December&nbsp;31, 2008 and 2007, the
effective tax rate differs from the federal statutory rate of 34% applied to loss before income
taxes due to the following:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Federal statutory rate times financial statement income (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">322</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">471</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,118</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Effect of:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">State taxes, net of federal benefit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">179</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Nontaxable income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(25</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(16</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Non-deductible expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total income tax expense (benefit)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">489</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">742</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(1,115</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 13 &#151; Related Party Transactions</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company has made loans in the ordinary course of business with certain of its executive
officers, directors and their affiliates. All loans included in such transactions are made on
substantially the same terms, including interest rate and collateral, as those prevailing at the
time for comparable transactions with other persons and all loans are current as to principal and
interest payments. Loans to executive officers, directors and their affiliates were as follows for
the six months ended June&nbsp;30, 2009 and December&nbsp;31, 2008:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,938</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,572</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">New loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">901</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">885</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Effect of changes in
composition of related parties</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">411</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sold loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(788</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Repayments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(454</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(142</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,385</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,938</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Deposits from executive officers, directors and their affiliates were $1,225, $679 and $553 at June
30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 14 &#151; Fair Value Measurements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Effective January&nbsp;1, 2008, the Company adopted the provisions of SFAS No.&nbsp;157, &#147;Fair Value
Measurements,&#148; for financial assets and financial liabilities. SFAS 157 defines fair value,
establishes a
framework for measuring fair value in generally accepted accounting principles and expands
disclosures about fair value measurements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">SFAS 157 defines fair value as the price that would be received to sell an asset or would be paid
to transfer a liability in an orderly transaction between market participants. A fair value
measurement assumes that the transaction to sell the asset or transfer the liability occurs in the
principal market for
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the asset or liability or, in the absence of a principal market, the most advantageous market for
the asset or liability. The price in the principal (or most advantageous) market used to measure
the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly
transaction is a transaction that assumes exposure to the market for a period prior to the
measurement date to allow for marketing activities that are usual and customary for transactions
involving such assets and liabilities; it is not a forced transaction. Market participants are
buyers and sellers in the principal market that are (i)&nbsp;independent, (ii)&nbsp;knowledgeable, (iii)&nbsp;able
to transact and (iv)&nbsp;willing to transact.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">SFAS 157 requires the use of valuation techniques that are consistent with the market approach, the
income approach and/or the cost approach. The market approach uses prices and other relevant
information generated by market transactions involving identical or comparable assets and
liabilities. The income approach uses valuation techniques to convert future amounts, such as cash
flows or earnings, to a single present value amount on a discounted basis. The cost approach is
based on the amount that currently would be required to replace the service capacity of an asset
(replacement cost). Valuation techniques should be consistently applied. Inputs to valuation
techniques refer to the assumptions that market participants would use in pricing the asset or
liability. Inputs may be observable, meaning those that reflect the assumptions market
participants would use in pricing the asset or liability developed based on market data obtained
from independent sources, or unobservable, meaning those that reflect the reporting entity&#146;s own
assumptions about the assumptions market participants would use in pricing the asset or liability
developed based on the best information available in the circumstances. In that regard, SFAS 157
establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted
prices in active markets for identical assets or liabilities and the lowest priority to
unobservable inputs. The fair value hierarchy is as follows:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Level 1 Inputs </I>&#151; Unadjusted quoted prices in active markets for identical assets or
liabilities that the reporting entity has the ability to access at the measurement date.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Level 2 Inputs </I>&#151; Inputs other than quoted prices included in Level 1 that are observable
for the asset or liability, either directly or indirectly. These might include quoted prices
for similar assets or liabilities in active markets, quoted prices for identical or similar
assets or liabilities in markets that are not active, inputs other than quoted prices that
are observable for the asset or liability (such as interest rates, volatilities, prepayment
speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by
market data by correlation or other means.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Level 3 Inputs </I>&#151; Unobservable inputs for determining the fair values of assets or
liabilities that reflect an entity&#146;s own assumptions about the assumptions that market
participants would use in pricing the assets or liabilities.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A description of the valuation methodologies used for instruments measured at fair value, as well
as the general classification of such instruments pursuant to the fair value hierarchy, is set
forth below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities available for sale are valued at fair value on a recurring basis. The fair values of
securities available for sale is determined by obtaining quoted prices on nationally recognized
securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique widely
used in the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-32<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">industry to value debt securities without relying exclusively on quoted prices for the specific
securities but rather by relying on the securities&#146; relationship to other benchmark quoted
securities (Level 2 inputs). The Level 3 investments consisted of Trust Preferred Securities which
are issued by financial institutions and insurance companies. The decline in the level of
observable inputs and market activity in this class of investments by the measurement date has been
significant and resulted in unreliable external pricing. Broker pricing and bid/ask spreads, when
available, vary widely. There are currently very few market participants who are willing and/or
able to transact for these securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In accordance with SFAS No.&nbsp;157, certain financial assets and financial liabilities are measured at
fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an
ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when
there is evidence of impairment). Financial assets or liabilities required to be measured at fair
value on a nonrecurring basis include impaired loans and loans held for sale.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Certain impaired loans are reported at the fair value of underlying collateral if repayment is
expected solely from the collateral. Collateral values are estimated using Level 2 inputs based on
observable market data or Level 3 inputs based on customized discounting. As of June&nbsp;30, 2009 and
December&nbsp;31, 2008, impaired loans with carrying values of $5,122 and $5,272, respectively, had
specific valuation allowances of $1,135 and $683, respectively. Total reported fair value of
$3,987 and $4,589 as of June&nbsp;30, 2009 and December&nbsp;31, 2008, respectively, were based on collateral
valuation utilizing Level 2 valuation inputs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Loans held for sale are classified within Level 2 of the valuation hierarchy. The Company obtains
fair value measurements for loans held for sale from commitments on hand from investors or
prevailing market rates.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-33<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Assets and liabilities measured at fair value on a recurring and nonrecurring basis are summarized
below:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000">Fair Value Measurements at June 30, 2009 (unaudited), Using</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000">Total Fair Value at</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 1 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 2 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 3 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">June 30, 2009</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Measured on a recurring basis:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">178,131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">183,993</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Measured on a nonrecurring basis:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Impaired loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,987</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,987</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Loans held for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">425</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">425</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="10" style="border-bottom: 1px solid #000000">Fair Value Measurements at December 31, 2008, Using</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000">Total Fair Value at</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 1 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 2 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Level 3 Inputs</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">December 31, 2008</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Measured on a recurring basis:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Securities available for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">224,029</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">230,304</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Measured on a nonrecurring basis:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Impaired loans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,589</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,589</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Loans held for sale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">160</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">160</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The table below presents a reconciliation and income statement classification of gains and losses
for all assets measured at fair value on a recurring basis using significant unobservable inputs
(Level 3) for the six months ended June&nbsp;30, 2009 (unaudited):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Securities</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">available for sale</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Beginning balance, January&nbsp;1, 2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total gains or losses (realized / unrealized)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Included in earnings:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Interest income on securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Included in other comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(383</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Purchases, issuances and settlements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(46</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Transfers into Level 3</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ending balance, June&nbsp;30, 2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,862</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-34<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The table below presents a reconciliation and income statement classification of gains and losses
for all assets measured at fair value on a recurring basis using significant unobservable inputs
(Level 3) for the year ended December&nbsp;31, 2008:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Securities</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">available for sale</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Beginning balance, January&nbsp;1, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total gains or losses (realized / unrealized)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total gains or losses included in other
comprehensive income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,533</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Purchases, issuances and settlements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,808</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Transfers into Level 3</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ending balance, December&nbsp;31, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">6,275</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">No changes in unrealized gains or losses were recorded through earnings for the six months ended
June&nbsp;30, 2009 or the year ended December&nbsp;31, 2008 for the assets measured using significant
unobservable inputs (Level 3 Inputs).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">FASB Statement No.&nbsp;159, &#147;The Fair Value Option for Financial Assets and Financial Liabilities,&#148;
(&#147;FASB 159&#148;) allows entities the option, at specified election dates, to measure financial assets
and financial liabilities at fair value. The election is made on an instrument-by-instrument basis
and is irrevocable. If the fair value option is elected for an instrument, FASB 159 specifies that
all subsequent changes in fair value for that instrument must be reported in earnings. As of June
30, 2009, the Company&#146;s balance sheet did not include any financial assets or liabilities for which
the fair value option of FASB Statement No.&nbsp;169 had been elected.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">SFAS No.&nbsp;107, &#147;Disclosures about Fair Value of Financial Instruments,&#148; requires disclosure of the
fair value of financial assets and financial liabilities, including those financial assets and
financial liabilities that are not measured and reported at fair value on a recurring basis or
non-recurring basis.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The methodologies for estimating the fair value of financial assets and financial liabilities that
are measured at fair value on a recurring or non-recurring basis are discussed above. The
methodologies for the other financial assets and financial liabilities are discussed below:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>&nbsp;</I></TD>
    <TD width="1%"><I>&nbsp;</I></TD>
    <TD><I>Cash and cash equivalents: </I>The carrying amounts for cash and cash equivalents approximate
fair values.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>&nbsp;</I></TD>
    <TD width="1%"><I>&nbsp;</I></TD>
    <TD><I>Accrued interest receivable and payable: </I>The carrying amounts for accrued interest
receivable and payable approximate fair values.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>&nbsp;</I></TD>
    <TD width="1%"><I>&nbsp;</I></TD>
    <TD><I>Other investments: </I>The carrying amount for other investments, which consist primarily of
Federal Home Loan Bank stock approximate fair values.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->F-35<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%"><I>Loans: </I>The estimated fair value for all fixed rate loans is determined by discounting the
estimated cash flows using the current rate at which similar loans would be made to
borrowers with similar credit ratings and maturities. The estimated fair value for variable
rate loans is the carrying amount. The impact of delinquent loans on the estimation of the
fair values described above is not considered to have a material effect and, accordingly,
delinquent loans have been disregarded in the valuation methodologies employed.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%"><I>Deposits: </I>The estimated fair value of demand deposit accounts is the carrying amount. The
fair value of fixed-maturity certificates is estimated by discounting the estimated cash
flows using the current rate at which similar certificates would be issued.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%"><I>Borrowed Funds: </I>The estimated fair value for borrowed funds is determined by discounting
the estimated cash flows using the current rate at which similar borrowings would be made
with similar ratings and maturities.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%"><I>Off-balance sheet financial instruments: </I>The fair values for the Company&#146;s off-balance
sheet commitments are estimated based on fees charged to others to enter into similar
agreements taking into account the remaining terms of the agreements and credit standing of
the members. The estimated fair value of these commitments is not significant.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The carrying amount and estimated fair value of the Company&#146;s financial instruments at June&nbsp;30,
2009, December&nbsp;31, 2008 and December&nbsp;31, 2007 are summarized as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">June 30, 2009 (unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31, 2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31, 2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Carrying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Carrying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Carrying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Fair</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Value</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Amount</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Value</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Financial assets:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">53,196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">53,196</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">41,242</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19,036</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,287</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,014</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,014</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,065</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,065</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loans, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">725,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">730,692</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">715,774</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">721,093</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">707,099</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">705,260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accrued interest receivable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,502</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,502</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,921</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,921</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,883</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,883</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Financial liabilities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Deposits</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">759,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">762,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">739,846</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">744,161</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">729,895</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">725,653</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Federal Home Loan Bank
advances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">117,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">118,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">169,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">171,466</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">156,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">157,553</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other secured borrowings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64,848</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58,664</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">64,621</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">66,156</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">67,703</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accrued interest payable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,512</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,512</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,835</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,835</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Off-balance sheet financial
instruments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Loan commitments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Letters of credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-36<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 15 &#151; Financial Instruments with Off-Balance Sheet Risk</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company is a party to financial instruments with off-balance sheet risk in the normal course of
business to meet the financing needs of its customers. These financial instruments include loan
commitments, standby letters of credit and documentary letters of credit. The instruments involve,
to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in
the financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company&#146;s exposure to credit loss in the event of non-performance by the other party of these
loan commitments and standby letters of credit is represented by the contractual amount of those
instruments. The Company uses the same credit policies in making commitments and conditional
obligations as it does for on-balance sheet instruments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Outstanding commitments to extend credit and standby letters of credit are summarized as follows at
June&nbsp;30, 2009, December&nbsp;31, 2008 and December&nbsp;31, 2007:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 0px solid #000000">June 30,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000">December 31,</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">2007</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="2">(unaudited)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commitments to extend credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">30,004</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">35,269</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">51,792</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Standby letters of credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,052</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">910</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,337</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">31,056</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">36,179</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">54,129</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Loan commitments are agreements to lend to a customer as long as there is no customer violation of
any condition established in the contract. Commitments generally have fixed expiration dates or
other termination clauses and may require payment of a fee. Standby letters of credit are
conditional commitments by the Company to guarantee the performance of a customer to a third party.
The credit risk involved in issuing letters of credit is essentially the same as that involved in
extending loan facilities to customers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Since many of the loan commitments and letters of credit may expire without being drawn upon, the
total commitment amount does not necessarily represent future cash requirements. The Company
evaluates each customer&#146;s credit worthiness on a case-by-case basis. The amount of collateral
obtained, if deemed necessary by the Company upon extension of credit, is based on management&#146;s
credit evaluation of the counterparty. Collateral held varies but may include accounts receivable,
inventory, property, plant and equipment, owner-occupied real estate and income-producing
commercial properties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 16 &#151; Litigation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company is involved in legal actions arising in the ordinary course of business. It is the
opinion of management, after reviewing such actions with outside legal counsel, that the settlement
of these
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->F-37<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">matters will not materially affect the Company&#146;s financial position, results of operations or cash
flows.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 17 &#151; Plan of Reorganization</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On January&nbsp;30, 2007, the Company&#146;s Board of Directors adopted a Plan of Mutual Holding Company
Reorganization and Stock Issuance (&#147;Plan&#148;). Under the Plan, the Bank planned to reorganize into a
federally chartered capital stock savings bank as part of a federally chartered mutual holding
company structure, including the establishment of a federal stock holding company that would have
been a majority-owned subsidiary of the mutual holding company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As part of the Plan, the federal stock holding company intended to conduct a minority stock
offering. Shares issued in that offering would have been registered with the Securities and
Exchange Commission. The Plan established December&nbsp;31, 2004 as the eligibility record date for
determining members of the Bank who were eligible accountholders entitled to receive
nontransferable subscription rights to subscribe for the common stock of the federal stock holding
company. After the stock offering provided for in the Plan, depositors of the Bank would have been
members of the federally chartered mutual holding company, which would have continued to own a
majority of the federal stock holding company&#146;s outstanding shares of common stock. The normal
business of the Bank would have continued without interruption. Deposit and savings accounts would
have continued to be insured by the Federal Deposit Insurance Corporation, an agency of the federal
government.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On February&nbsp;13, 2007, the Board determined it was appropriate to delay proceeding with the Plan
after the unexpected death of the President and CEO. Due to the passage of time and its effect on
material terms of the Plan, including the various eligibility record dates for members, the Board
determined that it was in the best interests of the Bank and its members to terminate the Plan
effective December&nbsp;18, 2008. Deferred costs associated with the Plan of $537 and $270 were charged
to operations during the years ended December&nbsp;31, 2008 and 2007, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On June&nbsp;23, 2009, the Board of Directors of the Company adopted a Plan of Conversion (the &#147;2009
Plan&#148;) whereby the Bank will convert from a federally chartered mutual savings bank to a federally
chartered stock savings bank. The 2009 Plan provides for the formation of a holding company (the
Holding Company) that will own 100% of the common stock of the Bank. Holding Company stock will be
offered on a priority basis to qualifying depositors of the Bank, tax-qualified employee benefit
plans sponsored by the Bank and others in a subscription offering, with any remaining shares to be
offered to the public in a direct community offering and possibly in a syndicated community
offering. The 2009 Plan is subject to approval by the Office of Thrift Supervision (&#147;OTS&#148;) and by
the Company&#146;s depositors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The costs
associated with the above transaction will be deferred and deducted from the proceeds of
the offering. If the transaction is not completed, all deferred costs will be charged
to
operations. As of June&nbsp;30, 2009, the Company had incurred $60 of
such costs, which are
included in other assets on the balance sheets. Organization costs
are expensed as incurred.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->F-38<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>OmniAmerican Bank</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notes to Financial Statements<BR>
(Dollars in thousands)

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>NOTE 18 &#151; Subsequent Events</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In August&nbsp;2009, the largest identity theft operation ever conducted in the United States was
exposed. The identity theft operation included the theft of information from a number of retail
companies and Heartland Payment Systems, a major payment transaction processing center utilized by
many merchants. As a result of this recent identity theft operation, a number of the Bank&#146;s
customers who had their debit card transactions processed through Heartland Payment Systems had
their customer information breached. The Bank has remediated the problem and is working with its
insurance provider to process a claim associated with the costs resulting from the breach to
Heartland Payment Systems. Management currently estimates that the cost of the identity theft will
be approximately $1,300, which includes the incurred losses resulting directly from the identity
theft and the costs to reissue debit cards. At this time, the Bank is unable to determine the
extent to which its insurance will cover the costs associated with the identity theft.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->F-39<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>You should rely only on the information contained in this document or that to which we have
referred you. No person has been authorized to give any information or to make any representation
other than as contained in this prospectus and, if given or made, such other information or
representation must not be relied upon as having been authorized by OmniAmerican Bancorp, Inc. or
OmniAmerican Bank. This prospectus does not constitute an offer to sell or a solicitation of an
offer to buy any of the securities offered hereby to any person in any jurisdiction in which such
offer or solicitation is not authorized or in which the person making such offer or solicitation is
not qualified to do so, or to any person to whom it is unlawful to make such offer or solicitation
in such jurisdiction. Neither the delivery of this prospectus nor any sale hereunder shall under
any circumstances create any implication that there has been no change in the affairs of
OmniAmerican Bancorp, Inc. or OmniAmerican Bank since any of the dates as of which information is
furnished herein or since the date hereof.</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>OMNIAMERICAN BANCORP, INC.</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>(Proposed Holding Company for<BR>
OmniAmerican Bank)</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Up to 10,350,000 Shares of<BR>
Common Stock<BR>
Par value $0.01 per share<BR>
(Subject to Increase to up to 11,902,500 Shares)</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>PROSPECTUS</B>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 0pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 10pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>K</B><FONT style="font-variant: SMALL-CAPS"><B>eefe</B></FONT><B>, B</B><FONT style="font-variant: SMALL-CAPS"><B>ruyette</B></FONT><B> &#038; W</B><FONT style="font-variant: SMALL-CAPS"><B>oods</B></FONT>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>&#091;prospectus date&#093;</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>Until &#091;expiration date&#093; or 25&nbsp;days after commencement of the syndicated community offering, if any,
whichever is later, all dealers that effect transactions in these securities, whether or not
participating in this offering, may be required to deliver a prospectus. This is in addition to
the dealers&#146; obligation to deliver a prospectus when acting as underwriters and with respect to
their unsold allotments or subscriptions.</B>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">








<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>PART II: INFORMATION NOT REQUIRED IN PROSPECTUS</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt"><B>Item&nbsp;13. Other Expenses of Issuance and Distribution</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="80%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><U>Amount(1)</U></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Registrant&#146;s Legal Fees and Expenses
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">$</TD>
    <TD align="right" valign="top">625,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Registrant&#146;s Accounting Fees and Expenses
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">225,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conversion Agent and Data Processing Fees
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">110,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Marketing Agent Fees(1)
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1,013,125</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Marketing Agent Expenses (Including Legal Fees and Expenses)
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">125,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Appraisal Fees and Expenses
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">72,500</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Printing, Postage, Mailing and EDGAR Fees
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">300,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Filing Fees (OTS, Nasdaq, FINRA and SEC)
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">131,045</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Business Plan Fees and Expenses
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">41,000</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Other
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">51,960</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Total
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">$</TD>
    <TD align="right" valign="top">2,694,630</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">Estimated</DIV></TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">OmniAmerican Bancorp, Inc. has retained Keefe, Bruyette &#038; Woods, Inc. to assist in the sale
of common stock on a best efforts basis in the offerings. Fees are estimated at the adjusted
maximum of the offering range.</DIV></TD>
</TR>

</TABLE>



<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;14. Indemnification of Directors and Officers</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Articles 10 and 11 of the Articles of Incorporation of OmniAmerican Bancorp, Inc. (the
&#147;Corporation&#148;) set forth circumstances under which directors, officers, employees and agents of the
Corporation may be insured or indemnified against liability which they incur in their capacities as
such:
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U><B>ARTICLE 10. Indemnification, etc. of Directors and Officers.</B></U>
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>A.&nbsp;Indemnification. </B>The Corporation shall indemnify (1)&nbsp;its current and former directors and
officers, whether serving the Corporation or at its request any other entity, to the fullest extent
required or permitted by the MGCL now or hereafter in force, including the advancement of expenses
under the procedures and to the fullest extent permitted by law, and (2)&nbsp;other employees and agents
to such extent as shall be authorized by the Board of Directors and permitted by law; provided,
however, that, except as provided in Section&nbsp;B of this Article&nbsp;10 with respect to proceedings to
enforce rights to indemnification, the Corporation shall indemnify any such indemnitee in
connection with a proceeding (or part thereof) initiated by such indemnitee only if such proceeding
(or part thereof) was authorized by the Board of Directors of the Corporation.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>B.&nbsp;Procedure. </B>If a claim under Section&nbsp;A of this Article&nbsp;10 is not paid in full by the
Corporation within sixty (60)&nbsp;days after a written claim has been received by the Corporation,
except in the case of a claim for an advancement of expenses, in which case the applicable period
shall be twenty (20)&nbsp;days, the indemnitee may at any time thereafter bring suit against the
Corporation to recover the unpaid amount of the claim. If successful in whole or in part in any
such suit, or in a suit brought by the Corporation to recover an advancement of expenses pursuant
to the terms of an undertaking, the indemnitee shall also be entitled to be reimbursed the expense
of prosecuting or defending such suit. It shall be a defense to any action for advancement of
expenses that the Corporation has not received both (i)&nbsp;an undertaking as required by law to repay
such advances in the event it shall ultimately be determined that the standard of conduct has not
been met and (ii)&nbsp;a written affirmation by the indemnitee of his good faith belief that the
standard of conduct necessary for indemnification by the Corporation has been met. In (i)&nbsp;any suit
brought by the indemnitee to enforce a right to indemnification hereunder (but not in a suit
brought by the indemnitee to enforce a right to an advancement of expenses) it shall be a defense
that, and (ii)&nbsp;any suit by the Corporation to recover an advancement of expenses pursuant to the
terms of an undertaking the Corporation shall be entitled to recover such expenses upon a final
adjudication that, the indemnitee has not met the applicable standard for indemnification set forth
in the MGCL. Neither the failure of the Corporation (including its Board of Directors, independent
legal counsel, or its stockholders) to have made a determination prior to the commencement of such
suit
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->II-1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">that indemnification of the indemnitee is proper in the circumstances because the indemnitee
has met the applicable standard of conduct set forth in the MGCL, nor an actual determination by
the Corporation (including its Board of Directors, independent legal counsel, or its stockholders)
that the indemnitee has not met such applicable standard of conduct, shall create a presumption
that the indemnitee has not met the applicable standard of conduct or, in the case of such a suit
brought by the indemnitee, be a defense to such suit. In any suit brought by the indemnitee to
enforce a right to indemnification or to an advancement of expenses hereunder, or by the
Corporation to recover an advancement of expenses pursuant to the terms of an undertaking, the
burden of proving that the indemnitee is not entitled to be indemnified, or to such advancement of
expenses, under this Article&nbsp;10 or otherwise shall be on the Corporation.
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>C.&nbsp;Non-Exclusivity. </B>The rights to indemnification and to the advancement of expenses
conferred in this Article&nbsp;10 shall not be exclusive of any other right that any Person may have or
hereafter acquire under any statute, these Articles, the Corporation&#146;s Bylaws, any agreement, any
vote of stockholders or the Board of Directors, or otherwise.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>D.&nbsp;Insurance. </B>The Corporation may maintain insurance, at its expense, to insure itself and
any director, officer, employee or agent of the Corporation or another corporation, partnership,
joint venture, trust or other enterprise against any expense, liability or loss, whether or not the
Corporation would have the power to indemnify such Person against such expense, liability or loss
under the MGCL.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>E.&nbsp;Miscellaneous. </B>The Corporation shall not be liable for any payment under this Article&nbsp;10
in connection with a claim made by any indemnitee to the extent such indemnitee has otherwise
actually received payment under any insurance policy, agreement, or otherwise, of the amounts
otherwise indemnifiable hereunder. The rights to indemnification and to the advancement of
expenses conferred in Sections&nbsp;A and B of this Article&nbsp;10 shall be contract rights and such rights
shall continue as to an indemnitee who has ceased to be a director or officer and shall inure to
the benefit of the indemnitee&#146;s heirs, executors and administrators.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>F.&nbsp;Limitations Imposed by Federal Law</B>. Notwithstanding any other provision set forth in this
Article&nbsp;10, in no event shall any payments made by the Corporation pursuant to this Article&nbsp;10
exceed the amount permissible under applicable federal law, including, without limitation, Section
18(k) of the Federal Deposit Insurance Act and the regulations promulgated thereunder.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any repeal or modification of this Article&nbsp;10 shall not in any way diminish any rights to
indemnification or advancement of expenses of such director or officer or the obligations of the
Corporation arising hereunder with respect to events occurring, or claims made, while this Article
10 is in force.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>ARTICLE 11. Limitation of Liability. </B>An officer or director of the Corporation, as such,
shall not be liable to the Corporation or its stockholders for money damages, except (A)&nbsp;to the
extent that it is proved that the Person actually received an improper benefit or profit in money,
property or services, for the amount of the benefit or profit in money, property or services
actually received; or (B)&nbsp;to the extent that a judgment or other final adjudication adverse to the
Person is entered in a proceeding based on a finding in the proceeding that the Person&#146;s action, or
failure to act, was the result of active and deliberate dishonesty and was material to the cause of
action adjudicated in the proceeding; or (C)&nbsp;to the extent otherwise provided by the MGCL. If the
MGCL is amended to further eliminate or limit the personal liability of officers and directors,
then the liability of officers and directors of the Corporation shall be eliminated or limited to
the fullest extent permitted by the MGCL, as so amended.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any repeal or modification of the foregoing paragraph by the stockholders of the Corporation
shall not adversely affect any right or protection of a director or officer of the Corporation
existing at the time of such repeal or modification.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;15. Recent Sales of Unregistered Securities</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not Applicable.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->II-2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;16. Exhibits and Financial Statement Schedules:</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The exhibits and financial statement schedules filed as part of this registration statement
are as follows:
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(a)&nbsp;List of Exhibits</B>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="95%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Engagement Letter between OmniAmerican Bank and Keefe, Bruyette &#038; Woods, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Agency Agreement between OmniAmerican Bank and OmniAmerican Bancorp, Inc., and Keefe,
Bruyette &#038; Woods, Inc.*</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Plan of Conversion</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Articles of Incorporation of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Bylaws of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Common Stock Certificate of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Luse Gorman Pomerenk &#038; Schick, P.C. regarding legality of securities being registered</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">8
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Federal Tax Opinion of Luse Gorman Pomerenk &#038; Schick, P.C.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Employment Agreement between OmniAmerican Bank and Tim Carter dated May&nbsp;30, 2007</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Proposed Employment Agreement between OmniAmerican Bank, OmniAmerican Bancorp, Inc. and Tim
Carter</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Proposed Form of Change in Control Agreement between OmniAmerican Bank and each Senior
Executive Vice President</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">OmniAmerican Bank Employee Stock Ownership Plan</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">21
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Subsidiaries of Registrant</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Luse Gorman Pomerenk &#038; Schick, P.C. (contained in Opinions included as Exhibits 5 and 8)</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of McGladrey &#038; Pullen, LLP</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of RP Financial, LC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">24
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Power of Attorney (set forth on signature page)</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Appraisal Agreement between OmniAmerican Bank and RP Financial, LC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Letter of RP Financial, LC. with respect to Subscription Rights</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Appraisal Report of RP Financial, LC.**</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Marketing Materials</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Stock Order and Certification Form</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.6
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Business Plan Agreement with Feldman Financial Advisors, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.7
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conversion Agent Agreement between Keefe, Bruyette &#038; Woods, Inc. and OmniAmerican Bank</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">To be filed supplementally or by amendment.</DIV></TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">**</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">Supporting financial schedules filed in paper format only pursuant to Rule&nbsp;202 of Regulation
S-T. Available for inspection during business hours at the principal offices of the SEC in
Washington, D.C.</DIV></TD>
</TR>

</TABLE>



<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>(b)&nbsp;Financial Statement Schedules</B>
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No financial statement schedules are filed because the required information is not applicable
or is included in the consolidated financial statements or related notes.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;17. Undertakings</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned Registrant hereby undertakes:
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;To file, during any period in which it offers or sales are being made, a post-effective
amendment to this registration statement:
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) To include any prospectus required by Section&nbsp;10(a)(3) of the
Securities Act of 1933;
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->II-3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To reflect in the prospectus any facts or events arising after the effective
date of the registration statement (or the most recent post-effective amendment thereof)
which, individually or in the aggregate, represent a fundamental change in the
information set forth in the registration statement. Notwithstanding the foregoing, any
increase or decrease in volume of securities offered (if the total dollar value of
securities offered would not exceed that which was registered) and any deviation from
the low or high end of the estimated maximum offering range may be reflected in the form
of prospectus filed with the Commission pursuant to Rule 424(b) if, in the aggregate,
the changes in volume and price represent no more than a 20&nbsp;percent change in the
maximum aggregate offering price set forth in the &#147;Calculation of Registration Fee&#148;
table in the effective registration statement;
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) To include any material information with respect to the plan of distribution
not previously disclosed in the registration statement or any material change to such
information in the registration statement.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;That, for the purpose of determining any liability under the Securities Act of 1933, each
such post-effective amendment shall be deemed to be a new registration statement relating to the
securities offered therein, and the offering of such securities at that time shall be deemed to be
the initial bona fide offering thereof.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;To remove from registration by means of a post-effective amendment any of the securities
being registered which remain unsold at the termination of the offering.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)&nbsp;Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be
permitted to directors, officers and controlling persons of the registrant pursuant to the
foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the
Securities and Exchange Commission such indemnification is against public policy as expressed in
the Act, and is, therefore, unenforceable. In the event that a claim for indemnification against
such liabilities (other than the payment by the registrant of expenses incurred or paid by a
director, officer or controlling person of the registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person in connection with
the securities being registered, the registrant will, unless in the opinion of its counsel the
matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the
question whether such indemnification by it is against public policy as expressed in the Act and
will be governed by the final adjudication of such issue.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5)&nbsp;That, for the purpose of determining liability of the registrant under the Securities Act
of 1933 to any purchaser in the initial distribution of the securities:
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned registrant undertakes that in a primary offering of securities of the
undersigned registrant pursuant to this registration statement, regardless of the underwriting
method used to sell the securities to the purchaser, if the securities are offered or sold to such
purchaser by means of any of the following communications, the undersigned registrant will be a
seller to the purchaser and will be considered to offer or sell such securities to such purchaser:
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any preliminary prospectus or prospectus of the undersigned registrant relating
to the offering required to be filed pursuant to Rule&nbsp;424 (&#167;230.424 of this chapter);
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Any free writing prospectus relating to the offering prepared by or on behalf
of the undersigned registrant or used or referred to by the undersigned registrant;
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The portion of any other free writing prospectus relating to the offering
containing material information about the undersigned registrant or its securities
provided by or on behalf of the undersigned registrant; and
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Any other communication that is an offer in the offering made by the
undersigned registrant to the purchaser.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->II-4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6)&nbsp;That, for purposes of determining any liability under the Securities Act of 1933, the
information omitted from the form of prospectus filed as part of this registration statement in
reliance upon Rule&nbsp;430A and contained in a form of prospectus filed by the registrant pursuant to
Rule&nbsp;424(b)(1) or (4)&nbsp;or 497(h) under the Securities Act shall be deemed to be part of this
registration statement as of the time it was declared effective.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7)&nbsp;That, for the purpose of determining any liability under the Securities Act of 1933, each
post-effective amendment that contains a form of prospectus shall be deemed to be a new
registration statement relating to the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial bona fide offering thereof.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8)&nbsp;The undersigned registrant hereby undertakes to provide to the underwriter at the closing specified in the underwriting agreement, certificates in such denominations and registered in such names as required by the underwriter to permit prompt delivery to each purchaser.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->II-5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SIGNATURES</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Act of 1933, the registrant has duly caused
this registration statement to be signed on its behalf by the undersigned, thereunto duly
authorized in the City of Forth Worth, State of Texas on September&nbsp;10, 2009.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="55%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="left" valign="top"><B>OMNIAMERICAN BANCORP, INC.</B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Tim Carter</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Tim Carter<BR>
President and Chief Executive Officer<BR>
(Duly Authorized Representative)</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>


<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We, the undersigned directors and officers of OmniAmerican Bancorp, Inc. (the &#147;Company&#148;)
hereby severally constitute and appoint Tim Carter as our true and lawful attorney and agent, to do
any and all things in our names in the capacities indicated below which said Tim Carter may deem
necessary or advisable to enable the Company to comply with the Securities Act of 1933, and any
rules, regulations and requirements of the Securities and Exchange Commission, in connection with
the registration statement on Form S-1 relating to the offering of the Company&#146;s common stock,
including specifically, but not limited to, power and authority to sign for us in our names in the
capacities indicated below the registration statement and any and all amendments (including
post-effective amendments) thereto; and we hereby approve, ratify and confirm all that said Tim
Carter shall do or cause to be done by virtue thereof.
</DIV>

<DIV align="justify" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Act of 1933, this registration statement has
been signed by the following persons in the capacities and on the dates indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center"><U>Signatures</U></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><U>Title</U></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><U>Date</U></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Tim Carter<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Tim Carter</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
President, Chief
Executive Officer and
Director<BR>
(Principal
Executive Officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Deborah B. Wilkinson<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Deborah B. Wilkinson</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Executive Vice President
and Chief Financial
Officer<BR>
(Principal
Financial and Accounting
Officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Wayne P. Burchfield, Jr.<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Wayne P. Burchfield, Jr.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Chairman of the Board
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Elaine Anderson<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Elaine Anderson</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Vice Chairman of the Board
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Joan Anthony<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Joan Anthony</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Norm Carroll<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Norm Carroll</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Patti Callan<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Patti Callan</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ Pat Conley<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
Pat Conley</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ James Herring<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
James Herring</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<TR valign="bottom" style="padding-top: 1em">
    <TD align="left" nowrap valign="top">/s/ John Sammons, Jr.<BR>
<DIV style="font-size: 1pt; border-bottom: 1px solid #000000">&nbsp;</DIV>
John Sammons, Jr.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
Director
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">September 10, 2009</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>As filed with the Securities and Exchange Commission on September&nbsp;11, 2009</B>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Registration No.&nbsp;333-________</B>
</DIV>


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>









<DIV align="center">
<DIV style="font-size: 3pt; margin-top: 36pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>



<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Washington, D.C. 20549</B>
</DIV>


<DIV align="center">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>




<DIV align="center" style="font-size: 12pt; margin-top: 96pt"><B>EXHIBITS<BR>
TO<BR>
REGISTRATION STATEMENT<BR>
ON<BR>
FORM S-1</B>
</DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 200pt"><B>OmniAmerican Bancorp, Inc.</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Fort Worth, Texas</B>
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 36pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>







<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">








<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>EXHIBIT INDEX</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="95%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Engagement Letter between OmniAmerican Bank and Keefe, Bruyette &#038; Woods, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Agency Agreement between OmniAmerican Bank and OmniAmerican Bancorp, Inc., and Keefe,
Bruyette &#038; Woods, Inc.*</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Plan of Conversion</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Articles of Incorporation of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Bylaws of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Common Stock Certificate of OmniAmerican Bancorp, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Opinion of Luse Gorman Pomerenk &#038; Schick, P.C. regarding legality of securities being registered</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">8
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Federal Tax Opinion of Luse Gorman Pomerenk &#038; Schick, P.C.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Employment Agreement between OmniAmerican Bank and Tim Carter dated May&nbsp;30, 2007</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Proposed Employment Agreement between OmniAmerican Bank, OmniAmerican Bancorp, Inc. and Tim
Carter</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Proposed Form of Change in Control Agreement between OmniAmerican Bank and each Senior
Executive Vice President</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">OmniAmerican Bank Employee Stock Ownership Plan</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">21
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Subsidiaries of Registrant</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of Luse Gorman Pomerenk &#038; Schick, P.C. (contained in Opinions included as Exhibits 5 and 8)</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of McGladrey &#038; Pullen, LLP</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">23.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Consent of RP Financial, LC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">24
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Power of Attorney (set forth on signature page)</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Appraisal Agreement between OmniAmerican Bank and RP Financial, LC.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.2
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Letter of RP Financial, LC. with respect to Subscription Rights</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.3
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Appraisal Report of RP Financial, LC.**</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.4
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Marketing Materials</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.5
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Stock Order and Certification Form</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.6
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Business Plan Agreement with Feldman Financial Advisors, Inc.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">99.7
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Conversion Agent Agreement between Keefe, Bruyette &#038; Woods, Inc. and OmniAmerican Bank</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">To be filed supplementally
or by amendment.</DIV></TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">**</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="text-align: justify">Supporting financial schedules filed in paper format only pursuant to Rule&nbsp;202 of Regulation
S-T. Available for inspection during business hours at the principal offices of the SEC in
Washington, D.C.</DIV></TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 18pt; margin-top: 68pt"><B>FORM S-1</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 38pt"><B>REGISTRATION STATEMENT UNDER<BR>
THE SECURITIES ACT OF 1933</B>
</DIV>


<DIV align="center" style="font-size: 24pt; margin-top: 58pt"><B>OmniAmerican Bancorp, Inc. and</B>

</DIV>


<DIV align="center" style="font-size: 20pt; margin-top: 0pt"><B>OmniAmerican Bank 401(k) Profit Sharing Plan</B>
</DIV>


<DIV align="center" style="font-size: 27pt; margin-top: 108pt"><B>EXHIBIT
VOLUME</B>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>



</BODY>
</HTML>
[{"type": "S-1", "sequence": "1", "filename": "g20470sv1.htm", "description": "OMNIAMERICAN BANCORP, INC.", "secsgml_size_bytes": 2336319}]
{"company-data": {"conformed-name": "OmniAmerican Bancorp, Inc.", "cik": "0001470795", "irs-number": "000000000", "state-of-incorporation": "MD", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-1", "act": "33", "file-number": "333-161894", "film-number": "091066102"}, "business-address": {"street1": "1320 S. UNIVERSITY DRIVE", "street2": "SUITE 900", "city": "FORT WORTH", "state": "TX", "zip": "76107", "phone": "(817) 367-4640"}, "mail-address": {"street1": "1320 S. UNIVERSITY DRIVE", "street2": "SUITE 900", "city": "FORT WORTH", "state": "TX", "zip": "76107"}}
OMNIAMERICAN BANCORP, INC.
Table of Contents
As filed with the Securities and Exchange Commission on September 11, 2009
Registration No. 333-________
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM S-1
REGISTRATION STATEMENT UNDER
THE SECURITIES ACT OF 1933
OmniAmerican Bancorp, Inc. and
OmniAmerican Bank 401(k) Profit Sharing Plan
(Exact Name of Registrant as Specified in Its Charter)
Maryland
6712
Being applied for
(State or Other Jurisdiction of
(Primary Standard Industrial
(I.R.S. Employer
Incorporation or Organization)
Classification Code Number)
Identification Number)
1320 S. University Drive, Suite 900
Fort Worth, Texas 76107
(817) 367-4640
(Address, Including Zip Code, and Telephone Number, Including Area Code, of Registrant's Principal Executive Offices)
Mr. Tim Carter
President and Chief Executive Officer
1320 S. University Drive, Suite 900
Fort Worth, Texas 76107
(817) 367-4640
(Address, Including Zip Code, and Telephone Number, Including Area Code, of Agent for Service)
Copies
to:
Eric Luse, Esq.
Alan Schick, Esq.
Luse Gorman Pomerenk & Schick, P.C.
5335 Wisconsin Avenue, N.W., Suite 780
Washington, D.C. 20015
(202) 274-2000
James C. Stewart, Esq.
Malizia Spidi & Fisch, PC
901 New York Avenue, N.W.
Suite 210 East
Washington, D.C. 20001
(202) 434-4660
Approximate date of commencement of proposed sale to the public:
As soon as practicable after this
registration statement becomes effective.
If any of the securities being registered on this Form are to be offered on a delayed or continuous
basis pursuant to Rule 415 under the Securities Act of 1933, check the following box:
x
If this
Form is filed to register additional securities for an offering pursuant to Rule 462(b) under
the Securities Act, please check the following box and list the Securities Act registration
statement number of the earlier effective registration statement for the same offering:
o
If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act,
check the following box and list the Securities Act registration statement number of the earlier
effective registration statement for the same offering:
o
If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act,
check the following box and list the Securities Act registration statement number of the earlier
effective registration statement for the same offering:
o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated
filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.
(Check one):
Large accelerated filer
o
Accelerated filer
o
Non-accelerated filer
x
Smaller reporting company
o
(Do not check if a smaller reporting company)
CALCULATION OF REGISTRATION FEE
Title of each class of
Amount to be
Proposed maximum
Proposed maximum
Amount of
securities to be registered
registered
offering price per share
aggregate offering price
registration fee
Common Stock, $0.01 par value per share
11,902,500 shares
$10.00
$119,025,000 (1)
$6,642
Participation interests
560,392
interests
(2)
(1)
Estimated solely for the purpose of calculating the registration fee.
(2)
The securities of OmniAmerican Bancorp, Inc. to be purchased by the OmniAmerican Bank 401(k)
Profit Sharing Plan are included in the amount shown for the common stock. Accordingly, no
separate fee is required for the participation interests. In accordance with Rule 457(h) of
the Securities Act of 1933, as amended, the registration fee has been calculated on the basis
of the number of shares of common stock that may be purchased with the current assets of such
Plan.
The registrant hereby amends this registration statement on such date or dates as may be necessary
to delay its effective date until the registrant shall file a further amendment which specifically
states that this registration shall thereafter become effective in accordance with Section 8(a) of
the Securities Act of 1933 or until the registration statement shall become effective on such date
as the Securities and Exchange Commission, acting pursuant to said Section 8(a), may determine.
Table of Contents
Prospectus Supplement
Interests in
OMNIAMERICAN BANK
401(k) PROFIT SHARING PLAN
Offering of Participation Interests in up to 560,392 Shares of
OMNIAMERICAN BANCORP, INC.
Common Stock
In connection with the conversion of OmniAmerican Bank from the mutual to the stock form of
organization, OmniAmerican Bancorp, Inc. is allowing participants in the OmniAmerican Bank 401(k)
Profit Sharing Plan (the "Plan") to invest all or a portion of their accounts in participation
interests in the common stock of OmniAmerican Bancorp, Inc. Based upon the value of the Plan
assets at June 30, 2009, OmniAmerican Bancorp, Inc. has registered a number of participation
interests through the Plan in order to enable the trustee to purchase up to 560,392 shares of
OmniAmerican Bancorp, Inc. common stock, at the purchase price of $10.00 per share. This
prospectus supplement relates to the initial election of Plan participants to direct the trustee of
the Plan to invest all or a portion of their Plan accounts in the OmniAmerican Bancorp, Inc. Stock
Fund at the time of the stock offering.
The prospectus of OmniAmerican Bancorp, Inc. dated
, 2009, accompanies this
prospectus supplement. It contains detailed information regarding the conversion and stock
offering of OmniAmerican Bancorp, Inc. common stock and the financial condition, results of
operations and business of OmniAmerican Bancorp, Inc. and OmniAmerican Bank. This prospectus
supplement provides information regarding the Plan. You should read this prospectus supplement
together with the prospectus and keep both for future reference.
For a discussion of risks that you should consider, see the "Risk Factors" section of the
prospectus.
The interests in the Plan and the offering of OmniAmerican Bancorp, Inc. common stock have not
been approved or disapproved by the Office of Thrift Supervision, the Securities and Exchange
Commission or any other federal or state agency. Any representation to the contrary is a criminal
offense.
The securities offered in this prospectus supplement and in the prospectus are not deposits or
accounts and are not federally insured or guaranteed by the Federal Deposit Insurance Corporation or any
other government agency.
Table of Contents
This prospectus supplement may be used only in connection with offers and sales by
OmniAmerican Bancorp, Inc. of participation interests in shares of common stock acquired by the
Plan. No one may use this prospectus supplement to re-offer or resell interests or shares of
common stock acquired through the Plan.
You should rely only on the information contained in this prospectus supplement and the
accompanying prospectus. OmniAmerican Bancorp, Inc., OmniAmerican Bank and the Plan have not
authorized anyone to provide you with information that is different.
This prospectus supplement does not constitute an offer to sell or solicitation of an offer to
buy any securities in any jurisdiction to any person to whom it is unlawful to make an offer or
solicitation in that jurisdiction. Neither the delivery of this prospectus supplement and the
prospectus nor any sale of common stock or participation interests representing an ownership
interest in OmniAmerican Bancorp, Inc. common stock shall under any circumstances imply that there
has been no change in the affairs of OmniAmerican Bancorp, Inc. or any of its subsidiaries or the
Plan since the date of this prospectus supplement, or that the information contained in this
prospectus supplement or incorporated by reference is correct as of any time after the date of this
prospectus supplement.
The date of this prospectus supplement is
, 2009.
TABLE OF CONTENTS
THE OFFERING
1
Securities Offered
1
Election to Purchase Common Stock in the Offering: Priorities
1
Value of the Plan Assets
3
Minimum Investment
3
How to Order
4
Order Deadline
5
Irrevocability of Transfer Direction
5
Other Purchases in Your Account During the Offering Period
6
Direction to Purchase or Sell Common Stock after the Offering
6
Purchase Price of Common Stock
6
Voting Rights of Common Stock
6
DESCRIPTION OF THE PLAN
7
Introduction
7
Eligibility and Participation
7
Contributions Under the Plan
7
Vesting
9
Withdrawals and Distributions from the Plan
9
Investment of Contributions and Account Balances
10
Performance History
11
Description of the Investment Funds
12
Administration of the Plan
17
Amendment and Termination
17
Merger, Consolidation or Transfer
18
Federal Income Tax Consequences
18
Notice of Your Rights Concerning Employer Securities
19
Additional ERISA Considerations
20
Securities and Exchange Commission Reporting and Short-Swing Profit Liability
20
Financial Information Regarding Plan Assets
21
LEGAL OPINION
21
EX-1.1 ENGAGEMENT LETTER
EX-2 PLAN OF CONVERSION
EX-3.1 ARTICLES OF INCORPORATION
EX-3.2 BYLAWS
EX-4 FORM OF COMMON STOCK CERTIFICATE
EX-5 OPINION OF LUSE GORMAN POMERENK & SCHICK, P.C.
EX-8 FORM OF FEDERAL TAX OPINION OF LUSE GORMAN POMERENK & SCHICK P.C.
EX-10.1 EMPLOYMENT AGREEMENT/TIM CARTER
EX-10.2 PROPOSED EMPLOYMENT AGREEMENT/TIM CARTER
EX-10.3 PROPOSED FORM OF CHANGE IN CONTROL AGREEMENT
EX-10.4 OMNIAMERICAN BANK EMPLOYEE STOCK OWNERSHIP PLAN
EX-21 SUBSIDIARIES OF REGISTRANT
EX-23.2 CONSENT OF MCGLADNEY & PULLEN, LLP
EX-23.3 CONSENT OF RP FINANCIAL, LC.
EX-99.1 APPRAISAL AGREEMENT
EX-99.2 LETTER OF RP FINANCIAL, LC WITH RESPECT TO SUBSCRIPTION RIGHTS
EX-99.3 APPRAISAL REPORT
EX-99.4 MARKETING MATERIALS
EX-99.5 STOCK ORDER AND CERTIFICATION FORM
EX-99.6 BUSINESS PLAN AGREEMENT
EX-99.7 CONVERSION AGENT AGREEMENT
Table of Contents
THE OFFERING
Securities Offered
In connection with the initial stock offering of
OmniAmerican Bancorp, Inc., OmniAmerican Bancorp, Inc.
is offering participation interests to participants in
the OmniAmerican Bank 401(k) Profit Sharing Plan (the
"Plan"). The participation interests represent your
indirect ownership of OmniAmerican Bancorp, Inc. common
stock through the OmniAmerican Bancorp, Inc. Stock Fund
being established under the Plan in connection with the
stock offering. At the purchase price of $10 per
share, the Plan may acquire up to 560,392 shares of
OmniAmerican Bancorp, Inc. common stock in the stock
offering, based on the fair market value of the Plan's
assets as of June 30, 2009. Only employees of
OmniAmerican Bank may become participants in the Plan.
Your investment in the shares of common stock of
OmniAmerican Bancorp, Inc. in the stock offering
through the OmniAmerican Bancorp, Inc. Stock Fund is
subject to the purchase priorities contained in the
Plan of Conversion of OmniAmerican Bank.
Information with regard to the Plan is contained in
this prospectus supplement and information with regard
to the financial condition, results of operations and
business of OmniAmerican Bancorp, Inc. is contained in
the accompanying prospectus. The address of the
principal executive office of OmniAmerican Bancorp,
Inc. and OmniAmerican Bank is 1320 South University
Drive, Suite 900, Fort Worth, TX 76107. OmniAmerican
Bank's telephone number is (817)-246-0111.
All elections to purchase participation interests in
the OmniAmerican Bancorp, Inc. Stock Fund in the stock
offering and any questions about this prospectus
supplement should be addressed to Benefits Manager,
telephone number: (817) 367-4645; fax (817) 367-5483
or by e-mail at
Gina.Heppel@omniamerican.com
.
Election to Purchase Common Stock in
the Offering: Priorities
In connection with the conversion
of OmniAmerican Bank to a stock
institution as the wholly-owned
subsidiary of OmniAmerican Bancorp,
Inc. and stock offering of the
common stock of OmniAmerican
Bancorp, Inc., you may elect to
transfer, all or part of your
account balances in the Plan to the
OmniAmerican Bancorp, Inc. Stock
Fund, to be used to purchase the
common stock issued in the stock
offering. The trustee of the
OmniAmerican Bancorp, Inc. Stock
Fund will purchase common stock of
OmniAmerican Bancorp, Inc. in
accordance with your directions.
However, such
1
Table of Contents
directions are
subject to purchase limitations in
the Plan of Conversion of
OmniAmerican Bank.
The shares of common stock are
being offered at $10 per share in a
subscription offering and community
offering. In the subscription
offering, the shares are being
offered in the following descending
order of priority:
Subscription offering:
(1)   First, to depositors of
OmniAmerican Bank with $50 or more
as of the close of business on
March 31, 2008.
(2)   Second, to OmniAmerican Bank's
tax-qualified plans, including the
employee stock ownership plan and
the Plan.
(3)   Third, to depositors of
OmniAmerican Bank with $50 or more
on deposit as of the close of
business on
.
(4)   Fourth, to depositors of
OmniAmerican Bank as of the close
of business on
.
If not all shares are subscribed
for in the subscription offering,
our shares will be offered in a
community offering to residents of
the Texas counties of Collin,
Dallas, Delta, Denton, Ellis, Hunt,
Hood, Kaufman, Johnson, Rockwall,
Parker, Tarrant, and Wise.
If you fall into subscription
categories (1), (3), or (4), you
have subscription rights to
purchase shares of OmniAmerican
Bancorp, Inc. common stock in the
subscription offering. You will
separately receive offering
materials in the mail, including a
Stock Order Form. If you wish to
purchase stock outside of the Plan,
you must complete and submit the
Stock Order Form and payment, to
the Stock Service Center.
Additionally, or instead of placing
an order outside of the Plan
through a Stock Order Form, as a
Plan participant, you may place an
order to purchase shares of common
stock of OmniAmerican Bancorp, Inc.
through the Plan, in the manner
described below under "How to
Order."
No later than
, the
deadline for placing orders in the
Plan, the amount that you elect to
transfer from your existing account
balances for the purchase of a
participation interest in the
shares of OmniAmerican Bancorp,
Inc. common stock in the Plan will
be removed from your existing
accounts and transferred to an
interest-bearing cash account
called the Stock Offering Option,
pending the closing of the stock
offering.
2
Table of Contents
At the closing of the stock
offering and subject to a
determination as to whether all or
any portion of your order may be
filled (based on your purchase
priority and whether the stock
offering is over subscribed), the
amount that you have transferred to
purchase common stock in the stock
offering will be placed in the
OmniAmerican Bancorp, Inc. Stock
Fund and allocated to your Plan
account.
In the event the stock offering is
oversubscribed,
i.e.
there are more
orders for shares of common stock
than shares available for sale in
the stock offering, and the trustee
is unable to use the full amount
allocated by you to purchase shares
of common stock in the stock
offering, the amount that cannot be
invested in shares of common stock,
and any interest earned, will be
reinvested in the other investment
funds of the Plan in accordance
with your then existing investment
election (in proportion to your
investment direction for future
contributions). If you do not have
an existing election as to the
investment of future contributions,
then such amounts will be
transferred to and invested in
Principal Lifetime Fund (based on
your age), pending your
reinvestment in another fund of
your choice.
If you choose not to direct the
investment of your account balances
towards the purchase of any shares
in the stock offering, your account
balances will remain in the
investment funds of the Plan as
previously directed by you.
Value of the Plan Assets
As of June 30, 2009, the market
value of the assets of the Plan was
approximately $5,874,709, which
included $270,782 in loans to
participants. Accordingly,
$5,603,920 is available to purchase
up to 560,392 shares of
OmniAmerican Bancorp, Inc. common
stock in the offering. A
participant in the Plan can
determine the current value of his
or her account balance by
contacting the Principal Retirement
Service Center at
www.principal.com
or by calling 1-800-547-7754.
Minimum and Maximum Investment
In connection with the stock
offering, the Plan will permit you
to direct the trustee to transfer
all or part of the funds that
represent your current beneficial
interest in the assets of the
401(k) Plan to the Stock Offering
Option. The trustee of the 401(k)
Plan will subscribe for shares of
OmniAmerican Bancorp, Inc. common
stock offered for sale in
connection with the stock offering,
in accordance with each
participant's direction. In order
to purchase participation interests
in shares in the stock offering
through the Plan, the minimum
investment is $250, which will
purchase 25 shares. The maximum
investment any individual can make
through the Plan is
3
Table of Contents
$300,000,
(which will purchase 30,000 shares)
or .10% of the total number of
shares issued in the offering.
These purchases when aggregated
with purchases made by you, your
"Associates" or other persons
"Acting in Concert" with you (as
these terms are defined in the
prospectus) cannot exceed $500,000
in the aggregate or 50,000 shares.
The trustee will pay $10.00 per
share, which will be the same price
paid by all persons who purchase
shares in the stock offering.
How to Order
You can elect to transfer (in whole
percentages or dollar amounts) all
or a portion of your account
balance in the Plan to the Stock
Offering Option for the purchase of
shares of common stock in the stock
offering. This is done by
following the procedures described
below. Please note the following
stipulations concerning this
election:
•      You can direct all or a
portion of your current account
balance to the Stock Offering
Option.
•      Your election is subject to
a minimum purchase of 25 shares
which equates to $250.00.
•      Your election is subject to
a maximum purchase of [30,000]
shares which equates to [$300,000]
or .10% of the total number of
shares issued in the offering.
•      The election period
opens ____, 2009 and closes December ___, 2009.
•      After your election is
accepted by Principal Financial
Group, it will be rounded down to
the closest dollar amount divisible
by $10.00. The difference will
remain in the Stock Offering Option
until the formal closing of the
offering has been completed. At
that time, the common shares
purchased based on your election
will be transferred to the
OmniAmerican Bancorp, Inc. Stock
Fund and any remaining funds will
be transferred out of the Stock
Offering Option for investment in
other funds under the 401(k) Plan
based on your election currently on
file for future contributions. If
you do not have an election on file
for future contributions, any
remaining funds will be transferred
to the Principal Lifetime Fund
(based on your age) to be
reinvested by you in your
discretion.
•      You will continue to have
the ability to transfer amounts not
in the OmniAmerican Bancorp, Inc.
Stock Fund among all the other
investment funds on a daily basis.
4
Table of Contents
•      The amount transferred to
the OmniAmerican Bancorp, Inc.
Stock Fund needs to be segregated
and held until the offering closes.
Therefore, this money is not
available for distributions, loans
or withdrawals until the
transaction is completed which is
after the closing of the stock
offering.
You are allowed only one election
to transfer funds to the Stock
Offering Option. Follow these
steps to make your election to use
all or part of your account balance
in the 401(k) Plan to purchase
shares in the stock offering:
•      Go to www.principal.com and
log into your 401k Plan account.
•      Click on the "Make Changes"
tab or the "Transferring Existing
Balances" link.
•      Stay on the first page of
the election screen to make an
election using percentages from
your existing fund balances.
•      Find the "Additional
Investment Transfers Options" link
to make an election from a specific
source of money or to make a dollar
election.
•      Complete all the steps in
the election process until you
receive a request number
(Note: your election is not complete until
you have confirmed your request
with your password and you receive
a request number)
.
•      Once you have a request
number, your election cannot be
changed.
After you have completed your
election, you will also need to
complete the Stock Information Form
and return it in the self-addressed
envelope provided by December ___,
2009. It is critical that this
Stock Information Form be completed
and returned.
Order Deadline
You must make your election and
return your Stock Information Form
to OmniAmerican Bank, 1320 South
University Drive, Suite 900, Fort
Worth, TX 76107, to be received by
no later than
on
[day],
[date], 2009. You
may return your Stock Information
Form by US mail, interoffice mail
or by faxing it to (___) ___ - ___, so long as it is returned
by the time specified.
[Confirm]
Irrevocability of Transfer Direction
Once you have made your election as
described above, you may not change
your special election to transfer
amounts to the Stock Offering
Option for the purchase of stock
in the stock offering
.
5
Table of Contents
Your
election is irrevocable.
Other Purchases in Your Account
During the Offering Period
Whether or not you choose to
purchase stock in the offering
through the Plan, you will at all
times have complete access to those
amounts in your account that you do
not
apply towards purchases in the
offering. For example, you will be
able to purchase other funds within
the Plan with that portion of your
account balance that you do not
apply towards purchases in the
offering during the offering
period. Such purchases will be
made at the prevailing market price
in the same manner as you make such
purchases now, i.e., through
telephone transfers and internet
access to your account.
Direction to Purchase or Sell Common
Stock after the Stock Offering
After the stock offering, you will
again have complete access to any
amount that you directed towards
the investment in the OmniAmerican
Bancorp, Inc. Stock Fund. You may
direct that your future
contributions or your account
balance in the Plan be transferred
to the OmniAmerican Bancorp, Inc.
Stock Fund. After the stock
offering, you will also have the
ability to sell all or a portion of
your interest in the OmniAmerican
Bancorp, Inc. Stock Fund.
Special restrictions may apply to
transfers directed to and from the
OmniAmerican Bancorp, Inc. Stock
Fund by participants who are
subject to the provisions of
Section 16(b) of the Securities
Exchange Act of 1934, as amended,
relating to the purchase and sale
of securities by officers,
directors and principal
shareholders of OmniAmerican
Bancorp, Inc.
Purchase Price of Common Stock
During the stock offering, the
trustee will pay $10.00 per share,
which will be the same price paid by
all other persons for a share of
OmniAmerican Bancorp, Inc. common
stock in the stock offering.
After the stock offering, the
trustee will acquire common stock in
open market transactions at the
prevailing price which may be less
than or more than $10.00 per share.
Voting Rights of Common Stock
The Plan provides that you may
direct the trustee how to vote any
shares of OmniAmerican Bancorp, Inc.
common stock held by the
OmniAmerican Bancorp, Inc. Stock
Fund, and the interest in such
shares that is credited to your
account. If the trustee does not
receive your voting instructions,
the Plan administrator will exercise
these rights as it determines in its
discretion and will direct the
trustee accordingly. All voting
instructions will be kept
confidential.
6
Table of Contents
DESCRIPTION OF THE PLAN
Introduction
OmniAmerican Bank originally adopted the OmniAmerican 401(k) Profit Sharing Plan on July 1,
1995, and amended and restated it effective April 1, 2007 (as amended and restated, the "Plan").
The Plan is a tax-qualified plan with a cash or deferred compensation feature established in
accordance with the requirements under Section 401(a) and Section 401(k) of the Internal Revenue
Code of 1986, as amended (the "Code").
OmniAmerican Bank intends that the Plan, in operation, will comply with the requirements under
Section 401(a) and Section 401(k) of the Code. OmniAmerican Bank will adopt any amendments to the
Plan that may be necessary to ensure the continuing qualified status of the Plan under the Code and
applicable Treasury Regulations.
Employee Retirement Income Security Act of 1974 ("ERISA").
The Plan is an "individual account
plan" other than a "money purchase pension plan" within the meaning of ERISA. As such, the Plan is
subject to all of the provisions of Title I (Protection of Employee Benefit Rights) and Title II
(Amendments to the Code Relating to Retirement Plans) of ERISA, except to the funding requirements
contained in Part 3 of Title I of ERISA, which by their terms do not apply to an individual account
plan (other than a money purchase plan). The Plan is not subject to Title IV (Plan Termination
Insurance) of ERISA. The funding requirements contained in Title IV of ERISA are not applicable to
participants or beneficiaries under the Plan.
Reference to Full Text of Plan.
The following portions of this prospectus supplement summarize
certain provisions of the Plan. They are not complete and are qualified in their entirety by the
full text of the Plan. Copies of the Plan are available to all employees by filing a request with
the Plan Administrator c/o OmniAmerican Bank, 1320 South University Drive, Suite 900, Fort Worth,
TX 76107. OmniAmerican Bank's telephone number is (817)-246-0111. You are urged to read carefully
the full text of the Plan.
Eligibility and Participation
As an employee of OmniAmerican Bank, you are eligible to become a participant in the Plan on
the first day of the month after you have reached age 21. Union employees covered by a collective
bargaining agreement for which retirement benefits were bargained in good faith, nonresident
aliens who receive no earned income from the U.S., and leased employees (as defined in the Plan,
generally to include independent contractors) are not eligible to participate in the Plan. The
Plan year is January 1 to December 31 (the "Plan Year").
As of June 30, 2009, there were approximately 324 employees, former employees and
beneficiaries eligible to participate in the Plan.
7
Table of Contents
Contributions Under the Plan
Elective Deferrals.
You are permitted to defer a percentage of your pay, subject to certain
limitations imposed by the Code, and to have that amount contributed to the Plan on your behalf.
For purposes of the Plan, your "pay" means your total pay, including your elective contributions to
any of OmniAmerican Bank's plans, but excludes expense repayments or other allowances, fringe
benefits, moving expenses and deferred compensation and welfare benefits. Pay also excludes
bonuses and overtime. You may elect to modify the amount contributed to the Plan by filing a new
elective deferral agreement with the Plan administrator at the beginning of each pay period.
Employer Matching Contributions.
OmniAmerican Bank may make discretionary matching
contributions to the Plan equal to a percentage of your elective defined contributions, as
determined by OmniAmerican Bank. OmniAmerican Bank may choose to match your elective deferral
contributions on up to 5% of your pay.
Employer Discretionary Contributions
. OmniAmerican Bank may make discretionary contributions
to the Plan, which means that OmniAmerican Bank chooses the percentage of the contribution and
whether or not it will be made. Your share of the discretionary contributions is determined by
multiplying the discretionary contribution by a fraction, the numerator of which is "your pay" and
the denominator of which is the total pay of all participants entitled to share in the
contributions.
Qualified Nonelective Contributions
. OmniAmerican Bank may make a qualified nonelective
contribution each plan year, in an amount determined by the bank, to participants (other than
highly paid employees) who are eligible for a share of the contribution on December 31. A
participant is eligible if the participant was an active employee at any time during the plan year.
Makeup Contributions
. OmniAmerican Bank will permit participants who return to work after a
period of qualified military service to contribute missed elective deferrals to the Plan. If a
participant contributes makeup contributions, OmniAmerican Bank will make any matching
contributions that apply.
Limitations on Contributions
Limitations on Employee Salary Deferrals
. For the Plan Year beginning January 1, 2009, the
amount of your before-tax contributions may not exceed $16,500 per calendar year. Contributions in
excess of this limit are known as excess deferrals. If you defer amounts in excess of this
limitation, your gross income for federal income tax purposes will include the excess in the year
of the deferral. In addition, unless the excess deferral is distributed before April 15 of the
following year, it will be taxed again in the year distributed. Income on the excess deferral
distributed by April 15 of the immediately succeeding year will be treated, for federal income tax
purposes, as earned and received by you in the tax year in which the contribution is made.
Limitations on Catch-up Contributions
. If you have made the maximum amount of regular
before-tax contributions allowed by the Plan or other legal limits and you have attained at least
age 50 (or will reach age 50 prior to the end of the plan year), you are also eligible to make
8
Table of Contents
an additional catch-up contribution. You may authorize OmniAmerican Bank to withhold a
specified dollar amount of your compensation for this purposes. For 2009, the maximum catch-up
contribution is $5,500.
Limitations on Contributions based on Compensation
. Contributions to the Plan cannot be based
on compensation in excess of certain limits established under the Code that are adjusted annually.
For 2009, the amount of annual compensation that can be taken into account for each participant is
limited to $245,000. For these purposes, compensation is defined differently than "pay" to include
your taxable wages for income tax withholding purposes. Compensation also includes certain amounts
that are not subject to income tax withholding, such as elective deferrals to the Plan or to a
cafeteria plan or amounts contributed towards the purchase of qualified transportation fringe
benefits.
Limitation on Plan Contributions for Highly Compensated Employees
. Special provisions of the
Code limit the amount of employee deferrals and employer matching contributions that may be made to
the Plan in any year on behalf of highly compensated employees, in relation to the amount of
employee deferrals and employer matching contributions made by or on behalf of all other employees
eligible to participate in the Plan. A highly compensated employee for a plan year includes any
employee who: (1) was a 5% owner of OmniAmerican Bancorp, Inc. at any time during the current or
preceding year, or (2) had compensation for the preceding year of more than the preceding year's
highly compensated employee dollar limit (for 2009, the dollar limit is $110,000; for 2008, the
dollar limit is $105,000). The dollar amount in the foregoing sentence may be adjusted annually to
reflect increases in the cost of living. If these limitations are exceeded, the level of deferrals
by highly compensated employees and matching contributions to highly compensated employees may have
to be adjusted.
Vesting
At all times, you have a fully vested, nonforfeitable interest in your elective deferral
contributions. Your employer matching contributions and employer discretionary contributions will
vest over a 6 year period at rate of 20% per year, commencing in the second year. You will also
become 100% vested in your matching contributions and employer discretionary contributions upon
your death, disability or attainment of age 65 while employed with OmniAmerican Bank.
Withdrawals and Distributions from the Plan
Applicable federal law requires the Plan to impose substantial restrictions on the right of a Plan
participant to withdraw amounts held for his or her benefit under the Plan prior to the
participant's termination of employment with OmniAmerican Bank. A substantial federal tax penalty
may also be imposed on withdrawals made prior to the participant's attainment of age 59
1
/
2
,
regardless of whether such a withdrawal occurs during his or her employment with OmniAmerican Bank
or after termination of employment.
9
Table of Contents
Time of Distribution.
You may request a distribution from the Plan if you terminate
employment before your normal retirement age (age 65), or in the event you incur a disability, or
in the event you attain your normal retirement age but do not terminate employment.
In the event you have attained age 59
1
/
2
and are still employed by OmniAmerican Bank, you may
request a distribution from your elective deferrals and from the portion of your account
attributable to employer discretionary contributions, employer matching contributions and qualified
nonelective contributions.
Hardship
. In the event you incur a financial hardship, you may request an in-service
withdrawal of the portion of your account attributable to your elective deferrals (but not income
on your elective deferrals), discretionary contributions, matching contributions and qualified
nonelective contributions.
Rollover Contributions and Transfer Contributions
. You may request a distribution of your
rollover contributions and transfer contributions at any time.
Loan
. You may request a loan from your account pursuant to the procedures established in the
Plan.
Form of Distribution
. Distribution of your benefit under the Plan will be made in a single
lump sum payment. You may elect to have the distribution paid in a direct rollover to an
individual retirement account or another employer plan or paid directly to you.
Investment of Contributions and Account Balances
All amounts credited to your accounts under the Plan are held in the Plan trust (the "Trust"),
which is administered by the trustee appointed by OmniAmerican Bank's Board of Directors.
Prior to the effective date of the offering, you were provided the opportunity to direct the
investment of your account into one of the following funds:
Aim Capital Development R Fund
Alliance Bernstein International Value A Fund
American Century Equity Income A Fund
American Funds Bond Fund Of America R3 Fund
American Funds Capital World Growth & Income R3
American Funds Fundamental Investors R3 Fund
American Funds Growth Fund of America R3 Fund
American Funds Income Fund Of America R3 Fund
Aston/TAMRO Small Cap N Fund
Fidelity Advisor Leveraged Co Stock T Fund
Fidelity Advisor Small Cap T Fund
Franklin Strategic Income R Fund
Janus Adviser Forty S Fund
10
Table of Contents
Janus Adviser International Growth S Fund
LargeCap S&P 500 Index Separate Account-R4
MidCap Value I Separate Account-R4
Mutual Shares R Fund
Stable Value Fund
Principal LifeTime 2010 Separate Account-R4
Principal LifeTime 2020 Separate Account-R4
Principal LifeTime 2030 Separate Account-R4
Principal LifeTime 2030 Separate Account-R4
Principal LifeTime 2040 Separate Account-R4
Principal LifeTime 2050 Separate Account-R4
Principal LifeTime Strategic Income Separate Account-R4
Real Estate Securities Separate Account-R4
SmallCap Value II Separate Account-R4
Performance History
The following table provides performance data with respect to the investment funds available
under the Plan through June 30, 2009 for average annual total returns and for year-to-date returns
as of June 30, 2009:
YTD
Average Annual Total Returns as of June 30, 2009
Returns as
10 Year
of June 30,
(unless noted
Fund Name
2009
1 Year
3 Year
5 Year
otherwise)
AIM Capital Development R Fund
11.84
-32.55
-11.32
-1.98
2.43
Alliance Bernstein International Value A Fund
7.18
-42.17
-14.79
-0.34
4.31
*
American Century Equity Income A Fund
2.65
-13.91
-3.74
0.71
4.68
American Funds Bond Fund Of America R3 Fund
6.89
-5.14
0.43
1.68
3.96
American Funds Capital World Growth & Income R3
6.90
-26.92
-4.15
4.30
6.08
American Funds Fundamental Investors R3 Fund
9.02
-29.17
-6.76
1.61
1.85
American Funds Growth Fund of America R3 Fund
11.93
-26.98
-6.74
0.26
2.23
American Funds Income Fund Of America R3 Fund
3.17
-19.43
-5.32
0.55
3.29
Aston/TAMRO Small Cap N Fund
9.24
-18.18
-6.08
0.70
7.46
*
Fidelity Advisor Leveraged Co Stock T Fund
21.97
-47.16
-10.66
0.79
10.15
*
Fidelity Advisor Small Cap T Fund
6.26
-17.87
-2.86
2.86
4.26
Franklin Strategic Income R Fund
12.46
-0.17
3.82
4.80
5.74
Janus Adviser Forty S Fund
-0.87
-41.11
-7.02
1.18
-0.19
Janus Adviser International Growth S Fund
3.05
-43.84
-6.99
6.33
5.96
LargeCap S&P 500 Index Separate Account-R4
2.93
-26.52
-8.65
-2.72
-2.73
MidCap Value I Separate Account-R4
3.55
-30.50
-9.25
-0.09
3.50
Mutual Shares R Fund
5.08
-23.95
-9.24
-1.05
2.55
Stable Value Fund
1.05
2.83
3.69
3.63
4.25
Principal LifeTime 2010 Separate Account-R4
5.46
-21.02
-6.31
-0.69
1.75
*
Principal LifeTime 2020 Separate Account-R4
5.77
-23.98
-6.88
-0.47
1.92
*
Principal LifeTime 2030 Separate Account-R4
5.71
-26.40
-7.66
-0.71
1.54
*
Principal LifeTime 2040 Separate Account-R4
5.69
-28.11
-8.28
-1.07
1.45
*
Principal LifeTime 2050 Separate Account-R4
5.47
-29.12
-8.72
-1.19
0.90
*
Principal LifeTime Strategic Income Separate Account-R4
4.68
-14.42
-4.32
0.05
2.20
*
Real Estate Securities Separate Account-R4
-12.26
-38.89
-17.15
-0.87
5.13
*
SmallCap Value II Separate Account-R4
2.93
-25.41
-13.64
-3.63
-2.56
*
11
Table of Contents
*
Since inception.
Note: Performance data for periods of less than one year do not reflect the deduction of purchase
and redemption fees. Some funds may have administrative expenses related to the cost of employer
plan recordkeeping, which are not reflected in the figures. If these fees were included, the
performance would be lower. All other performance data are adjusted for purchase and redemption
fees where applicable.
Description of the Investment Funds
The following is a description of each of the funds:
Aim Capital Development R Fund
The investment seeks long-term growth of capital. The fund invests in equity securities of
mid-capitalization companies, which are considered representative of medium-sized companies and
constitute approximately 25% of the total market capitalization of the Russell 1000 index.
Alliance Bernstein International Value A Fund
The investment seeks long-term growth of capital. The fund invests primarily in a diversified
portfolio of equity securities of established companies selected from more than 40 industries and
more than 40 developed and emerging market countries. It normally invests in companies in at least
three countries other than the United States. These countries currently include the developed
nations in Europe and the Far East, Canada, Australia and emerging market countries worldwide.
American Century Equity Income A Fund
The investment seeks current income; capital appreciation is a secondary consideration. The
fund invests in equity securities of companies with a favorable income-paying history and with the
potential for an increase in share price.
American Funds Bond Fund Of America R3 Fund
The investment seeks to provide as high a level of current income as is consistent with the
preservation of capital. The fund normally invests at least 80% of assets in bonds and other debt
securities. It invests a majority of its assets in debt securities rated A and above, including
securities issued and guaranteed by the U.S. and other governments, and securities backed by
mortgages and other assets. The fund currently does not invest more than 15% of its assets in debt
securities rated Ba and BB or below or in debt securities that are unrated but determined to be of
equivalent quality.
American Funds Capital World Growth & Income R3
The investment seeks long-term capital growth and current income. The fund invests, on a
global basis, in common stocks that are denominated in U.S. dollars or other currencies. It may
also hold cash or money market instruments.
American Funds Fundamental Investors R3 Fund
The investment seeks long-term growth of capital and income. The fund invests primarily in
common stocks or securities convertible into common stocks and may invest
12
Table of Contents
significantly in securities of issuers domiciled outside the United States and Canada and not
included in the Standard & Poor's 500 Composite index. It may also hold cash or money market
instruments.
American Funds Growth Fund of America R3 Fund
The investment seeks capital growth by investing in common stocks. The fund primarily invests
in high potential growth companies. It may also invest up to 15% of assets in securities of
issuers domiciled outside the United States and Canada and not included in Standard & Poor's 500
Composite index. It may invest up to 10% of assets in lower quality nonconvertible debt
securities.
American Funds Income Fund Of America R3 Fund
The investment seeks current income; capital appreciation is secondary. The fund allocates
among common and preferred stocks, straight debt securities, convertibles, and cash equivalents.
It normally maintains 60% of assets in equity-type securities. The fund may also invest up to 25%
of assets in equity securities of issuers domiciled outside the United States and not included in
Standard & Poor's 500 Composite index. In addition, the fund may invest up to 20% of assets in
lower quality, higher yielding nonconvertible debt securities. It may also invest up to 10% of
assets in debt securities of non-U.S. issuers.
Aston/TAMRO Small Cap N Fund
The investment seeks long-term capital appreciation. The fund normally invests at least 80%
of assets in a blended portfolio of growth and value stocks of small-cap companies. The portfolio
manager seeks opportunities across the growth/value spectrum, resulting in what is generally
considered a "core" portfolio. It may also invest in REITs, foreign securities, convertible bonds,
securities outside the small-cap range and cash-equivalent securities.
Fidelity Advisor Leveraged Co Stock T Fund
The investment seeks capital appreciation. The fund invests at least 80% of assets in stock
issued by both domestic and foreign issuers. It normally invests in common stocks of leveraged
companies (companies that issue lower-quality debt and other companies with leveraged capital
structures). The fund typically invests in either "growth" stocks or "value" stocks or both.
Fidelity Advisor Small Cap T Fund
The investment seeks long-term growth of capital. The fund normally invests at least 80% of
assets in equity securities issued by companies with small market capitalizations. These companies
generally have market capitalizations that fall within the range of the Russell 2000 index or the
Standard & Poor's SmallCap 600 index. It invests primarily in common stocks. The fund may invest
in domestic and foreign issuers, as well as growth stocks, value stocks, or both.
Franklin Strategic Income R Fund
The investment seeks high current income; capital appreciation is a secondary consideration.
The fund normally invests at least 65% of assets in U.S. and foreign debt
13
Table of Contents
securities, including those in emerging markets. It may invest up to 100% of assets in high-yield,
lower-quality debt securities. The fund may invest in many different securities issued or
guaranteed by the U.S. government or its agencies or instrumentalities. It may invest a portion of
assets in bank loans and loan participations.
Janus Adviser Forty S Fund
The investment seeks long-term growth of capital. The fund invests primarily in a core group
of 20-40 common stocks selected for their growth potential. It may invest in companies of any
size, from larger, well-established companies to smaller, emerging growth companies. The portfolio
manager applies a "bottom up" approach in choosing investments. The fund may invest without limit
in foreign equity and debt securities, which may include investments in emerging markets. It is
nondiversified.
Janus Adviser International Growth S Fund
The investment seeks long-term growth of capital. The fund normally invests at least 80% of
net assets in securities of issuers from countries outside of the United States. It normally
invests in securities of issuers from several different countries, excluding the United States.
Under unusual circumstances, it may invest all assets in a single country. The fund may invest in
foreign equity and debt securities.
LargeCap S&P 500 Index Separate Account-R4
The investment option normally invests the majority of assets in common stocks of companies
that compose the S&P 500 Index. Management attempts to mirror the investment performance of the
index by allocating assets in approximately the same weightings as the S&P 500 Index. Over the
long-term, management seeks a very close correlation between the performance of the Separate
Account before expenses and that of the S&P 500 Index.
MidCap Value I Separate Account-R4
The investment seeks long term growth of capital. The fund invests at least 80% of assets in
a diversified portfolio of equity investments in mid-cap issuers with a medium market
capitalization (those with market capitalizations similar to companies in the Russell MidCap Value
index) at the time of purchase. It may invest up to 25% of net assets in securities of foreign
companies, including securities of issuers in emerging countries and securities quoted in foreign
currencies.
Mutual Shares R Fund
The investment seeks capital appreciation; income is a secondary consideration. The fund
normally invests following a value-oriented strategy in mid- and large-cap companies with market
capitalizations greater than $5 billion. It may also invest in smaller companies. The fund may
invest up to 35% of total assets in foreign securities.
Stable Value Fund
The investment seeks current income by investing primarily in insurance contracts issued by
insurance companies, and investments from other financial institutions which offer stability of
principal.
14
Table of Contents
Principal LifeTime 2010 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an assets allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. It allocates the assets more
conservatively over time. The fund may invest in any of the Institutional class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
Principal LifeTime 2020 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
Principal LifeTime 2030 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
Principal LifeTime 2030 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
Principal LifeTime 2040 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
15
Table of Contents
Principal LifeTime 2050 Separate Account-R4
The investment seeks a total return consisting of long-term growth of capital and current
income. The fund invests in underlying Principal domestic and foreign equity, hybrid, and
fixed-income funds according to an asset allocation strategy designed for investors having an
investment time horizon comparable to that of the fund. If allocates the assets more
conservatively over time. The fund may invest in any of the Institutional Class shares of the
equity funds or fixed-income funds of Principal Funds, at the sub-advisors' discretion.
Principal LifeTime Strategic Income Separate Account-R4
The investment seeks current income and, as a secondary objective, capital appreciation. The
fund invests in underlying fixed-income funds, but also invests in underlying equity and hybrid
funds according to an asset allocation strategy designed for investors seeking current income from
their investment. It invests most of the assets in underlying funds which are intended primarily
to give the fund broad exposure to income-producing securities through their investments in
fixed-income securities, "hybrid" securities and dividend generating domestic and foreign stocks.
Real Estate Securities Separate Account-R4
The investment seeks to generate a total return. The fund normally invests at least 80% of
the net assets (plus any borrowings for investment purposes) in equity securities of companies
principally engaged in the real estate industry, which include real estate investment trusts and
companies with substantial real estate holdings such as paper, lumber, hotel and entertainment
companies. It is nondiversified.
SmallCap Value II Separate Account-R4
The investment seeks long-term growth of capital. The fund normally invests at least 80% of
its net assets in equity securities of small market capitalization companies. It may invest up to
25% of assets in foreign securities.
An investment in any of the funds listed above is not a deposit of a bank and is not insured
or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. As with
any mutual fund investment, there is always a risk that you may lose money on your investment in
any of the funds listed above.
OmniAmerican Bancorp Inc. Stock Fund
. In connection with the stock offering, the Plan now
offers the OmniAmerican Bancorp, Inc. Stock Fund as an additional choice to the investment options
described above. OmniAmerican Bancorp, Inc. Stock Fund invests in the shares of common stock of
OmniAmerican Bancorp, Inc. In connection with the stock offering, you may, in the manner described
earlier, direct the trustee to invest up to 100% of your plan account in the OmniAmerican Bancorp,
Inc. Stock Fund as a one-time special election. Subsequent to the stock offering, you may elect to
invest all or a portion of your contributions in the OmniAmerican Bancorp, Inc. Stock Fund; you
may also elect to transfer into the OmniAmerican Bancorp, Inc. Stock Fund all or a portion of your
accounts currently invested in other funds under the Plan.
16
Table of Contents
OmniAmerican Bancorp, inc. Stock Fund consists of investments in the shares of common stock of
OmniAmerican Bancorp Inc. After the stock offering, the trustee of the Plan will use all amounts
held by it in the OmniAmerican Bancorp, Inc. Stock Fund to purchase additional shares of common
stock of OmniAmerican Bancorp.
As of the date of this prospectus supplement, there is no established market for OmniAmerican
Bancorp, Inc. common stock. Accordingly, there is no record of the historical performance of the
OmniAmerican Bancorp Inc. Stock Fund. Performance of the OmniAmerican Bancorp Inc. Stock Fund
depends on a number of factors, including the financial condition and profitability of OmniAmerican
Bancorp, Inc. and OmniAmerican Bank and market conditions for shares of OmniAmerican Bancorp, Inc.
common stock generally.
Investments in the OmniAmerican Bancorp, Inc. Stock Fund involve special risks common to
investments in the shares of common stock of OmniAmerican Bancorp, Inc.
For a discussion of material risks you should consider, see "Risk Factors" section of the
attached prospectus and the Section of the Prospectus Supplement called "Notice of Your Rights
Concerning Employer Securities" (see below).
Administration of the Plan
The Trustee and Custodian
. The trustee of the Plan is Principal Trust Company. Principal
Trust Company serves as trustee for all the investments funds under the Plan.
Plan Administrator
. Pursuant to the terms of the Plan, the Plan is administered by the Plan
administrator. The address of the Plan administrator is OmniAmerican Bank, 1320 South University
Drive, Suite 900, Fort Worth, TX 76107. The Plan administrator is responsible for the
administration of the Plan, interpretation of the provisions of the Plan, prescribing procedures
for filing applications for benefits, preparation and distribution of information explaining the
Plan, maintenance of Plan records, books of account and all other data necessary for the proper
administration of the Plan, preparation and filing of all returns and reports relating to the Plan
which are required to be filed with the U.S. Department of Labor and the Internal Revenue Service,
and for all disclosures required to be made to participants, beneficiaries and others under
Sections 104 and 105 of ERISA.
Reports to Plan Participants
. The Plan administrator will furnish you a statement at least
quarterly showing the balance in your account as of the end of that period, the amount of
contributions allocated to your account for that period, and any adjustments to your account to
reflect earnings or losses (if any).
Amendment and Termination
It is the intention of OmniAmerican Bank to continue the Plan indefinitely. Nevertheless,
OmniAmerican Bank may terminate the Plan at any time. If the Plan is terminated in whole or in
part, then regardless of other provisions in the Plan, you will have a fully vested interest in
your accounts. OmniAmerican Bank reserves the right to make any amendment or amendments to the
17
Table of Contents
Plan which do not cause any part of the trust to be used for, or diverted to, any purpose
other than the exclusive benefit of participants or their beneficiaries; provided, however, that
OmniAmerican Bank may make any amendment it determines necessary or desirable, with or without
retroactive effect, to comply with ERISA.
Merger, Consolidation or Transfer
In the event of the merger or consolidation of the Plan with another plan, or the transfer of
the trust assets to another plan, the Plan requires that you would, if either the Plan or the other
plan terminates, receive a benefit immediately after the merger, consolidation or transfer which is
equal to or greater than the benefit you would have been entitled to receive immediately before the
merger, consolidation or transfer, if the Plan had then terminated.
Federal Income Tax Consequences
The following is a brief summary of the material federal income tax aspects of the Plan. You
should not rely on this summary as a complete or definitive description of the material federal
income tax consequences relating to the Plan. Statutory provisions change, as do their
interpretations, and their application may vary in individual circumstances. Finally, the
consequences under applicable state and local income tax laws may not be the same as under the
federal income tax laws. Please consult your tax advisor with respect to any distribution from the
Plan and transactions involving the Plan.
As a "tax-qualified retirement plan," the Code affords the Plan special tax treatment,
including:
(1) the sponsoring employer is allowed an immediate tax deduction for the amount contributed
to the Plan each year;
(2) participants pay no current income tax on amounts contributed by the employer on their
behalf; and
(3) earnings of the Plan are tax-deferred, thereby permitting the tax-free accumulation of
income and gains on investments.
OmniAmerican Bank will administer the Plan to comply with the requirements of the Code as of
the applicable effective date of any change in the law.
Lump-Sum Distribution
. A distribution from the Plan to a participant or the beneficiary of a
participant will qualify as a lump-sum distribution if it is made within one taxable year, on
account of the participant's death, disability or severance from employment, or after the
participant attains age 59
1
/
2
, and consists of the balance credited to participants under the Plan
and all other profit sharing plans (and in some cases all other stock bonus plans), if any,
maintained by OmniAmerican Bank. The portion of any lump-sum distribution required to be included
in your taxable income for federal income tax purposes consists of the entire amount of the
lump-sum distribution, less the amount of after-tax contributions, if any, you have made to
18
Table of Contents
this Plan and any other profit sharing plans maintained by OmniAmerican Bank, which is
included in the distribution.
OmniAmerican Bancorp, Inc. Common Stock Included in Lump-Sum Distribution
. If a lump-sum
distribution includes OmniAmerican Bancorp, Inc. common stock, the distribution generally will be
taxed in the manner described above, except that the total taxable amount may be reduced by the
amount of any net unrealized appreciation with respect to OmniAmerican Bancorp, Inc. common stock,
that is, the excess of the value of OmniAmerican Bancorp, Inc. common stock at the time of the
distribution over its cost or other basis of the securities to the trust. The tax basis of
OmniAmerican Bancorp, Inc. common stock, for purposes of computing gain or loss on its subsequent
sale, equals the value of OmniAmerican Bancorp, Inc. common stock at the time of distribution, less
the amount of net unrealized appreciation. Any gain on a subsequent sale or other taxable
disposition of OmniAmerican Bancorp, Inc. common stock, to the extent of the amount of net
unrealized appreciation at the time of distribution, will constitute long-term capital gain,
regardless of the holding period of OmniAmerican Bancorp, Inc. common stock. Any gain on a
subsequent sale or other taxable disposition of OmniAmerican Bancorp, Inc. common stock, in excess
of the amount of net unrealized appreciation at the time of distribution, will be considered
long-term capital gain. The recipient of a distribution may elect to include the amount of any net
unrealized appreciation in the total taxable amount of the distribution, to the extent allowed by
regulations to be issued by the Internal Revenue Service.
Distributions: Rollovers and Direct Transfers to Another Qualified Plan or to an IRA
. You may
roll over virtually all distributions from the Plan to another qualified plan or to an individual
retirement account (IRA) in accordance with the terms of the other plan or account.
Notice of Your Rights Concerning Employer Securities.
There has been an important change in Federal law that provides specific rights concerning
investments in employer securities, such as OmniAmerican Bancorp, Inc. common stock. Because you
may in the future have investments in OmniAmerican Bancorp, Inc. Stock Fund under the Plan, you
should take the time to read the following information carefully.
Your Rights Concerning Employer Securities
. The Plan must allow you to elect to move any
portion of your account that is invested in the OmniAmerican Bancorp, Inc. Stock Fund from that
investment into other investment alternatives under the Plan. You may contact the Plan
Administrator shown above for specific information regarding this new right, including how to make
this election. In deciding whether to exercise this right, you will want to give careful
consideration to the information below that describes the importance of diversification. All of
the investment options under the Plan are available to you if you decide to diversify out of the
OmniAmerican Bancorp, Inc. Stock Fund.
The Importance of Diversifying Your Retirement Savings
. To help achieve long-term retirement
security, you should give careful consideration to the benefits of a well-balanced and diversified
investment portfolio. Spreading your assets among different types of investments can help you
achieve a favorable rate of return, while minimizing your overall risk of losing money. This is
because market or other economic conditions that cause one category of assets, or one
19
Table of Contents
particular security, to perform very well often cause another asset category, or another
particular security, to perform poorly. If you invest more than 20% of your retirement savings in
any one company or industry, your savings may not be properly diversified. Although
diversification is not a guarantee against loss, it is an effective strategy to help you manage
investment risk.
In deciding how to invest your retirement savings, you should take into account all of your
assets, including any retirement savings outside of the Plan. No single approach is right for
everyone because, among other factors, individuals have different financial goals, different time
horizons for meeting their goals, and different tolerance for risk. Therefore, you should
carefully consider the rights described here and how these rights affect the amount of money that
you invest in OmniAmerican Bancorp, Inc. common stock through the Plan.
It is also important to periodically review your investment portfolio, your investment
objectives, and the investment options under the Plan to help ensure that your retirement savings
will meet your retirement goals.
Additional ERISA Considerations
As noted above, the Plan is subject to certain provisions of ERISA, including special
provisions relating to control over the Plan's assets by participants and beneficiaries. The
Plan's feature that allows you to direct the investment of your account balances is intended to
satisfy the requirements of Section 404(c) of ERISA relating to control over plan assets by a
participant or beneficiary. The effect of this is two-fold. First, you will not be deemed a
"fiduciary" because of your exercise of investment discretion. Second, no person who otherwise is
a fiduciary, such as OmniAmerican Bank, the Plan Administrator, or the Plan's trustee is liable
under the fiduciary responsibility provision of ERISA for any loss which results from your exercise
of control over the assets in your Plan account.
Because you will be entitled to invest all or a portion of your account balance in the Plan in
OmniAmerican Bancorp, Inc. common stock, the regulations under Section 404(c) of ERISA require that
the Plan establish procedures that ensure the confidentiality of your decision to purchase, hold,
or sell employer securities, except to the extent that disclosure of such information is necessary
to comply with federal or state laws not preempted by ERISA. These regulations also require that
your exercise of voting and similar rights with respect to the common stock be conducted in a way
that ensures the confidentiality of your exercise of these rights.
Securities and Exchange Commission Reporting and Short-Swing Profit Liability
Section 16 of the Securities Exchange Act of 1934, as amended, imposes reporting and liability
requirements on officers, directors, and persons beneficially owning more than 10% of public
companies such as OmniAmerican Bancorp, Inc. Section 16(a) of the Securities Exchange Act of 1934
requires the filing of reports of beneficial ownership. Within 10 days of becoming an officer,
director or person beneficially owning more than 10% of the shares of OmniAmerican Bancorp, Inc., a
Form 3 reporting initial beneficial ownership must be filed with the Securities and Exchange
Commission. Changes in beneficial ownership, such as purchases,
20
Table of Contents
sales and gifts generally must be reported periodically, either on a Form 4 within two
business days after the change occurs, or annually on a Form 5 within 45 days after the close of
OmniAmerican Bancorp, Inc.'s fiscal year. Discretionary transactions in and beneficial ownership
of the common stock through the OmniAmerican Bancorp, Inc. Stock Fund of the Plan by officers,
directors and persons beneficially owning more than 10% of the common stock of OmniAmerican
Bancorp, Inc. generally must be reported to the Securities and Exchange Commission by such
individuals.
In addition to the reporting requirements described above, Section 16(b) of the Securities
Exchange Act of 1934, as amended, provides for the recovery by OmniAmerican Bancorp, Inc. of
profits realized by an officer, director or any person beneficially owning more than 10% of
OmniAmerican Bancorp, Inc.'s common stock resulting from non-exempt purchases and sales of
OmniAmerican Bancorp, Inc. common stock within any six-month period.
The Securities and Exchange Commission has adopted rules that provide exemptions from the
profit recovery provisions of Section 16(b) for all transactions in employer securities within an
employee benefit plan, provided certain requirements are met. These requirements generally involve
restrictions upon the timing of elections to acquire or dispose of employer securities for the
accounts of Section 16(b) persons.
Except for distributions of common stock due to death, disability, retirement, termination of
employment or under a qualified domestic relations order, persons affected by Section 16(b) are
required to hold shares of common stock distributed from the Plan for six months following such
distribution and are prohibited from directing additional purchases within the OmniAmerican
Bancorp, Inc. Stock Fund for six months after receiving such a distribution.
Financial Information Regarding Plan Assets
Financial information representing the assets available for plan benefits at April 30, 2009,
are available upon written request to the Plan Administrator at the address shown above.
LEGAL OPINION
The validity of the issuance of the common stock has been passed upon by Luse Gorman Pomerenk
& Schick, A Professional Corporation, Washington, D.C., which firm acted as special counsel to
OmniAmerican Bancorp, Inc. in connection with OmniAmerican Bancorp, Inc.'s stock offering.
21
Table of Contents
PROSPECTUS
OMNIAMERICAN BANCORP, INC.
(Proposed Holding Company for OmniAmerican Bank)
Up to 10,350,000 Shares of Common Stock
OmniAmerican Bancorp, Inc., a Maryland corporation, is offering up to 10,350,000 shares of
common stock on a best efforts basis in connection with the conversion of OmniAmerican Bank, a
federally chartered savings bank, from the mutual to the stock form of organization. We may sell
up to 11,902,500 shares of common stock because of demand for the shares or changes in market
conditions without resoliciting subscribers. We must sell a minimum of 7,650,000 shares in order
to complete the offering. All shares of common stock are being offered for sale at a price of
$10.00 per share. Depending on the number of shares we sell, we expect that our common stock will
be traded on the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol "OABC,"
upon conclusion of the stock offering. There is currently no public market for the shares of our
common stock.
We are offering the shares of common stock in a "subscription offering." Depositors of
OmniAmerican Bank with aggregate account balances of at least $50 as of the close of business on
March 31, 2008 will have first priority rights to buy our shares of common stock. Shares of common
stock not purchased in the subscription offering may be offered for sale to the general public in a
"community offering." We also may offer for sale shares of common stock not purchased in the
subscription offering or community offering through a "syndicated community offering" managed by
Keefe, Bruyette & Woods, Inc.
The minimum number of shares of common stock you may order is 25 shares. The maximum number
of shares of common stock that can be ordered through a single qualifying account is 30,000 shares,
and no person by himself or with an associate or group of persons acting in concert may purchase
more than 50,000 shares. The offering is expected to expire at 12:00 noon, local time, on
[expiration date]. We may extend this expiration date without notice to you until [extension
date], unless the Office of Thrift Supervision approves a later date, which may not be beyond
[final date]. Once submitted, orders are irrevocable unless the offering is terminated or is
extended beyond [extension date], or the number of shares of common stock to be sold is increased
to more than 11,902,500 shares or decreased to fewer than 7,650,000 shares. If the offering is
extended beyond [extension date], or if the number of shares of common stock to be sold is
increased to more than 11,902,500 shares or decreased to fewer than 7,650,000 shares, we will
resolicit subscribers, giving them an opportunity to change or cancel their orders. Funds received
during the offering will be held in a segregated account at OmniAmerican Bank, or, in our
discretion, at another insured depository institution, and will earn interest at
%,
which is our current passbook savings rate.
Keefe, Bruyette & Woods, Inc. will assist us in selling our shares of common stock on a best
efforts basis. Keefe, Bruyette & Woods, Inc. is not required to purchase any shares of the common
stock that are being offered. Purchasers will not pay a commission to purchase shares of common
stock in the offering. Keefe, Bruyette & Woods, Inc. has advised us that following the offering it
intends to make a market in the common stock, but is under no obligation to do so.
This investment involves a degree of risk, including the possible loss of your investment.
Please read "Risk Factors" beginning on page 16.
OFFERING SUMMARY
Price: $10.00 per Share
Minimum
Maximum
Adjusted Maximum
Number of shares
7,650,000
10,350,000
11,902,500
Gross offering proceeds
$
76,500,000
$
103,500,000
$
119,025,000
Estimated offering expenses (excluding selling agent fees and expenses)
$
1,556,505
$
1,556,505
$
1,556,505
Estimated selling agent fees and expenses
(1)
$
982,8755
$
1,293,375
$
1,471,913
Estimated net proceeds
$
73,960,620
$
100,650,120
$
115,996,582
Estimated net proceeds per share
$
9.67
$
9.72
$
9.75
(1)
See "The Conversion; Plan of Distribution—Marketing and Distribution;
Compensation" for a discussion of Keefe, Bruyette & Woods, Inc.'s compensation for this
offering.
These securities are not deposits or accounts and are not federally insured or guaranteed by
the Federal Deposit Insurance Corporation or any other government agency.
Neither the Securities and Exchange Commission, the Office of Thrift Supervision, nor any
state securities regulator has approved or disapproved of these securities or determined if this
prospectus is truthful or complete. Any representation to the contrary is a criminal offense.
For assistance, please call the Stock Information Center at [stock info #].
K
eefe
, B
ruyette
& W
oods
The date of this prospectus is [prospectus date].
Table of Contents
[MAP SHOWING MARKET AREA APPEARS ON INSIDE FRONT COVER]
TABLE OF CONTENTS
Page
SUMMARY
1
RISK FACTORS
16
SELECTED FINANCIAL AND OTHER DATA
28
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
30
HOW WE INTEND TO USE THE PROCEEDS FROM THE OFFERING
31
OUR POLICY REGARDING DIVIDENDS
32
MARKET FOR THE COMMON STOCK
33
HISTORICAL AND PRO FORMA REGULATORY CAPITAL COMPLIANCE
34
CAPITALIZATION
35
PRO FORMA DATA
37
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
43
BUSINESS OF OMNIAMERICAN BANCORP, INC.
68
BUSINESS OF OMNIAMERICAN BANK
69
SUPERVISION AND REGULATION
102
TAXATION
113
MANAGEMENT OF OMNIAMERICAN BANCORP, INC.
114
SUBSCRIPTIONS BY DIRECTORS AND EXECUTIVE OFFICERS
139
THE CONVERSION; PLAN OF DISTRIBUTION
140
RESTRICTIONS ON ACQUISITION OF OMNIAMERICAN BANCORP, INC.
161
DESCRIPTION OF CAPITAL STOCK
166
TRANSFER AGENT
168
EXPERTS
168
LEGAL AND TAX MATTERS
168
WHERE YOU CAN FIND ADDITIONAL INFORMATION
168
INDEX TO FINANCIAL STATEMENTS OF OMNIAMERICAN BANK
F-1
i
Table of Contents
SUMMARY
The following summary highlights material information in this prospectus. It may not contain
all the information that is important to you. For additional information, you should read this
entire prospectus carefully, including the Financial Statements and the notes to the Financial
Statements.
In this prospectus, the terms "we, "our," and "us" refer to OmniAmerican Bancorp, Inc. and
OmniAmerican Bank unless the context indicates another meaning.
OmniAmerican Bank
OmniAmerican Bank is a federally chartered savings bank headquartered in Fort Worth, Texas.
OmniAmerican Bank was originally chartered in 1956 as a federal credit union serving the active and
retired military personnel of Carswell Air Force Base. On January 1, 2006, OmniAmerican Bank
completed its conversion from a credit union to a federal mutual savings bank.
As
of June 30, 2009, OmniAmerican Bank had assets of
$1.0 billion, net loans of $725.1 million,
deposits of $759.8 million and equity capital of $90.3 million. We provide financial services to
individuals, families and businesses through our 16 banking offices located in the Dallas-Fort
Worth Metroplex and surrounding communities in North Texas.
OmniAmerican Bank's business consists primarily of accepting deposits from the general public
and investing those deposits, together with funds generated from operations and borrowings, in
mortgage loans secured by residential real estate, consumer loans, consisting primarily of indirect
automobile loans (automobile loan applications referred to us by an automobile dealership), and to
a lesser extent, commercial real estate, real estate construction, commercial business loans and
direct automobile loans (applications taken directly from the automobile purchaser). We also invest
in investment securities, primarily consisting of mortgage-backed securities. OmniAmerican Bank
offers a variety of deposit accounts, including demand accounts, savings accounts, certificates of
deposit and money market accounts.
We recently started offering wealth management services to individuals in our market area.
Our wealth management group offers a variety of products including deposit products such as money
market and high yield checking accounts, customized lending, and financial planning services. We
also offer brokerage services for the purchase and sale of non-deposit investment and insurance
products through a third party brokerage agreement. We anticipate increasing our assets under
management as part of the growth of our wealth management group, which in turn should contribute to
our net income. At June 30, 2009, our wealth management group had $18.7 million in loans and $19.5
million in deposits under management.
OmniAmerican Bank's executive offices are located at 1320 South University Drive, Suite 900,
Fort Worth, Texas 76107. Our telephone number at this address is (817) 367-4640. Our website
address is
www.omniamerican.com.
Information on our website is not incorporated into this
prospectus and should not be considered part of this prospectus.
OmniAmerican Bancorp, Inc.
OmniAmerican Bancorp, Inc. is a newly formed Maryland corporation that will own all of the
outstanding shares of common stock of OmniAmerican Bank upon completion of the mutual-to-stock
conversion and the offering. OmniAmerican Bancorp, Inc. has not engaged in any business to date.
1
Table of Contents
Our executive offices are located at 1320 South University Drive, Suite 900, Fort Worth, Texas
76107. Our telephone number at this address is (817) 367-4640.
Our Organizational Structure
OmniAmerican Bank is a mutual savings bank that has no stockholders. Pursuant to the terms of
OmniAmerican Bank's plan of conversion, OmniAmerican Bank will convert from the mutual to the stock
form of ownership. As part of the conversion, we are offering for sale in a subscription offering,
and, if necessary, a community offering and a syndicated community offering, shares of common stock
of OmniAmerican Bancorp, Inc. Upon the completion of the conversion and offering, OmniAmerican
Bank will be a wholly owned subsidiary of OmniAmerican Bancorp, Inc.
Business Strategy
Our business strategy is to grow and improve our profitability by:
•
diversifying our loan portfolio by emphasizing the origination of one- to
four-family residential mortgage loans, commercial real estate loans and commercial
business loans;
•
continuing conservative underwriting guidelines and aggressive monitoring of our
loan portfolio in order to maintain asset quality;
•
emphasizing lower cost core deposits to reduce the funding costs of our loan growth;
•
managing interest rate risk;
•
increasing our sources of noninterest income; and
•
implementing a controlled growth strategy.
Our strategy is designed to expand our banking relationships with customers and to diversify
our revenue stream. We have begun offering wealth management services to individuals in our market
area. A full description of our products and services begins on page 69 of this prospectus under
the heading "Business of OmniAmerican Bank."
These strategies are intended to guide our investment of the net proceeds of the offering. We
intend to continue to pursue our business strategy after the conversion and the offering, subject
to changes necessitated by future market conditions and other factors. See "Management's
Discussion and Analysis of Financial Condition and Results of Operations—Business Strategy" for a
further discussion of our business strategy.
Reasons for the Conversion
Our primary reasons for converting and raising additional capital through the offering are:
•
to increase our capital levels to support future growth;
•
to have greater flexibility to structure and finance the expansion of our
operations, including potential acquisitions of other financial institutions, although
we have no current arrangements or agreements with respect to any such acquisitions;
2
Table of Contents
•
to have a broader platform through the holding company structure to offer products
and services that will expand our banking relationships with our customers;
•
to provide better capital management tools, including the ability to pay dividends
and to repurchase shares of our common stock, subject to market conditions; and
•
to attract and retain qualified personnel by establishing stock-based benefit plans
for management and employees.
We believe that the additional capital raised in the offering may enable us to take advantage
of business opportunities that may not otherwise be available to us. As of June 30, 2009,
OmniAmerican Bank was considered "well capitalized" for regulatory purposes and is not subject to a
directive or a recommendation from the Office of Thrift Supervision to raise capital.
Terms of the Conversion and the Offering
Under OmniAmerican Bank's plan of conversion, our organization will convert to stock form and
OmniAmerican Bank will become a subsidiary of OmniAmerican Bancorp, Inc. In connection with the
conversion, we are offering between 7,650,000 and 10,350,000 shares of common stock to eligible
depositors of OmniAmerican Bank, to our employee benefit plans and, to the extent shares remain
available, to the general public. The number of shares of common stock to be sold may be increased
to up to 11,902,500 as a result of demand for the shares or changes in the market for financial
institution stocks. Unless the number of shares of common stock to be offered is increased to more
than 11,902,500 or decreased to less than 7,650,000, or the offering is extended beyond [extension
date], subscribers will not have the opportunity to change or cancel their stock orders.
The purchase price of each share of common stock to be issued in the offering is $10.00. All
investors will pay the same purchase price per share. Investors will not be charged a commission
to purchase shares of common stock in the offering. Keefe, Bruyette & Woods, Inc., our marketing
advisor in the offering, will use its best efforts to assist us in selling shares of our common
stock. Keefe, Bruyette & Woods, Inc. is not obligated to purchase any shares of common stock in
the offering.
Persons Who May Order Shares of Common Stock in the Offering
We are offering the shares of common stock in a "subscription offering" in the following
descending order of priority:
•
First, to depositors of OmniAmerican Bank with aggregate account balances of at
least $50 as of the close of business on March 31, 2008.
•
Second, to OmniAmerican Bank's tax-qualified employee benefit plans.
•
Third, to depositors of OmniAmerican Bank with aggregate account balances of at
least $50 as of the close of business on [supplemental date].
•
Fourth, to depositors of OmniAmerican Bank as of [other member date].
Shares of common stock not purchased in the subscription offering may be offered for sale to
the general public in a "community offering," with a preference given to natural persons residing
in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman, Johnson,
Rockwall, Parker,
3
Table of Contents
Tarrant and Wise. The community offering may begin concurrently with, during or promptly
after the subscription offering as we may determine at any time. If shares remain available for
sale following the subscription offering or community offering, we also may offer for sale shares
of common stock through a "syndicated community offering" managed by Keefe, Bruyette & Woods, Inc.
We have the right to accept or reject, in our sole discretion, orders received in the
community offering or syndicated community offering. We have not established any set criteria for
determining whether to accept or reject a purchase order in the community offering or the
syndicated community offering and, accordingly, any determination to accept or reject purchase
orders in the community offering and the syndicated community offering will be based on the facts
and circumstances known to us at the time.
To ensure a proper allocation of stock, each subscriber eligible to purchase stock in the
subscription offering must list on his or her stock order and certification form all deposit
accounts in which he or she had an ownership interest at March 31, 2008, [supplemental date] or
[other member date], as applicable. Failure to list all accounts, or providing incorrect
information, could result in the loss of all or part of a subscriber's stock allocation. Our
interpretation of the terms and conditions of the plan of conversion and of the acceptability of
the order forms will be final.
If we receive orders for more shares than we are offering, we may not be able to fully or
partially fill your order. Shares will be allocated first in the order of priority to subscribers
in the subscription offering. A detailed description of share allocation procedures can be found
in the section entitled "The Conversion; Plan of Distribution."
How We Determined the Offering Range
The amount of common stock that we are offering is based on an independent appraisal of the
estimated market value of OmniAmerican Bancorp, Inc., assuming the conversion and the offering are
completed. RP Financial, LC., our independent appraiser, has estimated that, as of August 28,
2009, this market value ranged from $76.5 million to $103.5 million, with a midpoint of $90.0
million. Based on this valuation and a $10.00 per share price, the number of shares of common
stock being offered for sale by us will range from 7,650,000 shares to 10,350,000 shares. We may
sell up to 11,902,500 shares of common stock because of demand for the shares or changes in market
conditions without resoliciting subscribers. The $10.00 per share price was selected primarily
because it is the price most commonly used in mutual-to-stock conversions of financial
institutions.
The appraisal is based in part on our financial condition and results of operations, the
effect of the additional capital raised by the sale of shares of common stock in the offering and
an analysis of a peer group of ten publicly traded savings bank and thrift holding companies that
RP Financial, LC. considered comparable to us.
4
Table of Contents
The peer group consists of 10 thrift holding companies with assets between $531 million and
$1.2 billion.
Company Name and Ticker Symbol
Exchange
Headquarters
Total Assets
(in millions)
BCSB Bancorp, Inc. (BCSB)
NASDAQ
Baltimore, MD
$
587
(1)
Beacon Federal Bancorp, Inc. (BFED)
NASDAQ
East Syracuse, NY
1,046
(1)
Citizens Community Bancorp, Inc.
(CZWI)
NASDAQ
Eau Claire, WI
547
(1)
Citizens South Banking Corporation (CSBC)
NASDAQ
Gastonia, NC
836
(1)
Community Financial Corp. (CFFC)
NASDAQ
Staunton, VA
531
(1)
ESSA Bancorp, Inc. (ESSA)
NASDAQ
Stroudsburg, PA
1,053
(1)
HF Financial Corp.
(HFFC)
NASDAQ
Sioux Falls, SD
1,172
(2)
HopFed Bancorp, Inc. (HFBC)
NASDAQ
Hopkinsville, KY
1,002
(1)
Jefferson Bancshares, Inc.
(JFBI)
NASDAQ
Morristown, TN
663
(2)
Teche Holding Company (TSH)
NYSE AMEX
Franklin, LA
790
(1)
(1)
Assets are as of June 30, 2009.
(2)
Assets are as of March 31, 2009.
The following are average financial ratios for the peer group companies:
•
average assets of $823 million;
•
average non-performing assets of 1.2% of total assets;
•
average loans of 74.8% of total assets;
•
average equity of 10.5% of total assets; and
•
average net income of 0.12% of average assets.
The following table presents a summary of selected pricing ratios for OmniAmerican Bancorp,
Inc. and the peer group companies identified by RP Financial, LC. Ratios are based on earnings for
the twelve months ended June 30, 2009 and book value as of June 30, 2009, except as noted in the
table above where company information is as of March 31, 2009, the most recent information
available. Tangible book value is total equity, less intangible assets. Compared to the median
pricing of the peer group, our pro forma pricing ratios at the maximum of the offering range
indicated a premium of 5,888.31% on a price-to- earnings basis, a premium of 1.5% on a
price-to-book value basis and a discount of 20.1% on a price-to-tangible book value basis. The
pricing ratios result from our generally having higher levels of equity but lower core earnings
than the companies in the peer group on a pro forma basis. The pricing ratios also reflect recent
volatile market conditions, particularly for stock of financial institution holding companies, and
the effect of such conditions on the trading market for recent mutual-to-stock conversions. Our
board of directors, in reviewing and approving the valuation, considered the range of price-to-core
earnings multiples and the range of price-to-book value ratios and price-to-tangible book value
ratios at the different amounts of shares to be sold in the offering. The appraisal did not
consider one valuation approach to be more important than the other.
5
Table of Contents
Price-to- earnings
Price-to-book
Price-to-tangible
multiple
value ratio
book value ratio
OmniAmerican Bancorp,
Inc. (pro
forma)
(1)
Maximum, as adjusted
6,471.36x
62.00
%
62.00
%
Maximum
804.23x
58.00
%
58.00
%
Minimum
238.67x
49.33
%
49.33
%
Valuation of peer group
companies using stock
prices as of August 28,
2009
Averages
17.70x
66.09
%
74.69
%
Medians
13.43x
57.15
%
72.55
%
(1)
Based on earnings for the twelve months ended June 30, 2009 and book value as of June 30,
2009.
RP Financial, LC. advised the board of directors that the appraisal was prepared in
conformance with the regulatory appraisal methodology. That methodology requires a valuation based
on an analysis of the trading prices of comparable public companies whose stocks have traded for at
least one year prior to the valuation date, and as a result of this analysis, RP Financial, LC.
determined that our pro forma price-to-core earnings ratios were higher than the peer group
companies and our pro forma price-to-book and price-to-tangible book ratios were lower than the
peer group companies. See "—How We Determined the Offering Range."
Our board of directors carefully reviewed the information provided to it by RP Financial, LC.
through the appraisal process, but did not make any determination regarding whether prior standard
mutual-to-stock conversions have been undervalued, nor did the board draw any conclusions regarding
how the historical data reflected above may affect OmniAmerican Bancorp, Inc.'s appraisal.
Instead, we engaged RP Financial, LC. to help us understand the regulatory process as it applies to
the appraisal and to advise the board of directors as to how much capital OmniAmerican Bancorp,
Inc. would be required to raise under the regulatory appraisal guidelines.
The independent appraisal does not indicate per share market value. Do not assume or expect
that the valuation of OmniAmerican Bancorp, Inc. as indicated above means that, after the
conversion and the offering, the shares of common stock will trade at or above the $10.00 offering
price. Furthermore, the pricing ratios presented above were utilized by RP Financial, LC. to
estimate our market value and not to compare the relative value of shares of our common stock with
the value of the capital stock of the peer group. The value of the capital stock of a particular
company may be affected by a number of factors such as financial performance, asset size and market
location.
The independent appraisal will be updated prior to the completion of the conversion. If the
appraised value decreases below $76.5 million or increases above $119.0 million, subscribers may be
resolicited with the approval of the Office of Thrift Supervision and be given the opportunity to
change or cancel their orders. If you do not respond, we will cancel your stock order and return
your subscription funds, with interest, and cancel any authorization to withdraw funds from your
deposit accounts for the purchase of shares of common stock. For a more complete discussion of the
amount of common stock we are offering for sale and the independent appraisal, see "The Conversion;
Plan of Distribution—Determination of Share Price and Number of Shares to be Issued."
6
Table of Contents
After-Market Stock Price Performance Provided by Independent Appraiser
The following table presents stock price appreciation information for all standard
mutual-to-stock conversions completed between January 1, 2008 and August 28, 2009. These companies
did not constitute the group of ten comparable public companies utilized in RP Financial, LC.'s
valuation analysis.
Mutual-to-Stock Conversion Offerings with Closing Dates
between January 1, 2008 and August 28, 2009
Percentage Price Appreciation (Depreciation)
From Initial Trading Date
Company Name and
Conversion
Through August
Ticker Symbol
Date
Exchange
One Day
One Week
One Month
28, 2009
Territorial Bancorp, Inc. (TBNK)
7/13/09
NASDAQ
49.9
%
47.5
%
48.7
%
60.0
%
St. Joseph Bancorp, Inc. (SJBA)
2/2/2009
OTCBB
—
—
—
—
Hibernia Homestead Bancorp, Inc. (HIBE)
1/28/2009
OTCBB
5.0
5.0
5.0
40.0
First Savings Financial Group, Inc.
(FSFG)
10/7/2008
NASDAQ
(1.0
)
(0.1
)
(7.8
)
8.0
Home Bancorp, Inc. (HBCP)
10/3/2008
NASDAQ
14.9
2.5
3.5
20.1
Cape Bancorp, Inc. (CBNJ)
2/1/2008
NASDAQ
0.5
(1.0
)
(2.0
)
(17.2
)
Danvers Bancorp, Inc. (DNBK)
1/10/2008
NASDAQ
(2.6
)
(3.1
)
2.6
29.4
Average
9.5
7.3
7.1
20.0
Median
0.5
0.0
2.60
20.1
Stock price appreciation is affected by many factors, including, but not limited to: general
market and economic conditions; the interest rate environment; the amount of proceeds a company
raises in its offering; and numerous factors relating to the specific company, including the
experience and ability of management, historical and anticipated operating results, the nature and
quality of the company's assets, and the company's market area. The companies listed in the table
above may not be similar to OmniAmerican Bancorp, Inc., the pricing ratios for their stock
offerings were in some cases different from the pricing ratios for OmniAmerican Bancorp, Inc.'s
common stock and the market conditions in which these offerings were completed were, in some cases,
different from current market conditions. Any or all of these differences may cause our stock to
perform differently from these other offerings.
There can be no assurance that our stock price will not trade below $10.00 per share, as has
been the case for many mutual-to-stock conversions. Before you make an investment decision, we
urge you to carefully read this prospectus, including, but not limited to, the section entitled
"Risk Factors" beginning on page 16.
Limits on How Much Common Stock You May Purchase
The minimum number of shares of common stock that may be purchased is 25. Generally, no
individual, or individuals exercising subscription rights through a single qualifying account held
jointly, may purchase more than 30,000 shares ($300,000) of common stock. If any of the following
persons purchases shares of common stock, their purchases, in all categories of the offering, when
combined with your purchases, cannot exceed 50,000 shares ($500,000):
•
your spouse or relatives of you or your spouse living in your house;
•
most companies, trusts or other entities in which you are a trustee, have a
substantial beneficial interest or hold a senior management position; or
7
Table of Contents
•
other persons who may be your associates or persons acting in concert with you.
See the detailed descriptions of "acting in concert" and "associate" in "The Conversion; Plan
of Distribution—Limitations on Common Stock Purchases."
How You May Purchase Shares of Common Stock
In the subscription offering and community offering, you may pay for your shares only by:
•
personal check, bank check or money order, made payable to OmniAmerican Bancorp,
Inc.; or
•
authorizing us to withdraw funds from the types of OmniAmerican Bank deposit
accounts permitted on the stock order and certification form.
OmniAmerican Bank is not permitted to knowingly lend funds to anyone for the purpose of
purchasing shares of common stock in the offering. Additionally, you may not use a check drawn on
an OmniAmerican Bank line of credit or a third-party check to pay for shares of common stock.
You can subscribe for shares of common stock in the offering by delivering a signed and
completed original stock order and certification form, together with full payment or authorization
to withdraw from one or more of your OmniAmerican Bank deposit accounts, so that it is received
(not postmarked) before 12:00 noon, local time, on [expiration date], which is the expiration of
the offering period. For orders paid for by check or money order, the funds will be cashed
promptly and held in a segregated account at OmniAmerican Bank, or in our discretion at another
insured depository institution. We will pay interest on those funds calculated at OmniAmerican
Bank's current passbook savings rate from the date funds are received until completion or
termination of the conversion and the offering. Withdrawals from certificates of deposit to
purchase shares of common stock in the offering may be made without incurring an early withdrawal
penalty; however, if a withdrawal results in a certificate account with a balance less than the
applicable minimum balance requirement, the certificate will be canceled at the time of withdrawal
without penalty and the remaining balance will be transferred to a savings account and earn
interest at our passbook savings rate subsequent to the withdrawal. All funds authorized for
withdrawal from deposit accounts with OmniAmerican Bank must be in the accounts at the time the
stock order is received. However, funds will not be withdrawn from the accounts until the
completion of the conversion and offering and will earn interest at the applicable deposit account
rate until that time. A hold will be placed on those funds when your stock order is received,
making the designated funds unavailable to you. After we receive your order, your order cannot be
changed or canceled unless the number of shares of common stock to be offered is increased to more
than 11,902,500 shares or decreased to fewer than 7,650,000 shares, or the offering is extended
beyond [extension date].
By signing the stock order and certification form, you are acknowledging receipt of a
prospectus and that the shares of common stock are not deposits or savings accounts that are
federally insured or otherwise guaranteed by OmniAmerican Bank, the Federal Deposit Insurance
Corporation or any other government agency.
You may be able to subscribe for shares of common stock using funds in your individual
retirement account, or IRA. However, shares of common stock must be purchased through and held in
a self-directed retirement account, such as those offered by a brokerage firm. By regulation,
OmniAmerican Bank's individual retirement accounts are not self-directed, so they cannot be used to
purchase or hold shares of our common stock. If you wish to use some or all of the funds in your
8
Table of Contents
OmniAmerican Bank individual retirement account to purchase our common stock, the applicable
funds must be transferred to a self-directed account maintained by an independent trustee, such as
a brokerage firm, and the purchase must be made through that account. If you do not have such an
account, you will need to establish one before placing your stock order. It will take time to
transfer your OmniAmerican Bank individual retirement account to an independent trustee, so please
allow yourself sufficient time to take this action. An annual administrative fee may be payable to
the independent trustee. Because individual circumstances differ and processing of retirement fund
orders takes additional time, we recommend that you contact our Stock Information Center promptly,
preferably at least two weeks before the [expiration date] expiration of the offering period, for
assistance with purchases using your OmniAmerican Bank individual retirement account or any other
retirement account that you may have. Whether you may use such funds for the purchase of shares in
the stock offering may depend on time constraints and, possibly, limitations imposed by the
brokerage firm or institution where the funds are held.
Delivery of Stock Certificates
Certificates representing shares of common stock sold in the offering will be mailed to the
persons entitled thereto at the certificate registration address noted by them on the order form,
as soon as practicable following consummation of the offering and receipt of all necessary
regulatory approvals.
It is possible that, until certificates for the common stock are delivered,
purchasers might not be able to sell the shares of common stock that they ordered, even though the
common stock will have begun trading.
How We Intend to Use the Proceeds From the Offering
Assuming we sell 11,902,500 shares of common stock in the stock offering, and we have net
proceeds of $116.0 million, we intend to distribute the net proceeds as follows:
•
$58.0 million (50.0% of the net proceeds) will be invested in OmniAmerican Bank;
•
$9.5 million (8.2% of the net proceeds) will be loaned to our employee stock
ownership plan to fund its purchase of our shares of common stock; and
•
$48.5 million (41.8% of the net proceeds) will be retained by us.
We may use the remaining funds we receive for investments, to pay cash dividends, to
repurchase shares of common stock and for other general corporate purposes. OmniAmerican Bank may
use the proceeds it receives to support increased lending and other products and services, and to
repay short-term borrowings. The net proceeds retained by OmniAmerican Bancorp, Inc. and
OmniAmerican Bank also may be used for future business expansion through acquisitions of banks,
thrifts and other financial services companies, and opening or acquiring branch offices. We have
no current arrangements or agreements with respect to any such acquisitions. Initially, a
substantial portion of the net proceeds will be invested in short-term investments and
mortgage-backed securities consistent with our investment policy.
Please see the section of this prospectus entitled "How We Intend to Use the Proceeds From the
Offering" for more information on the proposed use of the proceeds from the offering.
9
Table of Contents
You May Not Sell or Transfer Your Subscription Rights
Office of Thrift Supervision regulations prohibit you from transferring your subscription
rights. If you order shares of common stock in the subscription offering, you will be required to
state that you are purchasing the shares of common stock for yourself and that you have no
agreement or understanding to sell or transfer your subscription rights.
We intend to take legal
action, including reporting persons to federal or state regulatory agencies, against anyone who we
believe has sold or given away his or her subscription rights. We will not accept your order if we
have reason to believe that you have sold or transferred your subscription rights.
When completing
your stock order and certification form, you should not add the name(s) of persons who do not have
subscription rights or who qualify in a lower subscription priority than you do. In addition, the
stock order and certification form requires that you list all deposit or loan accounts, giving all
names on each account and the account number at the applicable eligibility record date. Your
failure to provide this information, or providing incomplete or incorrect information, may result
in a loss of part or all of your share allocation, if there is an oversubscription.
Deadline for Orders of Common Stock
If you wish to purchase shares of common stock in the offering, we must receive a properly
completed original stock order and certification form, together with full payment for the shares of
common stock, at the Stock Information Center or any of our branch offices no later than 12:00
noon, local time, on [expiration date]. A postmark prior to [expiration date] will not entitle you
to purchase shares of common stock unless we receive the envelope by 12:00 noon, local time on
[expiration date]. You may submit your stock order and certification form by mail using the order
reply envelope provided, by overnight courier to the indicated address on the order form, or by
hand delivery to our Stock Information Center, located at 1320 South University Drive, Suite 900,
Fort Worth, Texas 76107, or to any of our branch offices. Once we receive it, your order is
irrevocable unless the offering is terminated or extended beyond [extension date] or the number of
shares of common stock to be sold is decreased to less than 7,650,000 shares or increased to more
than 11,902,500 shares. If the offering is extended beyond [extension date], or if the number of
shares of common stock to be sold is decreased to less than 7,650,000 shares or is increased to
more than 11,902,500 shares, we will, with the approval of the Office of Thrift Supervision,
resolicit subscribers, giving them the opportunity to confirm, cancel or change their stock orders
during a specified resolicitation period.
Although we will make reasonable attempts to provide a prospectus and offering materials to
holders of subscription rights, the subscription offering and all subscription rights will expire
at 12:00 noon, local time, on [expiration date], whether or not we have been able to locate each
person entitled to subscription rights.
Steps We May Take If We Do Not Receive Orders for the Minimum Number of Shares
If we do not receive orders for at least 7,650,000 shares of common stock, we may take steps
to issue the minimum number of shares of common stock in the offering range. Specifically, we may:
•
increase the purchase limitations; and/or
•
seek the approval of the Office of Thrift Supervision to extend the offering beyond
[extension date], so long as we resolicit subscriptions that we have previously
received in the offering.
10
Table of Contents
If a purchase limitation is increased, subscribers in the subscription offering who ordered
the maximum amount will be, and, in our sole discretion, some other large subscribers may be, given
the opportunity to increase their subscriptions up to the then-applicable limit.
Possible Change in the Offering Range
RP Financial, LC. will update its appraisal before we complete the offering. If, as a result
of demand for the shares, or changes in market conditions, RP Financial, LC. determines that our
pro forma market value has increased, we may sell up to 11,902,500 shares in the offering without
further notice to you. If our pro forma market value at that time is either below $76.5 million or
above $119.0 million, then, after consulting with the Office of Thrift Supervision, we may:
•
terminate the stock offering and promptly return all funds;
•
set a new offering range and give all subscribers the opportunity to confirm, modify
or rescind their purchase orders for shares of OmniAmerican Bancorp, Inc.'s common
stock; or
•
take such other actions as may be permitted by the Office of Thrift Supervision and
the Securities and Exchange Commission.
Possible Termination of the Offering
We may terminate the offering at any time prior to the special meeting of members of
OmniAmerican Bank that is being called to vote upon the conversion, and at any time after member
approval with the approval of the Office of Thrift Supervision.
We must sell a minimum of 7,650,000 shares to complete the offering. If we terminate the
offering because we fail to sell the minimum number of shares or for any other reason, we will
promptly return your funds with interest at our passbook savings rate and we will cancel deposit
account withdrawal authorizations.
Purchases by Officers and Directors
We expect our directors and executive officers, together with their associates, to subscribe
for 175,000 shares of common stock in the offering, or 2.3% of the shares to be sold at the minimum
of the offering range. However, there can be no assurance that any individual director or
executive officer, or the directors and executive officers as a group, will purchase any specific
number of shares of our common stock. The purchase price paid by our directors and executive
officers for their subscribed shares will be the same $10.00 per share price paid by all other
persons who purchase shares of common stock in the offering. Purchases by directors, executive
officers and their associates will be included in determining whether the required minimum number
of shares has been subscribed for in the offering.
Benefits to Management and Potential Dilution to Stockholders Following the Conversion
We expect our tax-qualified employee stock ownership plan to purchase 8% of the total number
of shares of common stock that we sell in the offering, or 828,000 shares of common stock, assuming
we sell the maximum of the shares proposed to be sold. If we receive orders for more shares of
common stock than the maximum of the offering range, the employee stock ownership plan will have
first priority to purchase shares over this maximum, up to a total of 8% of the total number of
shares of common stock
11
Table of Contents
sold in the offering. This plan is a tax-qualified retirement plan for the benefit of all our
employees. Purchases by the employee stock ownership plan will be included in determining whether
the required minimum number of shares has been sold in the offering. Assuming the employee stock
ownership plan purchases 828,000 shares in the offering, we will recognize additional pre-tax
compensation expense of $8.3 million over a 25-year period, assuming the shares of common stock
have a fair market value of $10.00 per share for the full 25-year period. If, in the future, the
shares of common stock have a fair market value greater or less than $10.00, the compensation
expense will increase or decrease accordingly.
We also intend to implement one or more stock-based benefit plans no earlier than six months
after completion of the conversion. Stockholder approval of these plans will be required, and the
stock-based benefit plans cannot be implemented until at least six months after the completion of
the conversion pursuant to applicable Office of Thrift Supervision regulations. If adopted within
12 months following the completion of the conversion, the stock-based benefit plan will reserve a
number of shares of common stock equal to not more than 4% of the shares sold in the offering, or
up to 414,000 shares of common stock at the maximum of the offering range, for restricted stock
awards to key employees and directors, at no cost to the recipients. If adopted within 12 months
following the completion of the conversion, the stock-based benefit plan will also reserve a number
of stock options equal to not more than 10% of the shares of common stock sold in the offering, or
up to 1,035,000 shares of common stock at the maximum of the offering range, for key employees and
directors. If the stock-based benefit plans are adopted after one year from the date of the
completion of the conversion, the 4% and 10% limitations described above will no longer apply, and
we may adopt stock-based benefit plans encompassing more than 1,449,000 shares of our common stock.
We have not yet determined whether we will present these plans for stockholder approval within 12
months following the completion of the conversion or whether we will present these plans for
stockholder approval more than 12 months after the completion of the conversion.
If 4% of the shares of common stock sold in the offering are awarded under a stock-based
benefit plan and come from authorized but unissued shares of common stock, stockholders' ownership
interest in OmniAmerican Bancorp, Inc. would be diluted by approximately 3.8%. If 10% of the
shares of common stock sold in the offering are issued upon the exercise of options granted under a
stock-based benefit plan and come from authorized but unissued shares of common stock,
stockholders' ownership interest in OmniAmerican Bancorp, Inc. would be diluted by approximately
9.1% .
We intend to enter into a new employment agreement with Tim Carter, our President and Chief
Executive Officer and change in control agreements with Deborah B. Wilkinson, our Senior Executive
Vice President and Chief Financial Officer, Terry Almon, our Senior Executive Vice President and
Chief Operating Officer and Anne Holland, our Senior Executive Vice President and Chief Lending
Officer. See "Management of OmniAmerican Bancorp, Inc.—Executive Officer Compensation" for a
further discussion of these agreements, including their terms and potential costs, as well as a
description of other benefits arrangements.
12
Table of Contents
The following table summarizes the number of shares of common stock and aggregate dollar value
of grants (valuing each share granted at the offering price of $10.00) that are available under one
or more stock-based benefit plans if such plans are adopted within one year following the
completion of the conversion and the offering. The table shows the dilution to stockholders if all
these shares are issued from authorized but unissued shares, instead of shares purchased in the
open market. The table also sets forth the number of shares of common stock to be acquired by the
employee stock ownership plan for allocation to all employees. A portion of the stock grants shown
in the table below may be made to non-management employees.
Dilution
Number of Shares to be Granted or Purchased
Resulting
Value of Grants (1)
As a
From
At
At
At
At
Percentage
Issuance of
Minimum
Maximum
Minimum
Maximum
of Common
Shares for
of
of
of Offering
of Offering
Stock to be
Stock Benefit
Offering
Offering
Range
Range
Issued (2)
Plans
Range
Range
(Dollars in thousands)
Employee stock ownership plan
612,000
828,000
8.00
%
—
%
$
6,120
$
8,280
Stock awards
306,000
414,000
4.00
3.8
%
3,060
4,140
Stock options
765,000
1,035,000
10.00
9.1
%
3,810
5,154
Total
1,683,000
2,277,000
22.00
%
12.3
%
$
12,990
$
17,574
(1)
The actual value of restricted stock grants will be determined based on their fair value as
of the date grants are made. For purposes of this table, fair value is assumed to be the same
as the offering price of $10.00 per share. The fair value of stock options has been estimated
at $4.98 per option using the Black-Scholes option pricing model with the following
assumptions: a grant-date share price and option exercise price of $10.00; dividend yield of
0%; an expected option life of ten years; a risk-free interest rate of 3.53%; and a volatility
rate of 32.17% based on an index of publicly traded thrift institutions. The actual expense
of stock options granted under a stock-based benefit plan will be determined by the grant-date
fair value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted, which may or may not be the
Black-Scholes model.
(2)
The stock-based benefit plans may award a greater number of options and shares, respectively,
if the plans are adopted more than 12 months after the completion of the conversion.
The actual value of restricted stock grants will be determined based on their fair value (the
closing market price of shares of common stock of OmniAmerican Bancorp, Inc.) as of the date grants
are made. The following table presents the total value of all shares to be available for awards of
restricted stock under the stock-based benefit plan, assuming the shares for the plan are purchased
or issued in a range of market prices from $8.00 per share to $16.00 per share at the time of the
grant.
476,100 Shares
306,000 Shares
360,000 Shares
414,000 Shares
Awarded at Maximum
Awarded at Minimum
Awarded at Midpoint of
Awarded at Maximum
of Offering Range, As
Share Price
of Offering Range
Offering Range
of Offering Range
Adjusted
(In thousands, except share price information)
$
8.00
$
2,448
$
2,880
$
3,312
$
3,809
10.00
3,060
3,600
4,140
4,761
12.00
3,672
4,320
4,968
5,713
14.00
4,284
5,040
5,796
6,665
16.00
4,896
5,760
6,624
7,618
The grant-date fair value of the stock options granted under the stock-based benefit plans
will be based, in part, on the closing price of shares of common stock of OmniAmerican Bancorp,
Inc. on the date the options are granted. The fair value will also depend on the various
assumptions utilized in the option-pricing model ultimately adopted. The following table presents
the total estimated value of the stock options to be available for grant under the stock-based
benefit plans, assuming the range of market prices for the shares are $8.00 per share to $16.00 per
share at the time of the grant.
13
Table of Contents
1,035,000 Options
1,190,250 Options
Grant-Date Fair
765,000 Options at
900,000 Options at
at Maximum of
at Maximum of
Exercise Price
Value Per Option
Minimum of Range
Midpoint of Range
Range
Range, As Adjusted
(In thousands, except share price information)
$
8.00
$
3.98
$
3,045
$
3,582
$
4,119
$
4,737
10.00
4.98
3,810
4,482
5,154
5,927
12.00
5.97
4,567
5,373
6,179
7,106
14.00
6.97
5,332
6,273
7,214
8,296
16.00
7.96
6,089
7,164
8,239
9,474
The tables presented above are provided for informational purposes only. There can be no
assurance that our stock price will not trade below $10.00 per share. Before you make an
investment decision, we urge you to carefully read this prospectus, including, but not limited to,
the section entitled "Risk Factors" beginning on page 16.
Market for Common Stock
Depending on the number of shares we sell, we expect that our common stock will be listed on
the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol "OABC." Keefe,
Bruyette & Woods, Inc. currently intends to make a market in the shares of our common stock, but is
under no obligation to do so. See "Market for the Common Stock."
Our Policy Regarding Dividends
Following completion of the stock offering, our board of directors will have the authority to
declare dividends on our common stock, subject to statutory and regulatory requirements. However,
no decision has been made with respect to the amount, if any, and timing of any dividend payments.
The payment and amount of any dividend payments will depend upon a number of factors, including the
following:
•
regulatory capital requirements;
•
our financial condition and results of operations;
•
tax considerations;
•
statutory and regulatory limitations; and
•
general economic conditions and forecasts.
Tax Consequences
As a general matter, the conversion will not be a taxable transaction for federal or state
income tax purposes to OmniAmerican Bank, OmniAmerican Bancorp, Inc., or persons eligible to
subscribe in the subscription offering. See "Taxation" for additional information.
14
Table of Contents
Conditions to Completion of the Conversion and the Offering
We cannot complete the conversion and the offering unless:
•
the plan of conversion is approved by at least
a majority of votes eligible
to be
cast by members of OmniAmerican Bank. A special meeting of members to consider and
vote upon the plan of conversion has been set for [meeting date];
•
we have received orders to purchase at least the minimum number of shares of common
stock offered; and
•
we receive final approval of the Office of Thrift Supervision to complete the
conversion and the offering.
How You Can Obtain Additional Information
Our branch office personnel may not, by law, assist with investment-related questions about
the offering. If you have any questions regarding the conversion or the offering, please call our
Stock Information Center at [stock info #], Monday through Friday between 9:00 a.m. and 4:00 p.m.,
local time, or visit the Stock Information Center located at 1320 South University Drive, Suite
900, Fort Worth, Texas. The Stock Information Center will be closed on weekends and bank holidays.
TO ENSURE THAT EACH PERSON RECEIVES A PROSPECTUS AT LEAST 48 HOURS PRIOR TO THE EXPIRATION DATE OF
[EXPIRATION DATE] IN ACCORDANCE WITH FEDERAL LAW, NO PROSPECTUS WILL BE MAILED OR HAND-DELIVERED
ANY LATER THAN FIVE DAYS OR TWO DAYS, RESPECTIVELY, PRIOR TO [EXPIRATION DATE].
15
Table of Contents
RISK FACTORS
You
should consider carefully the following risk factors in evaluating an
investment in our
shares of common stock.
Risks Related to Our Business
Our loan portfolio has greater risk than those of many savings banks due to the substantial number
of automobile and other consumer loans in our portfolio.
We have a diversified loan portfolio with a substantial number of loans secured by collateral
other than owner-occupied one- to four-family residential real estate. Our loan portfolio includes
a substantial number of indirect automobile loans which are automobile loans referred to us by a
participating automobile dealership. At June 30, 2009, our consumer loans totaled $249.2 million,
or 33.9% of our total loan portfolio, and indirect automobile loans were the largest category of
consumer loans representing 27.0% of total loans at June 30, 2009. Our consumer loan portfolio
also includes direct automobile loans, unsecured loans and loans secured by other personal
property. Consumer loans generally have greater risk of loss or default than one- to four-family
residential mortgage loans, particularly in the case of loans that are secured by rapidly
depreciable assets, such as automobiles, or loans that are unsecured. In these cases, we face the
risk that any collateral for a defaulted loan may not provide an adequate source of repayment of
the outstanding loan balance. Thus, the recovery and sale of such property could be insufficient to
compensate us for the principal outstanding on these loans. Furthermore, the application of
various federal and state laws, including bankruptcy and insolvency laws, may limit our ability to
recover on such loans. Finally, because indirect automobile loan applications are written by
automobile dealerships, we assume the risks associated with a dealership properly complying with
federal, state and local consumer protection laws.
As a result of our relatively large portfolio of consumer loans, it may become necessary to
increase our provision for loan losses in the event our losses on these loans increase, which would
reduce our profits. In addition, a portion of our automobile loans are made to borrowers with
credit scores that would cause such loans to be considered subprime. At June 30, 2009, $14.6
million, or 6.4% of our total automobile loan portfolio, consisted of automobile loans where the
borrower's credit score was 660 or less (a possible indication of a credit-impaired borrower). See
"Business of OmniAmerican Bank — Lending Activities — Consumer Loans."
A portion of our loan portfolio consists of loans made to persons with impaired credit or with
reduced documentation, which presents greater risk of loss or delinquency.
As of June 30, 2009, $22.1 million, or 8.4%, of our one- to four-family residential mortgage
loans were to borrowers with a credit score of 660 or less (a possible indication of a
credit-impaired borrower) and additional credit weakness. Weakened credit characteristics of a
borrower may include prior loan payment delinquencies, foreclosure of prior loans, bankruptcies or
prior non-payment of loans. Loans to such borrowers may also present a greater credit risk to us
based upon the borrower's debt to income ratio, the results of a credit review or other criteria
that indicates that the borrower may have an insufficient or impaired credit history.
We also have loans to borrowers who provide limited or no documentation of assets or income,
known as stated income loans. At June 30, 2009, we had $14.7 million of stated income loans, or
5.6% of our one- to four-family residential loans. As of June 30, 2009, we had $10.9 million of
interest-only one-
16
Table of Contents
to four-family mortgage loans. This amount represents 4.2% of our total one- to four-family
residential mortgage loans, with $8.0 million of our interest-only loans comprised of
adjustable-rate loans. The interest rate on these loans is initially fixed for three, five or
seven year terms and then adjusts in accordance with the terms of the loan to require payment of
both principal and interest in order to amortize the loan for the remainder of the term.
In 2008, we began purchasing one- to four-family residential loans, which included subprime,
stated income and interest-only loans, at a discount to the original principal balance of the
mortgage loan. As of June 30, 2009, the total outstanding balance of all purchased one- to
four-family residential mortgage loans was $32.4 million, or 12.4% of our one- to four-family
residential loans and 4.4% of our total loans, while the carrying value of such loans, net of
purchase discounts, was $27.3 million. Our purchased one- to four-family residential mortgage
loans included $6.8 million of subprime loans as of June 30, 2009. In addition, these purchased
one- to four-family residential mortgage loans included $14.1 million of stated income loans and
$7.4 million of interest-only loans (of which $5.9 million were also stated income loans). At June
30, 2009, the purchased subprime, stated income and interest-only loans represented 2.6%, 5.4% and
2.8%, respectively, of our total one- to four-family residential mortgage loans. We intend to
continue to purchase subprime, stated income and interest-only loans that we service, as market
conditions permit, and we are able to obtain the loans at a sufficient discount to the loan
balance to compensate us for the added risk associated with such loans.
These types of one- to four-family residential mortgage loans are generally considered to have
a greater risk of delinquency and foreclosure than conforming loans and may require greater
provisions for loan losses. Although we have not yet experienced large increases in delinquencies
or foreclosures in this portfolio, our residential mortgage loan portfolio may be adversely
affected in the event of a continued downturn in regional or national economic conditions. In
addition, the value of the real estate securing these loans may become less than any remaining loan
balance if local property values deteriorate further. Consequently, we could sustain loan losses
and be required to establish a higher provision for loan losses.
Our loan portfolio has more risk due to the recent change in our lending emphasis resulting in a
greater percentage of new one- to four-family residential mortgage loans.
Between 2004 and 2009, the composition of our loan portfolio changed significantly as the
dollar amount and percentage of our loans secured by one- to four-family residential real estate
increased to $261.3 million, or 35.5% of total loans, at June 30, 2009, from $153.4 million, or
17.7% of total loans, at December 31, 2004. During this period, our consumer loans decreased to
$249.2 million, or 33.9% of total loans, at June 30, 2009, from $622.8 million, or 71.7% of total
loans, at December 31, 2004. As a result of this change in our lending emphasis, a significant
portion of our one- to four-family residential mortgage loans are relatively new or "unseasoned,"
have not been outstanding for a sufficient period of time to demonstrate performance and indicate
the potential risks in the loan portfolio. For example, our unseasoned adjustable-rate residential
mortgage loans have not been subject to an interest rate environment that required them to adjust
to the maximum interest rate level and may involve risks resulting from potentially increasing
payment obligations by borrowers.
We have increased our levels of non-residential mortgage loans and commercial business loans which
has increased our exposure to credit risk.
Since our conversion from a credit union to a savings bank, we have increased the amount of
loans secured by commercial real estate, as well as real estate construction and commercial
business loans. At June 30, 2009, our portfolio of commercial real estate loans totaled $95.6
million, or 13.0% of
17
Table of Contents
our total loans, compared to $74.2 million, or 10.2% of our total loans, at December 31, 2006.
At June 30, 2009, our portfolio of real estate construction loans totaled $40.5 million, or 5.5% of
our total loans, compared to $28.8 million, or 4.0% of our total loans, at December 31, 2006. At
June 30, 2009, our portfolio of commercial business loans totaled $61.4 million, or 8.3% of our
total loans, compared to $11.6 million, or 1.6%, of our total loans at December 31, 2006. We
intend to continue to emphasize the origination of these types of loans consistent with safety and
soundness standards.
However, commercial real estate loans, real estate construction loans and commercial business
loans generally have a greater risk of loss than owner-occupied one- to four-family residential
mortgage loans. Repayment of commercial real estate, real estate construction and commercial
business loans generally depends, in large part, on sufficient income from the property or the
borrower's business to cover operating expenses and debt service. These types of loans typically
involve larger loan balances to single borrowers or groups of related borrowers compared to one- to
four-family residential mortgage loans. Changes in economic conditions that are beyond the control
of the borrower and lender may affect the value of the security for the loan, the future cash flow
of the affected property or business, or the marketability of a construction project with respect
to loans originated for the acquisition and development of property. As we increase our portfolio
of these loans, our level of non-performing loans may increase.
We intend to emphasize business lending and marketing our products and services to small and
medium-sized businesses. These small and medium-sized businesses generally have fewer financial
resources in terms of capital or borrowing capacity than larger entities. If general economic
conditions negatively affect these businesses, our results of operations and financial condition
may be adversely affected.
Protecting our business from identity theft and the theft of other customer data increases our cost
of operations. To the extent that we, or our third party providers, are unable to prevent the loss
of customer information, our operations may become disrupted and our net income may be adversely
affected.
In recent years, the breach of computer and network systems of businesses, such as banks, by
national and international criminals (cyber-fraud) has become more prevalent. Financial fraud is a
growing risk of doing business for financial institutions. In January 2008, we experienced a breach
of security involving our ATM/debit card system. Moreover, in August 2009, law enforcement
authorities arrested members of the largest identity theft operation ever conducted in the United
States. The identity theft operation included the theft of information from a number of retail
companies and Heartland Payment Systems, a payment transaction processing center used by many
merchants. As a result of this recent identity theft operation, a number of our customers who had
their debit card transactions processed through Heartland Payment Systems had their customer
information breached. We have remediated the problem and have filed a claim with our insurance
carrier to reimburse us for our costs associated with the breach of Heartland Payment Systems. We
currently estimate that the cost of addressing the identity theft will be approximately $1.3
million, which includes the losses incurred resulting directly from the identity theft and the
costs to reissue debit cards. At this time we are unable to determine the extent to which our
insurance will cover the costs associated with addressing the identity theft.
We must protect our computer systems and network from physical break-ins, security breaches,
and other disruptive problems caused by the Internet or other users. Moreover, third party
providers such as Heartland Payment Systems, must also take similar actions to protect customer
information. We rely on encryption and authentication technology to provide the security and
authentication necessary to effect
18
Table of Contents
secure transmissions of confidential information, as do our third party providers. However,
security measures implemented by us or our third party providers may not prevent cyber-fraud.
Advances in computer capabilities, new discoveries in the field of cryptography or other
developments could result in a compromise or breach of the algorithms we and our third-party
service providers use to protect customer transaction data. If any compromise of our security or
the security of our third party providers were to occur, it could have a material adverse effect on
our business, financial condition and results of operations.
We could record future impairment losses on our holdings of investment securities. We may not
receive full future interest payments on these securities.
Our investment portfolio includes trust preferred securities and private label collateralized
mortgage obligations. We periodically review the performance of these securities and conduct tests
for their impairment. As of June 30, 2009, we determined that no other than temporary impairment
loss associated with our investment securities was required to be charged to income. A number of
factors or combinations of factors could cause us to conclude in one or more future reporting
periods that an unrealized loss that exists with respect to these securities constitutes an
additional impairment that is other than temporary, which could result in material losses to us.
These factors include, but are not limited to, continued failure to make scheduled interest
payments, an increase in the severity of the unrealized loss on a particular security, an increase
in the continuous duration of the unrealized loss without an improvement in value or changes in
market conditions and/or industry or issuer specific factors that would render us unable to
forecast a full recovery in value. In addition, the fair values of these investment securities
could decline if the overall economy and the financial condition of some of the issuers continue to
deteriorate and there remains limited liquidity for these securities.
If our allowance for loan losses is not sufficient to cover actual loan losses, our earnings will
decrease.
We make various assumptions and judgments about the collectability of our loan portfolio,
including the creditworthiness of our borrowers and the value of the real estate and other assets
serving as collateral for the repayment of many of our loans. In determining the amount of the
allowance for loan losses, we review our loans and our loss and delinquency experience, and we
evaluate economic conditions. If our assumptions are incorrect, our allowance for loan losses may
not be sufficient to cover probable incurred losses in our loan portfolio, requiring us to make
additions to our allowance for loan losses. While our allowance for loan losses was 1.20% of total
loans at June 30, 2009, material additions to our allowance could materially decrease our net
income.
In addition, bank regulators periodically review our allowance for loan losses and may require
us to increase our allowance for loan losses or recognize further loan charge-offs. Any increase
in our allowance for loan losses or loan charge-offs as required by these regulatory authorities
may have a material adverse effect on our financial condition and results of operations.
Our expenses may increase as a result of increases in Federal Deposit Insurance Corporation
insurance premiums.
On February 27, 2009, the Federal Deposit Insurance Corporation issued a final rule that
alters the way the Federal Deposit Insurance Corporation calculates federal deposit insurance
assessment rates. Under the rule, the Federal Deposit Insurance Corporation first establishes an
institution's initial base assessment rate. This initial base assessment rate ranges from 12 to 45
basis points, depending on the risk
19
Table of Contents
category of the institution. The Federal Deposit Insurance Corporation then adjusts the
initial base assessment (higher or lower) to obtain the total base assessment rate. The
adjustments to the initial base assessment rate are based upon an institution's levels of unsecured
debt, secured liabilities, and brokered deposits. The total base assessment rate ranges from 7 to
77.5 basis points of the institution's deposits. Additionally, the Federal Deposit Insurance
Corporation on May 22, 2009, issued a final rule that imposes a special 5 basis point assessment on
each FDIC-insured depository institution's assets, minus its Tier 1 capital as of June 30, 2009,
which will be collected on September 30, 2009. The special assessment will be capped at 10 basis
points of an institution's domestic deposits. This special assessment resulted in additional
noninterest expense of $478,000 during the six months ended June 30, 2009. The Federal Deposit
Insurance Corporation may impose additional special assessments in the future.
The Emergency Economic Stabilization Act of 2008 temporarily increased the limit on Federal
Deposit Insurance Corporation insurance coverage for deposits to $250,000, which was further
extended through December 31, 2013 by the Helping Families Save Their Homes Act of 2009, and the
Federal Deposit Insurance Corporation took action to provide coverage for newly-issued senior
unsecured debt and noninterest-bearing transaction and certain NOW accounts in excess of the
$250,000 limit, for which institutions will be assessed additional premiums. These actions will
significantly increase our noninterest expense in 2009 and in future years as long as the increased
premiums are in place.
Future changes in interest rates could reduce our profits.
Our ability to make a profit largely depends on our net interest income, which could be
negatively affected by changes in interest rates. Net interest income is the difference between:
•
the interest income we earn on our interest-earning assets, such as loans and
securities; and
•
the interest expense we pay on our interest-bearing liabilities, such as deposits
and borrowings.
As a result of our focus on one- to four-family residential mortgage loans, the interest rates
we earn on our loans are generally fixed for a longer period of time. Additionally, many of our
securities investments have lengthy maturities with fixed interest rates. Like many savings
institutions, our focus on deposit accounts as a source of funds, which have no stated maturity
date or shorter contractual maturities, results in our liabilities having a shorter duration than
our assets. For example, as of June 30, 2009, 38.4% of our loans had maturities of 15 years or
longer, while 84.0% of our certificates of deposits had maturities of one year or less. This
imbalance can create significant earnings volatility, because market interest rates change over
time. In a period of rising interest rates, the interest income we earn on our assets, such as
loans and investments, may not increase as rapidly as the interest we pay on our liabilities, such
as deposits. In a period of declining interest rates, the interest income we earn on our assets
may decrease more rapidly than the interest we pay on our liabilities, as borrowers prepay mortgage
loans, and mortgage-backed securities and callable investment securities are called or prepaid,
thereby requiring us to reinvest these cash flows at lower interest rates. See "Management's
Discussion and Analysis of Financial Condition and Results of Operations—Management of Market
Risk."
In addition, changes in interest rates can affect the average life of loans and
mortgage-backed and related securities. A reduction in interest rates results in increased
prepayments of loans and mortgage-backed and related securities, as borrowers refinance their debt
in order to reduce their borrowing costs. This creates reinvestment risk, which is the risk that we
may not be able to reinvest prepayments at rates
20
Table of Contents
that are comparable to the rates we earned on the prepaid loans or securities. Additionally,
increases in interest rates may decrease loan demand and/or make it more difficult for borrowers to
repay adjustable-rate loans.
Changes in interest rates also affect the current fair value of our interest-earning
securities portfolio. Generally, the value of securities moves inversely with changes in interest
rates. At June 30, 2009, the fair value of our available for sale securities portfolio, consisting
of mortgage-backed securities issued by U.S. Government sponsored enterprises, collateralized
mortgage obligations, municipal obligations, trust preferred securities, agency bonds and equity
securities totaled $184.0 million. Gross unrealized losses on these securities totaled $2.8
million at June 30, 2009.
We evaluate interest rate sensitivity using an the Office of Thrift Supervision model that
estimates the change in our net portfolio value over a range of interest rate scenarios, also known
as a "rate shock" analysis. Net portfolio value is the discounted present value of expected cash
flows from assets, liabilities and off-balance sheet contracts. At June 30, 2009, the Office of
Thrift Supervision "rate shock" analysis indicated that our net portfolio value would decrease by
$9.2 million if there was an instantaneous 200 basis point increase in market interest rates. See
"Management's Discussion and Analysis of Financial Condition and Results of Operations—Management
of Market Risk."
A legislative proposal has been introduced that would eliminate our primary federal regulator,
require us to convert to a national bank or state bank, and require OmniAmerican Bancorp, Inc. to
become a bank holding company.
The U.S. Treasury Department recently introduced proposed legislation that would affect
significant changes to the current bank regulatory system. The proposal would create a new federal
banking regulator, the National Bank Supervisor, and merge our current primary federal regulator,
the Office of Thrift Supervision, as well as the Office of the Comptroller of the Currency (the
primary federal regulator for national banks) into the new federal bank regulator. The proposal
would also eliminate federal savings banks and require all federal savings banks, such as
OmniAmerican Bank, to elect, within six months of the effective date of the legislation, to convert
to either a national bank, state bank or state savings association. A federal savings bank that
does not make the election would, by operation of law, be converted to a national bank within one
year of the effective date of the legislation. If OmniAmerican Bank is required to convert to a
national bank, state bank or a state savings association, OmniAmerican Bancorp, Inc. would become a
bank holding company subject to regulation and supervision by the Board of Governors of the Federal
Reserve System instead of the Office of Thrift Supervision. As a bank holding company,
OmniAmerican Bancorp, Inc. may become subject to regulatory capital requirements and certain
additional restrictions on its activities.
Negative developments in the financial industry and the domestic and international credit markets
may adversely affect our operations and results.
Negative developments in the global credit and securitization markets during the past two
years have resulted in a global recession and significant uncertainty in the financial markets.
Loan portfolio quality has deteriorated at many institutions, reflecting in part, the severely
weakened U.S. economy and rising unemployment. In addition, the values of real estate collateral
supporting many commercial loans and home mortgages have declined and may continue to decline.
Bank and bank holding company stock prices have been negatively affected, as has the ability of
banks and bank holding companies to raise capital or borrow in the debt markets. Specifically, the
Federal Deposit Insurance Corporation Quarterly Banking Profile has reported that noncurrent assets
plus other real estate owned as a percentage of assets for FDIC-insured financial institutions rose
to 2.77% as of June 30, 2009, compared to 1.89% as of
21
Table of Contents
December 31, 2008 and 0.95% as of December 31, 2007. For the six months ended June 30, 2009, the
Federal Deposit Insurance Corporation Quarterly Banking Profile has reported that annualized return
on average assets was 0.04% for FDIC-insured financial institutions compared to 0.04% for the year
ended December 31, 2008 and 0.81% for the year ended December 31, 2007. The NASDAQ Bank Index
declined 42.0% between December 31, 2007 and June 30, 2009. At June 30, 2009, our noncurrent assets
plus other real estate owned as a percentage of assets was 0.60%, and our return on average assets
was 0.06% for the year ended December 31, 2008.
In
response to the deteriorating economy, Congress enacted the Emergency Economic Stabilization
Act of 2008, under which the U.S. Department of the Treasury has the authority to expend up to $700
billion to assist in stabilizing and providing liquidity to the U.S. financial system. Although it
was originally contemplated that these funds would be used primarily to purchase troubled assets
under the Troubled Asset Relief Program, in October 2008, the U.S. Department of the Treasury
announced the Capital Purchase Program and has committed to purchase up to $250 billion of
non-voting senior preferred shares of certain qualified financial institutions in an attempt to
encourage financial institutions to build capital to increase the flow of credit to businesses and
consumers, and to support the economy. In addition, Congress temporarily increased Federal Deposit
Insurance Corporation deposit insurance from $100,000 to $250,000 per depositor through December
31, 2013. The Federal Deposit Insurance Corporation also announced the creation of the Temporary
Liquidity Guarantee Program which is intended to strengthen confidence and encourage liquidity in
financial institutions by temporarily guaranteeing newly issued senior unsecured debt of
participating organizations and fully insuring noninterest-bearing transaction deposit accounts
(such as business checking accounts, interest-bearing transaction accounts paying 50 basis points
or less, and lawyers' trust accounts), regardless of dollar amount until June 30, 2010.
The potential exists for additional federal or state laws and regulations regarding lending
and funding practices and liquidity standards, and bank regulatory agencies are expected to be
active in responding to concerns and trends identified in examinations, including the expected
issuance of many formal enforcement orders. Actions taken to date, as well as potential actions,
may not have the beneficial effects that are intended. In addition, new laws, regulations, and
other regulatory changes will increase our Federal Deposit Insurance Corporation insurance premiums
and may also increase our costs of regulatory compliance and of doing business, and may otherwise
adversely affect our operations. New laws, regulations, and other regulatory changes, along with
negative developments in the financial services industry and the domestic and international credit
markets, may significantly affect the markets in which we do business, the markets for and value of
our loans and investments, and our ongoing operations, costs and profitability. Further, continued
declines in the stock market in general, or for stock of financial institutions and their holding
companies, may affect our stock performance.
Strong competition within our market areas may limit our growth and profitability.
Competition in the banking and financial services industry is intense. In our market areas,
we compete with commercial banks, savings institutions, mortgage brokerage firms, credit unions,
finance companies, mutual funds, insurance companies, and brokerage and investment banking firms
operating locally and elsewhere. Some of our competitors have greater name recognition and market
presence that benefit them in attracting business, and offer certain services that we do not or
cannot provide. In addition, larger competitors may be able to price loans and deposits more
aggressively than we do, which could affect our ability to grow and remain profitable on a
long-term basis. Our profitability depends upon our continued ability to successfully compete in
our market areas. If we must raise interest rates paid on deposits or lower interest rates charged
on our loans, our net interest margin and profitability
22
Table of Contents
could be adversely affected. For additional information see "Business of OmniAmerican
Bank—Competition."
We operate in a highly regulated environment and may be adversely affected by changes in laws and
regulations.
We are subject to extensive regulation, supervision, and examination by the Office of Thrift
Supervision and the Federal Deposit Insurance Corporation. Such regulators govern the activities
in which we may engage, primarily for the protection of depositors. These regulatory authorities
have extensive discretion in connection with their supervisory and enforcement activities,
including the imposition of restrictions on the operation of a bank, the classification of assets
by a bank, and the adequacy of a bank's allowance for loan losses. Any change in such regulation
and oversight, whether in the form of regulatory policy, regulations, or legislation, could have a
material impact on our results of operations. Because our business is highly regulated, the laws,
rules and applicable regulations are subject to regular modification and change. There can be no
assurance that proposed laws, rules and regulations, or any other laws, rules or regulations, will
not be adopted in the future, which could make compliance more difficult or expensive or otherwise
adversely affect our business, financial condition or prospects.
Risks Related to this Stock Offering
The future price of the shares of common stock may be less than the purchase price in the stock
offering.
If you purchase shares of common stock in the stock offering, you may not be able to sell them
at or above the purchase price in the stock offering. The purchase price in the offering is based
upon an independent, third-party appraisal of the pro forma market value of OmniAmerican Bank,
pursuant to federal banking regulations and subject to review and approval by the Office of Thrift
Supervision. The appraisal is not intended, and should not be construed, as a recommendation of
any kind as to the advisability of purchasing shares of common stock. Our aggregate pro forma
market value as reflected in the final, approved independent appraisal may exceed the market price
of our shares of common stock after the completion of the offering, which may result in our stock
trading below the initial offering price of $10.00 per share.
The capital we raise in the stock offering will reduce our return on equity. This could negatively
affect the trading price of our shares of common stock.
Net income divided by average equity, known as "return on equity," is a ratio many investors
use to compare the performance of a financial institution to its peers. For the year ended
December 31, 2008, our return on average equity was 0.72%. Following the stock offering, we expect
our equity to increase from $90.3 million to between $155.0 million at the minimum of the offering
range and $192.0 million at the adjusted maximum of the offering range. Based upon our earnings
for the year ended December 31, 2008, and these pro forma equity levels, our return on equity would
be 0.42% and 0.34% at the minimum and adjusted maximum of the offering range, respectively. We
expect our return on equity to remain lower until we are able to leverage the additional capital we
receive from the stock offering. Although we will be able to increase net interest income using
proceeds of the stock offering, our return on equity will be reduced by the capital raised in the
stock offering, higher expenses from the costs of being a public company, and added expenses
associated with our employee stock ownership plan and the stock-based benefit plan we intend to
adopt. Until we can increase our net interest income and noninterest income, we expect our return
on equity to remain lower, which may reduce the value of our shares of common stock.
23
Table of Contents
We will need to implement additional finance and accounting systems, procedures and controls in
order to satisfy our new public company reporting requirements.
Upon completion of the stock offering, we will become a public reporting company. The federal
securities laws and regulations of the Securities and Exchange Commission require that we file
annual, quarterly and current reports, and that we maintain effective disclosure controls and
procedures and internal controls over financial reporting. We expect that the obligations of being
a public company, including substantial public reporting obligations, will require significant
expenditures and place additional demands on our management team. These obligations will increase
our operating expenses and could divert management's attention from our banking operations.
Compliance with the Sarbanes-Oxley Act of 2002 and the related rules and regulations of the
Securities and Exchange Commission will require us to certify the adequacy of our internal controls
and procedures, which could require us to upgrade our systems, and/or hire additional staff, which
would increase our operating costs.
Our stock-based benefit plans will increase our costs, which will reduce our income.
We anticipate that our employee stock ownership plan will purchase 8% of the total shares of
common stock sold in the stock offering, with funds borrowed from OmniAmerican Bancorp, Inc. The
cost of acquiring the shares of common stock for the employee stock ownership plan will be between
$6.1 million at the minimum of the offering range and $9.5 million at the adjusted maximum of the
offering range. We will record annual employee stock ownership plan expense in an amount equal to
the fair value of shares of common stock committed to be released to employees. If shares of
common stock appreciate in value over time, compensation expense relating to the employee stock
ownership plan will increase.
We also intend to adopt a stock-based benefit plan after the stock offering that would award
participants (at no cost to them) shares of our common stock and/or options to purchase shares of
our common stock. The number of shares of restricted stock or stock options reserved for issuance
under any initial stock-based benefit plan may not exceed 4% and 10%, respectively, of our total
outstanding shares, if these plans are adopted within 12 months after the completion of the
conversion. We may grant shares of common stock and stock options in excess of these amounts
provided the stock-based benefit plan is adopted more than one year following the stock offering.
Assuming the market price of the common stock is $10.00 per share; the options are granted with an
exercise price of $10.00 per share; the dividend yield on the stock is 0%; the expected option life
is ten years; the risk free interest rate is 3.53% (based on the ten-year Treasury rate) and the
volatility rate on the shares of common stock is 32.17% (based on an index of publicly traded
thrift institutions), the estimated grant-date fair value of the options using a Black-Scholes
option pricing analysis is $4.98 per option granted. Assuming this value is amortized over a
five-year vesting period, the corresponding annual pre-tax expense associated with all the stock
options would be $1.2 million at the adjusted maximum of the offering range. In addition, assuming
that all shares of restricted stock are awarded at a price of $10.00 per share, and that the awards
vest over a five-year period, the corresponding annual pre-tax expense associated with restricted
stock awarded under the stock-based benefit plan would be $952,200 at the adjusted maximum of the
offering range. Moreover, if we grant shares of common stock or options in excess of these
amounts, such grants would increase our costs further.
The shares of restricted stock granted under the stock-based benefit plan will be expensed by
us over their vesting period at the fair market value of the shares on the date they are awarded.
If the shares of restricted stock to be granted under the plan are repurchased in the open market
(rather than issued directly from authorized but unissued shares by OmniAmerican Bancorp, Inc.) and
cost the same as the
24
Table of Contents
purchase price in the stock offering, the reduction to stockholders' equity due to the plan
would be between $3.1 million at the minimum of the offering range and $4.8 million at the adjusted
maximum of the offering range. To the extent we repurchase shares of common stock in the open
market to fund the grants of shares under the plan, and the price of such shares exceeds the
offering price of $10.00 per share, the reduction to stockholders' equity would exceed the range
described above. Conversely, to the extent the price of such shares is below the offering price of
$10.00 per share, the reduction to stockholders' equity would be less than the range described
above.
The implementation of stock-based benefit plans may dilute your ownership interest. Historically,
the overwhelming majority of stock-based benefit plans adopted by savings institutions and their
holding companies following mutual-to-stock conversions have been approved by stockholders.
We intend to adopt one or more stock-based benefit plans, which will allow participants to be
awarded shares of common stock (at no cost to them) or options to purchase shares of our common
stock, following the stock offering. These stock-based benefit plans will be funded through either
open market purchases of shares of common stock, if permitted, or from the issuance of authorized
but unissued shares of common stock. Stockholders would experience a reduction in ownership
interest totaling 12.3% in the event newly issued shares are used to fund stock options or awards
of shares of common stock under these plans in an amount equal to 10% and 4%, respectively, of the
shares issued in the stock offering. We may grant shares of common stock and stock options in
excess of these amounts provided the stock-based benefit plan is adopted more than one year
following the stock offering. The implementation of the stock-based benefit plan will be subject
to stockholder approval and historically the overwhelming majority of stock-based benefit plans
adopted by savings institutions and their holding companies following mutual-to-stock conversions
have been approved by stockholders.
We have not determined whether we will adopt stock-based benefit plans more than one year following
the stock offering. Stock-based benefit plans implemented more than one year following the stock
offering may exceed regulatory restrictions on the size of stock-based benefit plans implemented
within one year, which would increase our costs.
If we adopt stock-based benefit plans within one year following the completion of the stock
offering, then we may grant shares of common stock or stock options under our stock-based benefit
plans for up to 4% and 10%, respectively, of our total outstanding shares. The amount of stock
awards and stock options available for grant under the stock-based benefit plans may exceed these
amounts, provided the stock-based benefit plans are implemented more than one year following the
stock offering. Although the implementation of the stock-based benefit plan will be subject to
stockholder approval, the determination as to the timing of the implementation of such a plan will
be at the discretion of our board of directors. Stock-based benefit plans that provide for awards
in excess of these amounts would increase our costs beyond the amounts estimated in "—Our
stock-based benefit plans will increase our costs, which will reduce our income." Stock-based
benefit plans that provide for awards in excess of these amounts could also result in dilution to
stockholders in excess of that described in "—The implementation of stock-based benefit plans may
dilute your ownership interest. Historically, the overwhelming majority of stock-based benefit
plans adopted by savings institutions and their holding companies following mutual-to-stock
conversions have been approved by stockholders."
We will enter into an employment agreement and three change in control agreements that may increase
our compensation costs.
We intend to enter into a new employment agreement with Tim Carter, our President and Chief
Executive Officer and change in control agreements with Deborah B. Wilkinson, our Senior Executive
25
Table of Contents
Vice President and Chief Financial Officer, Terry Almon, our Senior Executive Vice President
and Chief Operating Officer and Anne Holland, our Senior Executive Vice President and Chief Lending
Officer. In the event of an involuntary or good reason termination of employment, or certain types
of termination following a change in control, as set forth in the employment agreement, the
employment agreement provides for cash severance benefits that would cost approximately $1.4
million based on information as of June 30, 2009. Similarly, in the event of an involuntary or
good reason termination of employment following a change in control, the change in control
agreements provide for cash severance benefits that would cost approximately $1.3 million in the
aggregate based on information as of June 30, 2009 (assuming Ms. Almon was employed by us on that
date at her current base salary). For additional information see "Management of OmniAmerican
Bancorp, Inc.—Executive Officer Compensation."
We have broad discretion in using the proceeds of the stock offering. Our failure to effectively
use such proceeds could reduce our profits.
We will use a portion of the net proceeds to finance the purchase of shares of common stock in
the stock offering by the employee stock ownership plan and may use the remaining net proceeds to
pay dividends to stockholders, repurchase shares of common stock, purchase investment securities,
deposit funds in OmniAmerican Bank, acquire other financial services companies or for other general
corporate purposes. OmniAmerican Bank may use the proceeds it receives to fund new loans,
establish or acquire new branches, purchase investment securities, reduce a portion of our
borrowings, or for general corporate purposes. We have not identified specific amounts of proceeds
for any of these purposes and we will have significant flexibility in determining the amount of net
proceeds we apply to different uses and the timing of such applications. Our failure to utilize
these funds effectively could reduce our profitability. We have not established a timetable for the
effective deployment of the proceeds and we cannot predict how long we will require to effectively
deploy the proceeds.
Our stock value may be negatively affected by federal regulations that restrict takeovers.
For three years following the stock offering, Office of Thrift Supervision regulations
prohibit any person from acquiring or offering to acquire more than 10% of our common stock without
the prior written approval of the Office of Thrift Supervision. See "Restrictions on Acquisition
of OmniAmerican Bancorp, Inc." for a discussion of applicable Office of Thrift Supervision
regulations regarding acquisitions.
The corporate governance provisions in our articles of incorporation and bylaws, and the corporate
governance provisions under Maryland law, may prevent or impede the holders of our common stock
from obtaining representation on our Board of Directors and may impede takeovers of the company
that our Board might conclude are not in the best interest of OmniAmerican Bancorp, Inc. or its
stockholders.
Provisions in our articles of incorporation and bylaws may prevent or impede holders of our
common stock from obtaining representation on our board of directors and may make takeovers of
OmniAmerican Bancorp, Inc. more difficult. For example, our board of directors is divided into
three classes, only one of which will stand for election annually. A classified board makes it
more difficult for stockholders to change a majority of the directors because it generally takes at
least two annual elections of directors for this to occur. Our articles of incorporation include a
provision that provides that, without the approval of a majority of the unaffiliated directors, no
person will be entitled to vote any shares of our common stock in excess of 10% of our outstanding
shares of common stock. This limitation does not apply to the purchase of shares by a
tax-qualified employee stock benefit plan established by us. In addition, our articles of
incorporation and bylaws restrict who may call special meetings of stockholders
26
Table of Contents
and how directors may be removed from office. Additionally, in certain instances, the
Maryland General Corporation Law requires a supermajority vote of our stockholders to approve a
merger or other business combination with a large stockholder, if the proposed transaction is not
approved by a majority of our directors. See "Restrictions on Acquisition of OmniAmerican Bancorp,
Inc."
We have never issued common stock and there is no guarantee that a liquid market for our common
stock will develop.
We have never issued capital stock and there is no established market for our common stock.
Depending on the number of shares we sell, we expect that our common stock will be traded on the
Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol "OABC," subject to
completion of the offering and compliance with certain conditions, including the presence of at
least three registered and active market makers. Keefe Bruyette & Woods, Inc. has advised us that
it intends to make a market in shares of our common stock following the offering, but it is under
no obligation to do so or to continue to do so once it begins. While we will attempt before
completion of the offering to obtain commitments from at least two other broker-dealers to make a
market in shares of our common stock, there can be no assurance that we will be successful in
obtaining such commitments.
We may take other actions to meet the minimum required sales of shares if we cannot find enough
purchasers in the community.
If we do not sell enough shares to reach the minimum of the offering range through the
subscription and community offerings, shares may be offered for sale to the general public in a
syndicated community offering to be managed by Keefe Bruyette & Woods, Inc., acting as our agent.
If we are not able to reach the minimum of the offering range after Keefe Bruyette & Woods, Inc.,
uses its best efforts in a syndicated community offering we may do any of the following: increase
the maximum purchase limitations and allow all maximum purchase subscribers to increase their
orders to the new maximum purchase limitations; terminate the offering and promptly return all
funds; set a new offering range, notifying all subscribers of the opportunity to confirm, cancel or
change their orders; or take such other actions as may be permitted by the Office of Thrift
Supervision.
27
Table of Contents
SELECTED FINANCIAL AND OTHER DATA
The following tables set forth selected historical financial and other data of OmniAmerican
Bank for the years and at the dates indicated. The information at December 31, 2008 and 2007 and
for the years ended December 31, 2008, 2007 and 2006 is derived in part from, and should be read
together with, the audited financial statements and notes thereto of OmniAmerican Bank beginning at
page F-1 of this prospectus. The information at December 31, 2006, 2005 and 2004 and for the years
ended December 31, 2005 and 2004 is derived in part from audited financial statements that are not
included in this prospectus. The information at June 30, 2009 and for the six months ended June
30, 2009 and 2008 is unaudited and reflects all normal recurring adjustments that are, in the
opinion of management, necessary for a fair presentation of the results for the interim periods
presented. The results of operations for the six months ended June 30, 2009 are not necessarily
indicative of the results to be achieved for the remainder of 2009 or any other period.
At June 30,
At December 31,
2009
2008
2007
2006
2005
2004
(unaudited)
(In thousands)
Selected Financial Condition Data:
Total assets
$
1,038,306
$
1,067,914
$
1,051,021
$
1,062,874
$
1,118,733
$
1,279,784
Cash and cash equivalents
53,196
41,242
19,036
98,317
40,653
57,597
Securities available for sale, at fair value
183,993
230,304
244,585
150,904
183,530
251,559
Other investments
7,287
10,014
10,065
9,715
16,875
17,585
Loans receivable, net
725,100
715,774
707,099
728,847
799,152
870,802
Foreclosed assets, net
90
98
248
143
428
936
Other real estate owned
551
488
488
488
—
—
Deposits
759,831
739,846
729,895
794,152
689,057
742,011
Federal Home Loan Bank of Dallas advances
117,900
169,900
156,900
128,900
253,479
317,204
Other secured borrowings
58,000
58,664
66,156
41,168
77,796
124,577
Total equity capital
90,266
89,329
88,722
88,861
87,718
87,985
For the Six Months Ended
June 30,
For the Years Ended December 31,
2009
2008
2008
2007
2006
2005
2004
(unaudited)
(In thousands)
Selected Operating Data:
Interest income
$
27,651
$
28,820
$
57,696
$
54,915
$
52,010
$
53,462
$
55,679
Interest expense
11,163
14,721
27,677
29,688
25,521
23,385
23,827
Net interest income
16,488
14,099
30,019
25,227
26,489
30,077
31,852
Provision for loan losses
2,400
1,875
3,825
3,650
6,113
5,730
5,433
Net interest income after provision for
loan losses
14,088
12,224
26,194
21,577
20,376
24,347
26,419
Noninterest income
8,362
8,257
16,269
17,569
17,325
19,187
15,614
Noninterest expense
21,502
19,974
41,077
42,433
45,957
38,145
36,021
Income (loss) before income tax expense
(benefit)
948
507
1,386
(3,287
)
(8,256
)
5,389
6,012
Income tax expense (benefit)
(1)
489
286
742
(1,115
)
(7,332
)
—
—
Net income (loss)
$
459
$
221
$
644
$
(2,172
)
$
(924
)
$
5,389
$
6,012
(1)
Until its conversion to a federally chartered mutual savings bank on January 1, 2006,
OmniAmerican Bank was a credit union, and generally exempt from federal and state income
taxes. As a result of the change in tax status on January 1, 2006, OmniAmerican Bank recorded
a deferred tax asset in the amount of $6.1 million, as well as a related tax benefit of $4.5
million. The following table provides a reconciliation to pro forma net income for the periods
presented prior to January 1, 2006, had OmniAmerican Bank been subject to federal and state
income taxes:
December 31,
2006
2005
2004
Historical net (loss) income
$
(924
)
$
5,389
$
6,012
Less: pro forma tax expense
—
1,832
2,044
Less: tax benefit
4,541
—
—
Pro forma net (loss) income
$
(5,465
)
$
3,557
$
3,968
28
Table of Contents
At or For the Six
Months Ended June 30,
At or For the Years Ended December 31,
2009
2008
2008
2007
2006
2005
2004
Selected Financial Ratios and Other Data:
Performance Ratios:
Return (loss) on average assets (ratio of net income
(loss) to average total assets) (1)
0.09
%
0.04
%
0.06
%
(0.21
)%
(0.09
)%
0.50
%
0.53
%
Return on average assets tax effected
n/a
n/a
n/a
n/a
n/a
0.33
%
0.35
%
Return (loss) on average equity (ratio of net income
(loss) to average equity) (1)
1.02
%
0.48
%
0.72
%
(2.46
)%
(1.00
)%
5.66
%
7.01
%
Return on average equity tax effected
n/a
n/a
n/a
n/a
n/a
3.74
%
4.63
%
Interest rate spread (1) (2)
3.12
%
2.52
%
2.74
%
2.38
%
2.58
%
2.63
%
2.62
%
Net interest margin (1)(3)
3.36
%
2.81
%
3.02
%
2.70
%
2.77
%
2.74
%
2.74
%
Efficiency ratio (4)
86.53
%
89.35
%
88.74
%
99.15
%
104.89
%
77.43
%
75.89
%
Noninterest expense to average total assets
(1)
4.06
%
3.70
%
3.82
%
4.17
%
4.38
%
3.50
%
3.20
%
Average interest-earning assets to average
interest-bearing liabilities
110.64
%
110.05
%
109.88
%
110.08
%
107.33
%
105.45
%
105.75
%
Average equity to average total assets
8.53
%
8.42
%
8.32
%
8.68
%
8.84
%
8.75
%
7.61
%
Asset Quality Ratios:
Non-performing assets to total assets
0.60
%
0.81
%
0.59
%
0.35
%
0.37
%
0.21
%
0.28
%
Non-performing loans to total loans
0.76
%
1.13
%
0.79
%
0.42
%
0.45
%
0.23
%
0.30
%
Allowance for loan losses to non-performing loans
158.30
%
92.91
%
145.06
%
248.52
%
213.67
%
256.81
%
205.71
%
Allowance for loan losses to total loans
1.20
%
1.07
%
1.14
%
1.04
%
0.96
%
0.60
%
0.62
%
Capital Ratios:
Total capital (to risk-weighted assets)
12.25
%
11.44
%
11.82
%
11.66
%
11.74
%
11.09%
(5)
9.19%
(5)
Tier I capital (to risk-weighted assets)
11.07
%
10.46
%
10.73
%
10.68
%
10.83
%
10.54%
(5)
8.64%
(5)
Tier I capital (to total assets)
8.00
%
7.48
%
7.71
%
7.76
%
7.95
%
8.22%
(5)
6.80%
(5)
Other Data:
Number of full service offices
16
17
17
17
17
16
16
Full-time equivalent employees
351
346
345
338
387
336
378
(1)
Ratios for the six months ended June 30, 2009 and 2008 are annualized.
(2)
The average interest rate spread represents the difference between the weighted-average yield
on interest-earning assets and the weighted-average cost of interest-bearing liabilities for
the period.
(3)
The net interest margin represents net interest income as a percent of average
interest-earning assets for the period.
(4)
The efficiency ratio represents noninterest expense divided by the sum of net interest income
and noninterest income.
(5)
On January 1, 2006, OmniAmerican Bank converted its charter to a federal mutual savings bank
charter and became subject to regulation and examination by the Office of Thrift Supervision
and the Federal Deposit Insurance Corporation. Prior to January 1, 2006, OmniAmerican Bank
was a credit union and was subject to various regulatory capital requirements administered by
the National Credit Union Administration and the Texas Credit Union Department. The capital
ratios at December 31, 2005 and 2004 are presented as if OmniAmerican Bank had been subject to
the regulatory capital requirements of the federal banking regulators on those dates. The
National Credit Union Administration and the Texas Credit Union Department categorized
OmniAmerican Bank as "well capitalized" under the regulatory framework for prompt corrective
action as of December 31, 2005 and 2004. To be categorized as "well capitalized," as a credit
union, OmniAmerican Bank was required to maintain a minimum net worth ratio of 7% of total
assets. The actual net worth to total assets ratios as of December 31, 2005 and 2004 were
7.84% and 7.20%, respectively.
29
Table of Contents
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This prospectus contains forward-looking statements, which can be identified by the use of
words such as "estimate," "project," "believe," "intend," "anticipate," "plan," "seek," "expect,"
"will," "may" and words of similar meaning. These forward-looking statements include, but are not
limited to:
•
statements of our goals, intentions and expectations;
•
statements regarding our business plans, prospects, growth and operating strategies;
•
statements regarding the asset quality of our loan and investment portfolios; and
•
estimates of our risks and future costs and benefits.
These forward-looking statements are based on our current beliefs and expectations and are
inherently subject to significant business, economic and competitive uncertainties and
contingencies, many of which are beyond our control. In addition, these forward-looking statements
are subject to assumptions with respect to future business strategies and decisions that are
subject to change. We are under no duty to and do not take any obligation to update any
forward-looking statements after the date of this prospectus.
The following factors, among others, could cause actual results to differ materially from the
anticipated results or other expectations expressed in the forward-looking statements:
•
general economic conditions, either nationally or in our market areas, that are
worse than expected;
•
competition among depository and other financial institutions;
•
inflation and changes in the interest rate environment that reduce our margins or
reduce the fair value of financial instruments;
•
adverse changes in the securities markets;
•
changes in laws or government regulations or policies affecting financial
institutions, including changes in regulatory fees and capital requirements;
•
our ability to enter new markets successfully and capitalize on growth
opportunities;
•
our ability to successfully integrate acquired entities, if any;
•
changes in consumer spending, borrowing and savings habits;
•
changes in accounting policies and practices, as may be adopted by the bank
regulatory agencies, the Financial Accounting Standards Board, the Securities and
Exchange Commission and the Public Company Accounting Oversight Board;
•
changes in our organization, compensation and benefit plans;
30
Table of Contents
•
changes in our financial condition or results of operations that reduce capital
available to pay dividends; and
•
changes in the financial condition or future prospects of issuers of securities that
we own.
Because of these and a wide variety of other uncertainties, our actual future results may be
materially different from the results indicated by these forward-looking statements. Please see
"Risk Factors" beginning on page 16.
HOW WE INTEND TO USE THE PROCEEDS FROM THE OFFERING
Although we cannot determine what the actual net proceeds from the sale of the shares of
common stock in the offering will be until the offering is completed, we anticipate that the net
proceeds will be between $74.0 million and $100.7 million, or $116.0 million if the offering range
is increased by 15%.
We intend to distribute the net proceeds from the stock offering as follows:
Based Upon the Sale at $10.00 Per Share of
7,650,000 Shares
9,000,000 Shares
10,350,000 Shares
11,902,500 Shares (1)
Percent
Percent
Percent
Percent
of Net
of Net
of Net
of Net
Amount
Proceeds
Amount
Proceeds
Amount
Proceeds
Amount
Proceeds
(Dollars in thousands)
Stock offering proceeds
$
76,500
103.4
%
$
90,000
103.1
%
$
103,500
102.8
%
$
119,025
102.6
%
Less offering expenses
2,539
3.4
2,695
3.1
2,850
2.8
3,028
2.6
Net offering proceeds
$
73,961
100.0
%
$
87,305
100.0
%
$
100,650
100.0
%
$
115,997
100.0
%
Use of net proceeds:
To OmniAmerican Bank
$
36,981
50.0
%
$
43,653
50.0
%
$
50,325
50.0
%
$
57,999
50.0
To fund loan to
employee stock
ownership plan
6,120
8.3
7,200
8.2
8,280
8.2
9,522
8.2
Retained by
OmniAmerican
Bancorp, Inc
$
30,860
41.7
%
$
36,452
41.8
%
$
42,045
41.8
%
$
48,476
41.8
%
(1)
As adjusted to give effect to an increase in the number of shares, which could occur due to a
15% increase in the offering range to reflect demand for the shares or changes in market
conditions following the commencement of the offering.
Payments for shares of common stock made through withdrawals from existing deposit accounts
will not result in the receipt of new funds for investment but will result in a reduction of
OmniAmerican Bank's deposits. The net proceeds may vary because the total expenses relating to the
offering may be more or less than our estimates. For example, our expenses would increase if a
syndicated community offering were used to sell shares of common stock not purchased in the
subscription and community offerings.
OmniAmerican Bancorp, Inc. may use the proceeds it retains from the stock offering:
•
to fund a loan to the employee stock ownership plan to purchase shares of common
stock in the stock offering;
•
to invest in mortgage-backed securities, collateralized mortgage obligations and
debt securities issued by United States Government-sponsored agencies or entities;
31
Table of Contents
•
to finance the acquisition of financial institutions or other financial services
companies;
•
to pay cash dividends to stockholders;
•
to repurchase shares of our common stock; and
•
for other general corporate purposes.
With the exception of the funding of the loan to the employee stock ownership plan,
OmniAmerican Bancorp, Inc. has not determined how much of the net offering proceeds it intends to
use for each of the foregoing purposes. Initially, we intend to invest a substantial portion of the
net proceeds in short-term investments, investment-grade debt obligations and mortgage-backed
securities.
Under current Office of Thrift Supervision regulations, we may not repurchase shares of our
common stock during the first year following the conversion, except to fund equity benefit plans
other than stock options or except when extraordinary circumstances exist and with prior regulatory
approval.
OmniAmerican Bank may use the net proceeds it receives from the Offering:
•
to expand its banking franchise by establishing or acquiring new branches, or by
acquiring other financial institutions or other financial services companies;
•
to fund new loans;
•
to repay short-term borrowings;
•
to invest in mortgage-backed securities and collateralized mortgage obligations, and
debt securities issued by United States Government-sponsored agencies or entities; and
•
for other general corporate purposes.
OmniAmerican Bank has not determined how much of the net offering proceeds it intends to use for
each of the foregoing purposes. Our short-term and long-term growth plans anticipate that, upon
completion of the offering, we will experience growth through increased lending and investment
activities and, possibly, acquisitions. We currently have no understandings or agreements to
acquire other banks, thrifts, or other financial services companies.
Initially, the net proceeds we retain will be invested in short-term investments,
investment-grade debt obligations and mortgage-backed securities.
OUR POLICY REGARDING DIVIDENDS
Following completion of the stock offering, our board of directors will have the authority to
declare dividends on our shares of common stock, subject to statutory and regulatory requirements.
However, no decision has been made with respect to the payment of dividends. In determining whether
to pay a cash dividend and the amount of such cash dividend, the board of directors is expected to
take into account a number of factors, including capital requirements, our financial condition and
results of operations, tax considerations, statutory and regulatory limitations and general
economic conditions. No assurances can be given that any dividends will be paid or that, if paid,
will not be reduced or eliminated
32
Table of Contents
in the future. Special cash dividends, stock dividends or returns of capital, to the extent
permitted by Office of Thrift Supervision policy and regulations, may be paid in addition to, or in
lieu of, regular cash dividends. We will file a consolidated tax return with OmniAmerican Bank.
Accordingly, it is anticipated that any cash distributions made by us to our stockholders would be
treated as cash dividends and not as a non-taxable return of capital for federal and state tax
purposes. Additionally, pursuant to Office of Thrift Supervision regulations, during the
three-year period following the stock offering, we will not take any action to declare an
extraordinary dividend to stockholders that would be treated by recipients as a tax-free return of
capital for federal income tax purposes.
Pursuant to our Articles of Incorporation, we are authorized to issue preferred stock. If we
issue preferred stock, the holders thereof may have a priority over the holders of our shares of
common stock with respect to the payment of dividends. For a further discussion concerning the
payment of dividends on our shares of common stock, see "Description of Capital Stock—Common
Stock." Dividends we can declare and pay will depend, in part, upon receipt of dividends from
OmniAmerican Bank, because initially we will have no source of income other than dividends from
OmniAmerican Bank, earnings from the investment of proceeds from the sale of shares of common
stock, and interest payments received in connection with the loan to the employee stock ownership
plan. A regulation of the Office of Thrift Supervision imposes limitations on "capital
distributions" by savings institutions. See "Supervision and Regulation—Federal Banking
Regulation—Capital Distributions."
MARKET FOR THE COMMON STOCK
We have never issued capital stock and there is no established market for our shares of common
stock. We expect that, depending on the number of shares we sell, our shares of common stock will
be traded on the Nasdaq Global Market or the Nasdaq Global Select Market, under the symbol "OABC,"
subject to completion of the offering and compliance with certain conditions, including the
presence of at least three registered and active market makers. Keefe Bruyette & Woods, Inc. has
advised us that it intends to make a market in shares of our common stock following the offering,
but it is under no obligation to do so or to continue to do so once it begins. While we will
attempt before completion of the offering to obtain commitments from at least two other
broker-dealers to make a market in shares of our common stock, there can be no assurance that we
will be successful in obtaining such commitments.
The development and maintenance of a public market, having the desirable characteristics of
depth, liquidity and orderliness, depends on the existence of willing buyers and sellers, the
presence of which is not within our control or that of any market maker. The number of active
buyers and sellers of shares of our common stock at any particular time may be limited, which may
have an adverse effect on the price at which shares of our common stock can be sold. There can be
no assurance that persons purchasing the shares of common stock will be able to sell their shares
at or above the $10.00 offering purchase price per share. You should have a long-term investment
intent if you purchase shares of our common stock and you should recognize that there may be a
limited trading market in the shares of common stock.
33
Table of Contents
HISTORICAL AND PRO FORMA REGULATORY CAPITAL COMPLIANCE
At June 30, 2009, OmniAmerican Bank exceeded all of the applicable regulatory capital
requirements. The table below sets forth the historical equity capital and regulatory capital of
OmniAmerican Bank at June 30, 2009, and the pro forma regulatory capital of OmniAmerican Bank,
after giving effect to the sale of shares of common stock at a $10.00 per share purchase price.
The table assumes the receipt by OmniAmerican Bank of at least 50% of the net offering proceeds.
See "How We Intend to Use the Proceeds from the Offering."
OmniAmerican Bank
Pro Forma at June 30, 2009, Based Upon the Sale in the Offering of
Historical at June 30, 2009
7,650,000 Shares
9,000,000 Shares
10,350,000 Shares
11,902,500 Shares (1)
Percent of
Percent of
Percent
Percent of
Percent of
Amount
Assets (2)
Amount
Assets (2)
Amount
of Assets (2)
Amount
Assets (2)
Amount
Assets (2)
(Dollars in thousands)
Equity
$
90,266
8.69
%
$
121,127
11.26
%
$
126,719
11.71
%
$
132,311
12.15
%
$
138,743
12.66
%
Tangible capital (3)(4)
$
82,465
8.00
%
$
113,326
10.62
%
$
118,918
11.07
%
$
124,510
11.52
%
$
130,942
12.03
%
Tangible requirement
15,458
1.50
16,013
1.50
16,113
1.50
16,213
1.50
16,328
1.50
Excess
$
67,007
6.50
%
$
97,313
9.12
%
$
102,805
9.57
%
$
108,297
10.02
%
$
114,613
10.53
%
Core capital (3)(4)
$
82,465
8.00
%
$
113,326
10.62
%
$
118,918
11.07
%
$
124,510
11.52
%
$
130,942
12.03
%
Core requirement (5)
41,222
4.00
42,701
4.00
42,968
4.00
43,235
4.00
43,542
4.00
Excess
$
41,243
4.00
%
$
70,625
6.62
%
$
75,950
7.07
%
$
81,275
7.52
%
$
87,400
8.03
%
Tier 1 risk-based
capital
$
82,465
11.07
%
$
113,326
14.84
%
$
118,918
15.51
%
$
124,510
16.17
%
$
130,942
16.92
%
Risk-based requirement
29,799
4.00
30,538
4.00
30,672
4.00
30,805
4.00
30,959
4.00
Excess
$
52,666
7.07
%
$
82,788
10.84
%
$
88,246
11.51
%
$
93,705
12.17
%
$
99,983
12.92
%
Total risk-based
capital (3)
$
91,287
12.25
%
$
122,148
16.00
%
$
127,740
16.66
%
$
133,332
17.31
%
$
139,764
18.06
%
Risk-based requirement
59,597
8.00
61,076
8.00
61,343
8.00
61,610
8.00
61,917
8.00
Excess
$
31,690
4.25
%
$
61,072
8.00
%
$
66,397
8.66
%
$
71,722
9.31
%
$
77,847
10.06
%
Reconciliation
of capital infused into OmniAmerican Bank:
Net
proceeds
$
36,981
$
43,653
$
50,325
$
57,999
Less:
Common stock acquired by employee stock ownership plan
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Pro
forma increase
$
30,861
$
36,453
$
42,045
$
48,477
(1)
As adjusted to give effect to an increase in the number of shares which could occur due to a
15% increase in the offering range to reflect demand for the shares or changes in market
conditions following the commencement of the offering.
(2)
The current Office of Thrift Supervision core capital requirement for financial institutions
is 3% of total adjusted assets for financial institutions that receive the highest supervisory
rating for safety and soundness and a 4% to 5% core capital ratio requirement for all other
financial institutions.
(3)
Tangible and core capital levels are shown as a percentage of total adjusted assets.
Risk-based capital levels are shown as a percentage of risk-weighted assets.
(4)
Pro forma capital levels assume that the employee stock ownership plan purchases 8% of the
shares of common stock to be outstanding immediately following the stock offering with funds
we lend. Pro forma GAAP and regulatory capital have been reduced by the amount required to
fund this plan. See "Management of OmniAmerican Bancorp, Inc." for a discussion of the
employee stock ownership plan.
(5)
Pro forma amounts and percentages assume net proceeds are invested in assets that carry a 50%
risk weighting.
34
Table of Contents
CAPITALIZATION
The following table presents the historical capitalization of OmniAmerican Bank at June 30,
2009 and the pro forma consolidated capitalization of OmniAmerican Bancorp, Inc., after giving
effect to the conversion and the offering, based upon the assumptions set forth in the "Pro Forma
Data" section.
OmniAmerican Bancorp, Inc. Pro Forma,
OmniAmerican Bank
Based Upon the Sale in the Offering at $10.00 per Share of
Historical at June
7,650,000
9,000,000
10,350,000
11,902,500
30, 2009
Shares
Shares
Shares
Shares (1)
(Dollars in thousands)
Deposits (2)
$
759,831
$
759,831
$
759,831
$
759,831
$
759,831
Borrowings
175,900
175,900
175,900
175,900
175,900
Total deposits and borrowed funds
$
935,731
$
935,731
$
935,731
$
935,731
$
935,731
Stockholders' equity:
Preferred stock $0.01 par value,
50,000,000 shares authorized; none
issued or outstanding
$
—
—
—
—
—
Common stock $0.01 par value,
100,000,000 shares authorized;
assuming shares outstanding as
shown (3)
—
$
77
$
90
$
104
$
119
Additional paid-in capital (4)
—
73,885
87,215
100,547
115,878
Retained earnings (5)
90,359
90,359
90,359
90,359
90,359
Less:
Accumulated other comprehensive
loss
(93
)
(93
)
(93
)
(93
)
(93
)
Common stock to be acquired by
employee stock ownership plan (6)
—
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Common stock to be acquired by
stock-based benefit plans (7)
—
(3,060
)
(3,600
)
(4,140
)
(4,761
)
Total stockholders' equity
$
90,266
$
155,048
$
166,771
$
178,497
$
191,980
Total stockholders' equity as a
percentage of total assets (2)
8.69
%
14.06
%
14.96
%
15.84
%
16.84
%
(1)
As adjusted to give effect to an increase in the number of shares of common stock that
could occur due to a 15% increase in the offering range to reflect demand for shares or
changes in market conditions following the commencement of the subscription and community
offerings.
(2)
Does not reflect withdrawals from deposit accounts for the purchase of shares of common
stock in the conversion and offering. These withdrawals would reduce pro forma deposits
and assets by the amount of the withdrawals.
(3)
No effect has been given to the issuance of additional shares of OmniAmerican Bancorp, Inc.
common stock pursuant to one or more stock-based benefit plans. If these plans are
implemented within 12 months following the completion of the stock offering, an amount up to
10% and 4% of the shares of OmniAmerican Bancorp, Inc. common stock sold in the offering will
be reserved for issuance upon the exercise of stock options and for issuance as restricted
stock awards, respectively. See "Management of OmniAmerican Bancorp, Inc."
(4)
The sum of the par value of the total shares outstanding and additional paid-in capital
equals the net stock offering proceeds at the offering price of $10.00 per share.
(5)
The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See "Our Policy Regarding Dividends," "The Conversion; Plan of
Distribution—Liquidation Rights" and "Supervision and Regulation."
(footnotes continue on following page)
35
Table of Contents
(continued from previous page)
(6)
Assumes that 8% of the shares sold in the offering will be acquired by the employee stock
ownership plan financed by a loan from OmniAmerican Bancorp, Inc. The loan will be repaid
principally from OmniAmerican Bank's contributions to the employee stock ownership plan.
Since OmniAmerican Bancorp, Inc. will finance the employee stock ownership plan debt, this
debt will be eliminated through consolidation and no asset or liability will be reflected
on OmniAmerican Bancorp, Inc.'s consolidated financial statements. Accordingly, the
amount of shares of common stock acquired by the employee stock ownership plan is shown in
this table as a reduction of total stockholders' equity.
(7)
Assumes a number of shares of common stock equal to 4% of the shares of common stock to
be sold in the offering will be purchased for grant by one or more stock-based benefit
plans in open market purchases. The dollar amount of common stock to be purchased is
based on the $10.00 per share subscription price in the offering and represents unearned
compensation. This amount does not reflect possible increases or decreases in the value of
common stock relative to the subscription price in the offering. As OmniAmerican Bancorp,
Inc. accrues compensation expense to reflect the vesting of shares pursuant to the
stock-based benefit plans, the credit to equity will be offset by a charge to noninterest
expense. Implementation of the stock stock-based benefit plans will require stockholder
approval. The funds to be used by the stock-based benefit plans will be provided by
OmniAmerican Bancorp, Inc.
36
Table of Contents
PRO FORMA DATA
The following tables summarize historical data of OmniAmerican Bank and pro forma data of
OmniAmerican Bancorp, Inc. at and for the six months ended June 30, 2009 and the year ended
December 31, 2008. This information is based on assumptions set forth below and in the table, and
should not be used as a basis for projections of market value of the shares of common stock
following the conversion and offering.
The net proceeds in the tables are based upon the following assumptions:
•
all shares of common stock will be sold in the subscription and community offerings;
•
175,000 shares of common stock will be purchased by our executive officers and
directors, and their associates;
•
our employee stock ownership plan will purchase 8% of the shares of common stock
sold in the stock offering with a loan from OmniAmerican Bancorp, Inc. The loan will
be repaid in substantially equal payments of principal and interest over a period of 25
years;
•
Keefe Bruyette & Woods, Inc. will receive a fee equal to 1.25% of the dollar amount
of the shares of common stock sold in the stock offering. Shares purchased by our
employee benefit plans or by our officers, directors and employees, and their immediate
families will not be included in calculating the shares of common stock sold for this
purpose; and
•
expenses of the stock offering, other than fees and expenses to be paid to Keefe
Bruyette & Woods, Inc., will be $1.6 million.
We calculated pro forma consolidated net income for the six months ended June 30, 2009 and the
year ended December 31, 2008 as if the estimated net proceeds we received had been invested at an
assumed interest rate of 1.64% and 1.00%, respectively (1.08% and 0.66% on an after-tax basis).
This represents the three-year United States Treasury Note as of June 30, 2009 and December 31,
2008, which, in light of current market interest rates, we consider to more accurately reflect the
pro forma reinvestment rate than the arithmetic average of the weighted average yield earned on our
interest-earning assets and the weighted average rate paid on our deposits, which is the
reinvestment rate generally required by Office of Thrift Supervisions regulations.
We calculated historical and pro forma per share amounts by dividing historical and pro forma
amounts of consolidated net income and stockholders' equity by the indicated number of shares of
common stock. We adjusted these figures to give effect to the shares of common stock purchased by
the employee stock ownership plan. We computed per share amounts for each period as if the shares
of common stock were outstanding at the beginning of each period, but we did not adjust per share
historical or pro forma stockholders' equity to reflect the earnings on the estimated net proceeds.
The pro forma tables give effect to the implementation of stock-based benefit plans. Subject
to the receipt of stockholder approval, we have assumed that the stock-based benefit plans will
acquire for restricted stock awards a number of shares of common stock equal to 4% of our
outstanding shares of common stock at the same price for which they were sold in the stock
offering. We assume that shares of common stock are granted under the plans in awards that vest
over a five-year period.
37
Table of Contents
We have also assumed that the stock-based benefit plans will grant options to acquire shares
of common stock equal to 10% of our outstanding shares of common stock. In preparing the tables
below, we assumed that stockholder approval was obtained, that the exercise price of the stock
options and the market price of the stock at the date of grant were $10.00 per share and that the
stock options had a term of ten years and vested over five years. We applied the Black-Scholes
option pricing model to estimate a grant-date fair value of $4.98 for each option. In addition to
the terms of the options described above, the Black-Scholes option pricing model assumed an
estimated volatility rate of 32.17% for the shares of common stock, a dividend yield of 0.0%, an
expected option life of ten years and a risk-free interest rate of 3.53%.
We may grant options and award shares of common stock under one or more stock-based benefit
plans in excess of 10% and 4%, respectively, of our total outstanding shares if the stock-based
benefit plans are adopted more than one year following the stock offering. In addition, we may
grant options and award shares that vest sooner than over a five-year period if the stock-based
benefit plans are adopted more than one year following the stock offering.
As discussed under "How We Intend to Use the Proceeds from the Stock Offering," we intend to
contribute at least 50% of the net proceeds from the stock offering to OmniAmerican Bank, and we
will retain the remainder of the net proceeds from the stock offering. We will use a portion of
the proceeds we retain for the purpose of making a loan to the employee stock ownership plan and
retain the rest of the proceeds for future use.
The pro forma table does not give effect to:
•
withdrawals from deposit accounts for the purpose of purchasing shares of common
stock in the stock offering;
•
our results of operations after the stock offering; or
•
changes in the market price of the shares of common stock after the stock offering.
The following pro forma information may not represent the financial effects of the stock
offering at the date on which the stock offering actually occurs and you should not use the table
to indicate future results of operations. Pro forma stockholders' equity represents the difference
between the stated amount of our assets and liabilities, computed in accordance with GAAP. We did
not increase or decrease stockholders' equity to reflect the difference between the carrying value
of loans and other assets and their market value. Pro forma stockholders' equity is not intended
to represent the fair market value of the shares of common stock and may be different than the
amounts that would be available for distribution to stockholders if we liquidated. Pro forma
stockholders' equity does not give effect to the impact of intangible assets or the liquidation
account we will establish in the conversion in the unlikely event we are liquidated.
38
Table of Contents
At or For the Six Months Ended June 30, 2009
Based Upon the Sale at $10.00 Per Share of
7,650,000
9,000,000
10,350,000
11,902,500
Shares
Shares
Shares
Shares (1)
(Dollars in thousands, except per share amounts)
Gross Proceeds of Offering
$
76,500
$
90,000
$
103,500
$
119,025
Less: expenses
(2,539
)
(2,695
)
(2,850
)
(3,028
)
Estimated net proceeds
73,961
87,305
100,650
115,997
Less: Common stock purchased by ESOP (2)
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Less: Common stock awarded under stock-based
benefit plans (3)
(3,060
)
(3,600
)
(4,140
)
(4,761
)
Estimated net cash proceeds
$
64,781
$
76,505
$
88,230
$
101,714
For the Six Months Ended June 30, 2009
Consolidated net income:
Historical
$
459
$
459
$
459
$
459
Pro forma income on net proceeds
351
414
478
551
Pro forma ESOP adjustment(2)
(81
)
(95
)
(110
)
(126
)
Pro forma stock award adjustment (3)
(202
)
(238
)
(273
)
(314
)
Pro forma stock option adjustment (4)
(349
)
(410
)
(472
)
(543
)
Pro forma net income
$
178
$
130
$
82
$
27
Per share net income
Historical
$
0.07
$
0.06
$
0.05
$
0.04
Pro forma income on net proceeds
0.05
0.05
0.05
0.05
Pro forma ESOP adjustment (2)
(0.01
)
(0.01
)
(0.01
)
(0.01
)
Pro forma stock award adjustment (3)
(0.03
)
(0.03
)
(0.03
)
(0.03
)
Pro forma stock option adjustment (4)
(0.05
)
(0.05
)
(0.05
)
(0.05
)
Pro forma net income per share (5)
$
0.03
$
0.02
$
0.01
$
0.00
Offering price as a multiple of pro forma
net earnings per share
166.67
x
250.00
x
500.00
x
NM
(7)
Number of shares outstanding for pro forma net
income per share calculations (5)
7,050,240
8,294,400
9,538,560
10,969,344
At June 30, 2009
Stockholders' equity:
Historical
$
90,266
$
90,266
$
90,266
$
90,266
Estimated net proceeds
73,961
87,305
100,650
115,997
Less: Common stock acquired by ESOP (2)
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Less: Common stock awarded under stock-based
benefit plans (3) (4)
(3,060
)
(3,600
)
(4,140
)
(4,761
)
Pro forma stockholders' equity
$
155,047
$
166,771
$
178,496
$
191,980
Stockholders' equity per share:
Historical
$
11.80
$
10.03
$
8.72
$
7.58
Estimated net proceeds
9.67
9.70
9.72
9.75
Less: Common stock acquired by ESOP (2)
(0.80
)
(0.80
)
(0.80
)
(0.80
)
Less: Common stock awarded under stock-based
benefit plans (3) (4)
(0.40
)
(0.40
)
(0.40
)
(0.40
)
Pro forma stockholders' equity per share (6)
$
20.27
$
18.53
$
17.24
$
16.13
Offering price as percentage of pro forma
stockholders' equity per share
49.33
%
53.97
%
58.00
%
62.00
%
Number of shares outstanding for pro forma book value
per share calculations
7,650,000
9,000,000
10,350,000
11,902,500
39
Table of Contents
(Footnotes from previous page)
(1)
As adjusted to give effect to an increase in the number of shares which could occur due
to a 15% increase in the offering range to reflect demand for the shares or changes in
market conditions following the commencement of the offering.
(2)
Assumes that 8% of shares of common stock sold in the offering will be purchased by the
employee stock ownership plan. For purposes of this table, the funds used to acquire
these shares are assumed to have been borrowed by the employee stock ownership plan from
OmniAmerican Bancorp, Inc. OmniAmerican Bank intends to make annual contributions to the
employee stock ownership plan in an amount at least equal to the required principal and
interest payments on the debt. OmniAmerican Bank's total annual payments on the employee
stock ownership plan debt are based upon 25 equal annual installments of principal and
interest. Statement of Position 93-6, "Employers' Accounting for Employee Stock Ownership
Plans" ("SOP 93-6"), requires that an employer record compensation expense in an amount
equal to the fair value of the shares committed to be released to employees. The pro
forma adjustments assume that the employee stock ownership plan shares are allocated in
equal annual installments based on the number of loan repayment installments assumed to be
paid by OmniAmerican Bank, the fair value of the common stock remains equal to the
subscription price and the employee stock ownership plan expense reflects an effective
combined federal and state tax rate of 34.0%. The unallocated employee stock ownership
plan shares are reflected as a reduction of stockholders' equity. No reinvestment is
assumed on proceeds contributed to fund the employee stock ownership plan. The pro forma
net income further assumes that 12,240, 14,400, 16,560 and 19,044 shares were committed to
be released during the six months ended June 30, 2009 at the minimum, midpoint, maximum,
and adjusted maximum of the offering range, respectively, and in accordance with SOP 93-6,
only the employee stock ownership plan shares committed to be released during the period
were considered outstanding for purposes of income per share calculations.
(3)
If approved by OmniAmerican Bancorp, Inc.'s stockholders, one or more stock-based benefit
plans plan may purchase an aggregate number of shares of common stock equal to 4% of the
shares to be sold in the offering (or possibly a greater number of shares if the plan is
implemented more than one year after completion of the conversion). Stockholder approval
of the stock-based benefit plans, and purchases by the plan may not occur earlier than six
months after the completion of the conversion. The shares may be acquired directly from
OmniAmerican Bancorp, Inc. or through open market purchases. The funds to be used by the
stock-based benefit plans to purchase the shares will be provided by OmniAmerican Bancorp,
Inc. The table assumes that (i) the stock-based benefit plans acquire the shares through
open market purchases at $10.00 per share, (ii) 20% of the amount contributed to the
stock-based benefit plans is amortized as an expense during the fiscal year and (iii) the
stock-based benefit plans expense reflects an effective combined federal and state tax
rate of 34%. Assuming stockholder approval of the stock-based benefit plans and that
shares of common stock (equal to 4% of the shares sold in the offering) are awarded
through the use of authorized but unissued shares of common stock, stockholders would have
their ownership and voting interests diluted by approximately 3.8%.
(4)
If approved by OmniAmerican Bancorp, Inc.'s stockholders, one of more stock-based benefit
plans may grant options to acquire an aggregate number of shares of common stock equal to
10% of the shares to be sold in the offering (or possibly a greater number of shares if
the plan is implemented more than one year after completion of the conversion).
Stockholder approval of the stock-based benefit plans may not occur earlier than six
months after the completion of the conversion. In calculating the pro forma effect of the
stock options to be granted under stock-based benefit plans, it is assumed that the
exercise price of the stock options and the trading price of the common stock at the date
of grant were $10.00 per share, the estimated grant-date fair value determined using the
Black-Scholes option pricing model was $4.98 for each option, the aggregate grant-date
fair value of the stock options was amortized to expense on a straight-line basis over a
five-year vesting period of the options. The actual expense of the stock options to be
granted under the stock-based benefit plans will be determined by the grant-date fair
value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted. Under the above
assumptions, the adoption of the stock-based benefit plans will result in no additional
shares under the treasury stock method for purposes of calculating earnings per share.
There can be no assurance that the actual exercise price of the stock options will be
equal to the $10.00 price per share. If a portion of the shares to satisfy the exercise
of options under the stock-based benefit plans is obtained from the issuance of authorized
but unissued shares, our net income per share and stockholders' equity per share would
decrease. Assuming stockholder approval of the stock-based benefit plans and that shares
of common stock used to fund stock options (equal to 10% of the shares sold in the
offering) are awarded through the use of authorized but unissued shares of common stock,
stockholders would have their ownership and voting interests diluted by approximately
9.1%.
(5)
Income per share computations are determined by taking the number of shares assumed to be
sold in the offering and, in accordance with SOP 93-6, subtracting the employee stock
ownership plan shares that have not been committed for release during the period and
subtracting non-vested stock awards granted under one or more stock-based benefit plans.
See note 2, above.
(6)
The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See "Our Policy Regarding Dividends," "The Conversion; Plan of
Distribution—Liquidation Rights" and "Supervision and Regulation." The number of shares
used to calculate pro forma stockholders' equity per share is equal to the total number of
shares to be outstanding upon completion of the offering.
(7)
NM is not meaningful.
40
Table of Contents
At or For the Year Ended December 31, 2008
Based Upon the Sale at $10.00 Per Share of
7,650,000
9,000,000
10,350,000
11,902,500
Shares
Shares
Shares
Shares (1)
(Dollars in thousands, except per share amounts)
Gross Proceeds of Offering
$
76,500
$
90,000
$
103,500
$
119,025
Less: expenses
(2,539
)
(2,695
)
(2,850
)
(3,028
)
Estimated net proceeds
73,961
87,305
100,650
115,997
Less: Common stock purchased by ESOP (2)
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Less: Common stock awarded under stock-based
benefit plans (3)
(3,060
)
(3,600
)
(4,140
)
(4,761
)
Estimated net cash proceeds
$
64,781
$
76,505
$
88,230
$
101,714
For the Year Ended December 31, 2008
Consolidated net income (loss):
Historical
$
644
$
644
$
644
$
644
Pro forma income on net proceeds
428
505
582
671
Pro forma
ESOP adjustment (2)
(162
)
(190
)
(219
)
(251
)
Pro forma stock award adjustment (3)
(404
)
(475
)
(546
)
(628
)
Pro forma stock option adjustment (4)
(697
)
(820
)
(943
)
(1,085
)
Pro forma net income (loss)
$
(191
)
$
(336
)
$
(482
)
$
(649
)
Per share net income (loss)
Historical
$
0.09
$
0.08
$
0.07
$
0.06
Pro forma income on net proceeds
0.06
0.06
0.06
0.06
Pro forma ESOP adjustment (2)
(0.02
)
(0.02
)
(0.02
)
(0.02
)
Pro forma stock award adjustment (3)
(0.06
)
(0.06
)
(0.06
)
(0.06
)
Pro forma stock option adjustment (4)
(0.10
)
(0.10
)
(0.10
)
(0.10
)
Pro forma net income (loss) per share (5)
$
(0.03
)
$
(0.04
)
$
(0.05
)
$
(0.06
)
Offering price as a multiple of pro forma
net earnings per share(7)
NM
NM
NM
NM
Number of shares outstanding for pro forma net
income (loss) per share calculations (5)
7,062,480
8,308,800
9,555,120
10,988,388
At December 31, 2008
Stockholders' equity:
Historical
$
89,329
$
89,329
$
89,329
$
89,329
Estimated net proceeds
73,961
87,305
100,650
115,997
Less: Common stock acquired by ESOP (2)
(6,120
)
(7,200
)
(8,280
)
(9,522
)
Less: Common stock awarded under stock-based
benefit plans (3) (4)
(3,060
)
(3,600
)
(4,140
)
(4,761
)
Pro forma stockholders' equity
$
154,110
$
165,834
$
177,559
$
191,043
Stockholders' equity per share:
Historical
$
11.68
$
9.93
$
8.63
$
7.51
Estimated net proceeds
9.67
9.70
9.72
9.75
Less: Common stock acquired by ESOP (2)
(0.80
)
(0.80
)
(0.80
)
(0.80
)
Less: Common stock awarded under stock-based
benefit plans (3) (4)
(0.40
)
(0.40
)
(0.40
)
(0.40
)
Pro forma stockholders' equity per share (6)
$
20.15
$
18.43
$
17.15
$
16.06
Offering price as percentage of pro forma
stockholders' equity per share
49.63
%
54.26
%
58.31
%
62.27
%
Number of shares outstanding for pro forma book value
per share calculations
7,650,000
9,000,000
10,350,000
11,902,500
(footnotes begin on following page)
41
Table of Contents
(Footnotes from previous page)
(1)
As adjusted to give effect to an increase in the number of shares which could occur due
to a 15% increase in the offering range to reflect demand for the shares or changes in
market conditions following the commencement of the offering.
(2)
Assumes that 8% of shares of common stock sold in the offering will be purchased by the
employee stock ownership plan. For purposes of this table, the funds used to acquire
these shares are assumed to have been borrowed by the employee stock ownership plan from
OmniAmerican Bancorp, Inc. OmniAmerican Bank intends to make annual contributions to the
employee stock ownership plan in an amount at least equal to the required principal and
interest payments on the debt. OmniAmerican Bank's total annual payments on the employee
stock ownership plan debt are based upon 25 equal annual installments of principal and
interest. Statement of Position 93-6, "Employers' Accounting for Employee Stock Ownership
Plans" ("SOP 93-6"), requires that an employer record compensation expense in an amount
equal to the fair value of the shares committed to be released to employees. The pro
forma adjustments assume that the employee stock ownership plan shares are allocated in
equal annual installments based on the number of loan repayment installments assumed to be
paid by OmniAmerican Bank, the fair value of the common stock remains equal to the
subscription price and the employee stock ownership plan expense reflects an effective
combined federal and state tax rate of 34.0%. The unallocated employee stock ownership
plan shares are reflected as a reduction of stockholders' equity. No reinvestment is
assumed on proceeds contributed to fund the employee stock ownership plan. The pro forma
net income further assumes that 24,480, 28,800, 33,120 and 38,088 shares were committed to
be released during the year at the minimum, midpoint, maximum, and adjusted maximum of the
offering range, respectively, and in accordance with SOP 93-6, only the employee stock
ownership plan shares committed to be released during the period were considered
outstanding for purposes of income per share calculations.
(3)
If approved by OmniAmerican Bancorp, Inc.'s stockholders, one or more stock-based benefit
plans plan may purchase an aggregate number of shares of common stock equal to 4% of the
shares to be sold in the offering (or possibly a greater number of shares if the plan is
implemented more than one year after completion of the conversion). Stockholder approval
of the stock-based benefit plans, and purchases by the plan may not occur earlier than six
months after the completion of the conversion. The shares may be acquired directly from
OmniAmerican Bancorp, Inc. or through open market purchases. The funds to be used by the
stock-based benefit plans to purchase the shares will be provided by OmniAmerican Bancorp,
Inc. The table assumes that (i) the stock-based benefit plans acquire the shares through
open market purchases at $10.00 per share, (ii) 20% of the amount contributed to the
stock-based benefit plans is amortized as an expense during the fiscal year and (iii) the
stock-based benefit plans expense reflects an effective combined federal and state tax
rate of 34.0%. Assuming stockholder approval of the stock-based benefit plans and that
shares of common stock (equal to 4% of the shares sold in the offering) are awarded
through the use of authorized but unissued shares of common stock, stockholders would have
their ownership and voting interests diluted by approximately 3.8%.
(4)
If approved by OmniAmerican Bancorp, Inc.'s stockholders, one of more stock-based benefit
plans may grant options to acquire an aggregate number of shares of common stock equal to
10% of the shares to be sold in the offering (or possibly a greater number of shares if
the plan is implemented more than one year after completion of the conversion).
Stockholder approval of the stock-based benefit plans may not occur earlier than six
months after the completion of the conversion. In calculating the pro forma effect of the
stock options to be granted under stock-based benefit plans, it is assumed that the
exercise price of the stock options and the trading price of the common stock at the date
of grant were $10.00 per share, the estimated grant-date fair value determined using the
Black-Scholes option pricing model was $4.98 for each option, the aggregate grant-date
fair value of the stock options was amortized to expense on a straight-line basis over a
five-year vesting period of the options. The actual expense of the stock options to be
granted under the stock-based benefit plans will be determined by the grant-date fair
value of the options, which will depend on a number of factors, including the valuation
assumptions used in the option pricing model ultimately adopted. Under the above
assumptions, the adoption of the stock-based benefit plans will result in no additional
shares under the treasury stock method for purposes of calculating earnings per share.
There can be no assurance that the actual exercise price of the stock options will be
equal to the $10.00 price per share. If a portion of the shares to satisfy the exercise
of options under the stock-based benefit plans is obtained from the issuance of authorized
but unissued shares, our net income per share and stockholders' equity per share would
decrease. Assuming stockholder approval of the stock-based benefit plans and that shares
of common stock used to fund stock options (equal to 10% of the shares sold in the
offering) are awarded through the use of authorized but unissued shares of common stock,
stockholders would have their ownership and voting interests diluted by approximately
9.1%.
(5)
Income per share computations are determined by taking the number of shares assumed to be
sold in the offering and, in accordance with SOP 93-6, subtracting the employee stock
ownership plan shares that have not been committed for release during the period and
subtracting non-vested stock awards granted under one or more stock-based benefit plans.
See note 2, above.
(6)
The retained earnings of OmniAmerican Bank will be substantially restricted after the
conversion. See "Our Policy Regarding Dividends," "The Conversion; Plan of
Distribution—Liquidation Rights" and "Supervision and Regulation." The number of shares
used to calculate pro forma stockholders' equity per share is equal to the total number of
shares to be outstanding upon completion of the offering.
(7)
NM is not meaningful.
42
Table of Contents
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
This section is intended to help potential investors understand our financial performance
through a discussion of the factors affecting our financial condition at June 30, 2009, December
31, 2008 and 2007, and our results of operations for the six months ended June 30, 2009 and 2008
and the years ended December 31, 2008, 2007 and 2006. This section should be read in conjunction
with the financial statements and notes to the financial statements that appear elsewhere in this
prospectus. OmniAmerican Bancorp, Inc. did not exist at June 30, 2009; therefore, the information
reflected in this section reflects the financial performance of OmniAmerican Bank.
Overview
Our results of operations depend mainly on our net interest income, which is the difference
between the interest income we earn on our loan and investment portfolios and the interest expense
we pay on our deposits and borrowings. Results of operations are also affected by service charges
and other fees, provision for loan losses, commissions, gains (losses) on sales of securities and
loans and other income. Our noninterest expense consists primarily of salaries and benefits,
operations, occupancy, professional services, loan servicing expense, marketing and income tax
expense.
Our results of operations are also significantly affected by general economic and competitive
conditions (such as changes in energy prices which have an impact on the Texas economy), as well as
changes in interest rates, government policies and actions of regulatory authorities. Future
changes in applicable law, regulations or government policies may materially affect our financial
condition and results of operations. In recent periods, increases in computer fraud affecting our
operations and the operations of third party providers have increased our costs of doing business.
See "Risk Factors" beginning on page 16.
Prior to our conversion to a federal savings bank in 2006, we operated as a Texas chartered
credit union, concentrating our lending efforts on the origination of consumer loans, primarily the
origination of indirect automobile loans. Since our conversion to a federal savings bank, we have
changed the relative composition of our loan portfolio by emphasizing the origination of one- to
four-family residential mortgage loans, commercial business loans, commercial real estate loans and
real estate construction loans. As a result, between December 31, 2004 and June 30, 2009, our
consumer loans as a percentage of total loans decreased from 71.7% to 33.9%. We have significantly
increased our personnel, systems and administration to support the growth of our one- to
four-family residential mortgage, commercial real estate and commercial business lending activity.
Business Strategy
Our primary objective is to remain an independent, community-oriented financial institution
serving customers in our primary market areas. Our board of directors has sought to accomplish
this objective by adopting a business strategy designed to maintain profitability, a strong capital
position and high asset quality. This business strategy includes the following elements:
Diversifying our loan portfolio by emphasizing the origination of one- to four-family
residential mortgage loans, commercial real estate loans and commercial business loans.
Our
strategy for increasing net income includes increasing our loan production and continuing to
diversify our loan composition. We intend to continue to emphasize the origination and purchase of
one- to four-family residential mortgage loans, and the origination of commercial real estate loans
and commercial business loans, which increased to 35.5%, 13.0% and 8.4%, respectively, of our
total loans at June 30, 2009, from
43
Table of Contents
17.7%, 5.0% and 1.6% of our total loans at December 31, 2004. During 2008 and 2007, we also
entered into a number of commercial business loan participations. At June 30, 2009, our commercial
business loan participations totaled $47.4 million. In the future, we intend to focus our
commercial business lending on the origination of small to medium size business loans in our local
market area. By contrast, consumer loans decreased to 33.9% of our total loans at June 30, 2009,
compared to 71.7% of our total loans at December 31, 2004. We anticipate the total dollar amount of
our consumer loans to remain stable in the near term. The increase in our one- to four-family
residential mortgage loans reflects the demand for these loans in our primary market areas. The
increases in commercial real estate loans and commercial business loans reflect our emphasis on
this type of lending. We anticipate that our commercial business and commercial real estate
portfolios will increase in connection with the growth of our wealth management services group.
Commercial real estate loans and commercial business loans generally are originated with higher
interest rates compared to one- to four-family residential mortgage loans and, therefore, have a
positive effect on our net interest rate spread and net interest income. In addition, the majority
of these loans are originated with adjustable interest rates, which assist us in managing interest
rate risk.
Continuing conservative underwriting guidelines and aggressive monitoring of our loan
portfolio in order to maintain asset quality
. Our asset quality is reflected in our ratio of
non-performing assets to total assets, which was 0.60%, 0.59% and 0.35% at June 30, 2009, December
31, 2008 and 2007, respectively. We introduce loan products only when we are confident that our
staff has the necessary expertise and that sound underwriting and collection procedures are in
place. For example, a relatively high percentage of our loan portfolio consists of consumer loans
which are generally considered to have higher risk than owner occupied one- to four-family
residential loans. For the six months and twelve months ended June 30, 2009 and December 31, 2008,
our average ratio of losses from consumer loans to average total loans was 0.37% and 0.29% of the
average loan portfolio, respectively. Our credit and collections department actively monitors the
performance of our consumer and residential mortgage loan portfolios. When a loan becomes past
due, we promptly contact the borrower by telephone or by written communication. During each
personal contact, the borrower is required to provide updated information and is counseled on the
terms of the loan and the importance of making payments on or before the due date. With respect to
our commercial real estate and commercial business lending, collection efforts are carried out
directly by our commercial loan officers. Commercial loan officers review past due accounts weekly
and promptly contact delinquent borrowers. Past due notices are typically sent to commercial real
estate customers and commercial business customers at 15 days past due.
Emphasizing lower cost core deposits to reduce the funding costs of our loan growth.
We offer
interest-bearing and non-interest-bearing demand accounts, money market accounts and savings
accounts (collectively referred to as core deposits), which generally are lower-cost sources of
funds than certificates of deposits, and are less sensitive to withdrawal when interest rates
fluctuate. At June 30, 2009, 54.35% of our total deposits consisted of these lower cost core
deposits. For the six months ended June 30, 2009 and the years ended December 31, 2008, 2007 and
2006, average core deposits represented 54.35%, 53.71%, 57.23% and 60.12%, respectively, of average
total deposits. We intend to continue emphasizing our core deposits as a source of funding. In this
regard, we generally require that commercial banking borrowers open checking accounts with us at
the time they establish a borrowing relationship with us.
Managing interest rate risk.
As with most financial institutions, successfully managing
interest rate risk is an integral part of our business strategy. Management and the board of
directors evaluate the interest rate risk inherent in our assets and liabilities, and determine the
level of risk that is appropriate and consistent with our capital levels, liquidity and performance
objectives. In particular, during the current low interest rate environment we have sought to
minimize the risk of originating long-term fixed rate loans by selling into the secondary market,
and in particular selling to Fannie Mae all qualifying one-
44
Table of Contents
to four- family fixed-rate residential mortgage loans with terms in excess of 15 years. In
addition, we have a significant percentage of our loan portfolio in commercial business loans and
consumer loans which generally have shorter terms and provide higher yields than one- to four-
family residential mortgage loans. We also monitor our deposits, a majority of which have been
lower cost core deposits. Our strategy is to continue managing interest rate risk in response to
changes in the local and national economy and to increase our assets as we deploy the proceeds from
the offering.
Increasing our sources of noninterest income.
We offer a variety of insurance and investment
products through a third party brokerage agreement. We expect these fees to increase as we grow the
wealth management services portion of our business. Fees generated from these services increase our
noninterest income and reduce our exposure to interest rate fluctuations that may cause a reduction
in net interest income. In particular, we have sought to increase our fee income by offering our
customers incentives for debit card usage and increasing the number of our business deposit
accounts as we grow our commercial loan portfolio. We also receive fees from the sale of fixed-rate
loans.
Implementing a controlled growth strategy.
We believe our infrastructure, personnel and fixed
operating base can support a substantially larger institution. Following the completion of the
offering, we intend to use our capital to grow organically and we may use a portion of the net
proceeds of the offering to pursue future acquisitions of commercial banks, savings institutions,
financial services companies and branch offices of such companies, including possible supervisory
acquisitions. We have no current arrangements or agreements with respect to any such acquisitions.
The successful implementation of these strategies will allow us to offer our clients a full
range of deposit and loan products. In addition, we have begun offering wealth management services
to individuals in our market area. Our goal is to have full relationship banking with our clients.
Anticipated Increase in Noninterest Expense
Following the completion of the conversion and offering, we anticipate that our noninterest
expense will increase as a result of the increased costs associated with managing a public company,
increased compensation expenses associated with the purchases of shares of common stock by our
employee stock ownership plan, and the adoption of one or more stock-based incentive plans, if
approved by OmniAmerican Bancorp, Inc.'s stockholders.
Assuming that the adjusted maximum number of shares are sold in the offering:
•
our employee stock ownership plan would acquire 952,200 shares of common stock
with a $9.5 million loan that is expected to be repaid over 25 years, resulting in
an annual pre-tax expense of approximately $476,100 (assuming that the common stock
maintains a value of $10.00 per share);
•
our stock option plan would grant options to purchase shares equal to 10% of the
total shares issued in the offering, or 1,190,250 shares, to eligible participants,
which would result in compensation expense over the vesting period of the options.
Assuming the market price of the common stock is $10.00 per share; all options are
granted with an exercise price of $10.00 per share and have a term of 10 years; the
dividend yield on the stock is zero; the risk free interest rate is 3.53%; and the
volatility rate on the common stock is 32.17%, the estimated grant-date fair value
of the options utilizing a Black-Scholes option pricing analysis is $4.98 per
option granted. Assuming this value is amortized over the five-year vesting
period, the corresponding annual pre-tax expense associated with the stock option
plan would be approximately $1.2 million; and
45
Table of Contents
•
our stock-based benefit plan would award a number of shares equal to 4% of the shares issued in the offering, or 476,100 shares, to eligible participants, which
would be expensed as the awards vest. Assuming that all shares are awarded under
the stock-based benefit plan at a price of $10.00 per share, and that the awards
vest over a five-year period, the corresponding annual pre-tax expense associated
with shares awarded under the recognition and retention plan would be approximately
$952,200.
The actual expense that will be recorded for the employee stock ownership plan will be
determined by the market value of the shares of common stock as they are released to employees over
the term of the loan, and whether the loan is repaid faster than its contractual term. Accordingly,
increases in the stock price above $10.00 per share will increase the total employee stock
ownership plan expense, and any accelerated repayment of the loan would increase the annual
employee stock ownership plan expense. Additionally, the actual expense of the restricted stock awards under
the stock-based benefit
plan will be determined by the fair market value of the stock on the grant date, which might be
greater than $10.00 per share. Further, the actual expense of the stock option plan would be
determined by the grant-date fair value of the options, which would depend on a number of factors,
including the valuation assumptions used in the Black-Scholes option pricing model.
Critical Accounting Policies
We consider accounting policies that require management to exercise significant judgment or
discretion or make significant assumptions that have, or could have, a material impact on the
carrying value of certain assets or on income, to be critical accounting policies. We consider the
following to be our critical accounting policies.
Allowance for Loan Losses.
We believe that the allowance for loan losses and related
provision for loan losses are particularly susceptible to change in the near term, due to changes
in credit quality which are evidenced by trends in charge-offs and in the volume and severity of
past due loans. In addition, our loan mix is changing as we increase our emphasis on commercial
real estate and commercial business loans. Commercial real estate and commercial business loans
generally have a higher credit risk profile than one- to four-family residential real estate and
consumer loans due to these loans being larger in amount and non-homogenous.
The allowance for loan losses is maintained at a level to cover probable credit losses
inherent in the loan portfolio at the balance sheet date. Based on our estimate of the level of
allowance for loan losses required, we record a provision for loan losses as a charge to earnings
to maintain the allowance for loan losses at an appropriate level. The estimate of our credit
losses is applied to two general categories of loans:
•
loans that we evaluate individually for impairment under Statement of Financial
Accounting Standards ("SFAS") No. 114, "Accounting by Creditors for Impairment of a
Loan;" and
•
groups of loans with similar risk characteristics that we evaluate collectively for
impairment under SFAS No. 5, "Accounting for Contingencies."
The allowance for loan losses is evaluated on a regular basis by management and reflects
consideration of all significant factors that affect the collectability of the loan portfolio. The
factors used to evaluate the collectability of the loan portfolio include, but are not limited to,
current economic conditions, our historical loss experience, the nature and volume of the loan
portfolio, the financial strength of the borrower, and estimated value of any underlying
collateral. This evaluation is inherently
46
Table of Contents
subjective as it requires estimates that are subject to significant revision as more
information becomes available. Actual loan losses may be significantly more than the allowance for
loan losses we have established which could have a material negative effect on our financial
results.
Impairment of Investment Securities.
The evaluation of the investment portfolio for
other-than-temporary impairment is also a critical accounting policy. In evaluating the investment
portfolio for other-than-temporary impairment, management considers the issuer's credit rating,
credit outlook, payment status and financial condition, the length of time the security has been in
a loss position, the size of the loss position and other meaningful information. If a decline in
the fair value of an investment security below its cost is judged to be other-than-temporary, the
cost basis of the investment security is written down to fair value as a new cost basis. The amount
of the credit related impairment write-down is recognized in our earnings and the non-credit
related impairment for securities not expected to be sold is recognized in other comprehensive
income (loss). A number of factors or combinations of factors could cause us to conclude in one or
more future reporting periods that an unrealized loss that exists with respect to these securities
constitutes an impairment that is other than temporary. These factors include failure to make
scheduled principal and/or interest payments, an increase in the severity of the unrealized loss on
a particular security, an increase in the continuous duration of the unrealized loss without an
improvement in value or changes in market conditions and/or industry or issuer specific factors
that would render us unable to forecast a full recovery in value.
Defined Benefit Retirement Plan.
Our costs and obligations related to our defined benefit
pension plan are calculated using various actuarial assumptions and methodologies as prescribed
under SFAS 87, "Employers' Accounting for Pensions." Management evaluates, reviews with the plan
actuaries and updates as appropriate the assumptions used in the determination of the pension
obligation and expense and the fair value of pension assets, including the discount rate and the
expected rate of return on plan assets. The discount rate and the expected rate of return on plan
assets have a significant impact on the actuarially computed present value of future pension plan
benefits that is recorded on the balance sheet as a liability and the corresponding pension
expense. Actual experience that differs from the assumptions could have a significant effect on
our financial position and results of operations.
To compute our pension expense in the six months ended June 30, 2009, we used actuarial
assumptions that included a discount rate and an expected long-term rate of return on plan assets.
The discount rate of 5.50%, used in this calculation, is the rate used in computing the benefit
obligation as of December 31, 2008. The expected long-term rate of return on plan assets of 7.50%
is based on the weighted average expected long-term returns for the target allocation of plan
assets as of the measurement date, December 31, 2008, and was developed through analysis of
historical market returns, current market conditions and the pension plan assets' past experience.
Although we believe that the assumptions used are appropriate, differences between assumed and
actual experience may affect our operating results. See Note 10 — Employee Benefit Plans of the
notes to financial statements included in this prospectus for additional information.
Income Taxes.
OmniAmerican Bank became a taxable entity after converting from a credit union
to a federally chartered savings bank on January 1, 2006. On that date, we established a net
deferred tax asset of $6.1 million as a result of timing differences for certain items, including
depreciation of premises and equipment, unrealized gains and losses on investment securities, and
bad debt deductions. The calculation of our income tax provision and deferred tax asset is complex
and requires the use of estimates and judgment in their determination. We assess the appropriate
tax treatment of transactions and filing positions after considering statutes, regulations,
judicial precedent and other pertinent information, and we maintain tax accruals consistent with
our evaluation. Changes in the estimate of accrued taxes occur periodically due to changes in tax
rates, interpretations of tax laws, and newly enacted statutory, judicial, and regulatory guidance
that could affect the relative merits of the tax
47
Table of Contents
positions. These changes, when they occur, impact accrued taxes and can materially affect our
operating results. In addition, positions taken by OmniAmerican Bank in preparing our federal and
state tax returns are subject to the review of taxing authorities, and the review of the positions
we have taken by taxing authorities could result in a material adjustment to our financial
statements. On January 1, 2009, we adopted FIN 48—FASB Interpretation No. 48, "Accounting for
Uncertainty in Income Taxes," an interpretation of FASB Statement No. 109. See Note 12 — Income
Taxes of the notes to financial statements included in this prospectus for additional information.
Comparison of Financial Condition at June 30, 2009 and December 31, 2008
Total assets decreased $29.6 million, or 2.8%, to $1.04 billion at June 30, 2009 from $1.07
billion at December 31, 2008. The decrease was primarily the result of a decrease in securities
classified as available for sale, partially offset by the increase in cash and cash equivalents and
loans, net of the allowance for loan losses and deferred fees and discounts.
Securities classified as available for sale decreased $46.3 million, or 20.1%, to $184.0
million at June 30, 2009 from $230.3 million at December 31, 2008. Securities classified as
available for sale declined due to sales, principal repayments and maturities. We sold $35.7
million of securities during the six months ended June 30, 2009. These proceeds were used to reduce
FHLB borrowings as part of our strategy to deleverage the balance sheet. Securities classified as
available for sale consisted primarily of government-sponsored mortgage-backed securities,
government-sponsored and private-label collateralized mortgage obligations, trust preferred
securities, FHLB zero coupon callable discount notes and municipal obligations.
Total cash and cash equivalents increased $12.0 million, or 29.1%, to $53.2 million at June
30, 2009 from $41.2 million at December 31, 2008. The increase in total cash and cash equivalents
was primarily the result of a $15.0 million increase during the six months ended June 30, 2009 in
short-term interest-earning deposits in other financial institutions due to cash received from loan
principal repayments of $126.5 million, the proceeds of $50.6 million in longer term (greater than
15 years) one- to four-family residential mortgage loan sales, proceeds of $66.0 million from
sales, principal repayments and maturities of securities and $20.0 million in net additions to
deposits. These cash proceeds were partially offset by $188.9 million in cash used to originate and
purchase loans and $52.0 million used to repay FHLB advances.
Loans, net increased $9.3 million, or 1.3%, to $725.1 million at June 30, 2009 from $715.8
million at December 31, 2008. During the six months ended June 30, 2009, we focused our loan
growth on real estate and commercial business loans while continuing to reduce our consumer loan
portfolio, primarily automobile loans. One- to four-family residential real estate loans increased
$15.8 million, or 6.4%, to $261.3 million at June 30, 2009. Commercial real estate loans increased
$6.6 million, or 7.4%, to $95.6 million at June 30, 2009. Commercial business loans increased $10.5
million, or 20.5%, to $61.4 million at June 30, 2009. Automobile loans (consisting of direct and
indirect loans) decreased $14.7 million, or 6.0%, to $229.5 million at June 30, 2009. In addition,
our real estate construction loans decreased $5.3 million, or 11.6% to $40.5 million at June 30,
2009 from $45.8 million at December 31, 2008 due to the economic downturn in our market area.
Deposits increased $20.0 million, or 2.7%, to $759.8 million at June 30, 2009 from $739.8
million at December 31, 2008. Certificates of deposit decreased $3.9 million, or 1.1%, to $338.5
million at June 30, 2009 from $342.4 million at December 31, 2008. Our core deposits (consisting
of interest-bearing and non-interest-bearing demand accounts, money market accounts and savings
accounts) increased $23.9 million, or 6.1%, to $421.3 million at June 30, 2009 from $397.4 million
at December 31,
48
Table of Contents
2008. The general increase in our deposits was primarily attributed to an increase in our core
deposits as management believes the recession generally caused many investors to seek FDIC-insured
deposits.
Federal Home Loan Bank borrowings decreased $52.0 million, or 30.6%, to $117.9 million at June
30, 2009 from $169.9 million at December 31, 2008, as a result of our decision to deleverage our
balance sheet. Securities sold under agreements to repurchase were essentially unchanged at $58.0
million at June 30, 2009 from December 31, 2008.
Equity capital increased $937,000, or 1.0%, to $90.3 million at June 30, 2009 from $89.3
million at December 31, 2008. The increase resulted primarily from net income of $459,000 during
the six months ended June 30, 2009 and a reduction in accumulated other comprehensive loss of
$478,000 due to improvement in the unrealized gains in the investment portfolio.
Comparison of Financial Condition at December 31, 2008 and 2007
Total assets increased $16.9 million, or 1.6%, to $1.07 billion at December 31, 2008 from
$1.05 billion at December 31, 2007. The increase was primarily the result of an increase in total
cash and cash equivalents and loans, net, partially offset by a decrease in securities classified
as available for sale.
Total cash and cash equivalents increased $22.2 million or 116.8% to $41.2 million at December
31, 2008 from $19.0 million at December 31, 2007. The increase in total cash and cash equivalents
was primarily the result of a $20.8 million increase during the year ended December 31, 2008 in
short-term interest-earning deposits in other financial institutions due to liquidity from the
$10.0 million increase in deposits and cash received from the proceeds of principal repayments,
maturities and sales of $88.6 million in securities, which were largely offset by purchases of
$73.6 million in securities. We maintained a high level of liquidity at December 31, 2008 in
anticipation of funding loan originations and purchases in early 2009.
Loans, net increased $8.7 million, or 1.2%, to $715.8 million at December 31, 2008 from $707.1
million at December 31, 2007. During the year ended December 31, 2008, we focused our loan growth
on real estate and commercial business loans while continuing to reduce our consumer loan
portfolio, primarily in automobile loans. One- to four-family residential real estate loans
increased $35.1 million, or 16.7%, to $245.6 million at December 31, 2008. Commercial real estate
loans increased $7.1 million, or 8.6%, to $89.0 million at December 31, 2008. Real estate
construction loans increased $2.8 million, or 6.6%, to $45.8 million at December 31, 2008.
Commercial business loans increased $16.1 million, or 46.1%, to $51.0 million at December 31, 2008.
Our automobile loan portfolio (consisting of direct and indirect loans) decreased $52.3 million, or
17.6%, to $244.2 million at December 31, 2008.
Securities classified as available for sale decreased $14.3 million, or 5.8%, to $230.3
million at December 31, 2008 from $244.6 million at December 31, 2007. Securities classified as
available for sale declined due to principal repayments, maturities and calls of $47.8 million. We
sold $40.7 million and purchased $73.6 million of securities during the year ended December 31,
2008. At December 31, 2008, securities classified as available for sale consisted primarily of
government-sponsored mortgage-backed securities, government-sponsored and private-label
collateralized mortgage obligations, trust preferred securities and municipal obligations.
Deposits increased $10.0 million, or 1.4%, to $739.8 million at December 31, 2008 from $729.9
million at December 31, 2007. Certificates of deposit increased $14.8 million, or 4.5%, to $342.4
million at December 31, 2008 from $327.6 million at December 31, 2007. Our core deposits
(consisting of interest-bearing and non-interest-bearing demand accounts, money market accounts and
savings accounts) decreased $4.8 million, or 1.2%, to $397.4 million at December 31, 2008 from
$402.3 million at
49
Table of Contents
December 31, 2007. Management believes the overall increase in our deposits resulted primarily
from increased participation in the Certificate of Deposit Account Registry Service
®
or
CDARS program. Deposits in the CDARS program increased to $19.9 million at December 31, 2008 from
$5.1 million at December 31, 2007.
Federal Home Loan Bank borrowings increased $13.0 million, or 8.3%, to $169.9 million at
December 31, 2008 from $156.9 million at December 31, 2007. Other secured borrowings, which
includes securities sold under agreements to repurchase and other secured borrowings, consisting of
automobile loan participations that did not qualify as sales under applicable accounting standards,
decreased $7.5 million, or 11.3% to $58.7 million at December 31, 2008 from $66.2 million at
December 31, 2007.
Equity capital increased $607,000, or 0.7%, to $89.3 million at December 31, 2008 from $88.7
million at December 31, 2007. The increase resulted primarily from net income of $644,000 during
the year ended December 31, 2008, offset in part by an increase in accumulated other comprehensive
loss of $37,000.
Comparison of Operating Results For The Six Months Ended June 30, 2009 and 2008
General.
Net income increased $238,000, or 107.7%, to $459,000 for the six months ended June
30, 2009 from $221,000 for the prior year period. Net income for the six months ended June 30, 2009
reflected increases in net interest income of $2.4 million and noninterest income of $105,000,
partially offset by an increase in noninterest expense of $1.5 million, an increase in the
provision for loan losses of $525,000 and an increase in income tax expense of $203,000.
Interest Income.
Interest income decreased $1.2 million, or 4.2%, to $27.7 million for the
six months ended June 30, 2009 from $28.8 million for the six months ended June 30, 2008. The
decrease resulted from a $20.3 million, or 2.0% decrease in the average balance of interest-earning
assets to $982.8 million for the six months ended June 30, 2009 from $1.0 billion for the six
months ended June 30, 2008. During the six months ended June 30, 2009, we decreased the average
balance of our securities portfolio. In addition, the average yield on interest-earning assets
decreased by 12 basis points to 5.63% for the six months ended June 30, 2009 from 5.75% for the six
months ended June 30, 2008. The decrease in our average yield on interest-earning assets during the
six months ended June 30, 2009 as compared to the prior year period was due to the general decline
in short-term market interest rates.
Interest income on loans increased $655,000, or 3.0%, to $22.8 million for the six months
ended June 30, 2009 from $22.1 million for the six months ended June 30, 2008. The average balance
of loans increased $7.5 million, or 1.0%, to $731.2 million for the six months ended June 30, 2009
from $723.7 million for the six months ended June 30, 2008. The average yield on our loan portfolio
increased by 12 basis points, to 6.24% for the six months ended June 30, 2009 from 6.12% for the
six months ended June 30, 2008. During this period, we continued to change the composition of our
loan portfolio to include a higher percentage of loans secured by real estate and a lower
percentage of consumer loans.
Interest income on investment securities decreased $1.8 million, or 26.9%, to $4.9 million for
the six months ended June 30, 2009 from $6.7 million for the six months ended June 30, 2008. The
decrease resulted primarily from a decrease in the average balance of our securities portfolio
which decreased $57.1 million, or 21.9%, to $204.0 million for the six months ended June 30, 2009
from $261.0 million for the six months ended June 30, 2008 due to increased sales of our
securities, primarily mortgage-backed securities. The average yield on our securities portfolio
(excluding nontaxable investment securities) decreased by 14 basis points, to 4.73% for the six
months ended June 30, 2009 from 4.87% for the six months ended June 30, 2008.
50
Table of Contents
Interest Expense.
Interest expense decreased by $3.6 million, or 24.5%, to $11.2 million for
the six months ended June 30, 2009 from $14.7 million for the six months ended June 30, 2008. The
decrease resulted primarily from a decline in interest expense on deposits of $2.7 million, and to
a lesser extent, by a decrease in interest expense on borrowed funds of $848,000. The average rate
we paid on deposits decreased 83 basis points to 2.07% for the six months ended June 30, 2009 from
2.90% for the six months ended June 30, 2008, as we were able to reprice our deposits as market
rates declined. Partially offsetting the decrease in interest expense was an increase in the
average balance of interest- bearing deposits which increased $9.1 million, or 1.3%, to $686.6
million for the six months ended June 30, 2009 from $677.4 million for the six months ended June
30, 2008. The increase in the average balance of our deposits was primarily due to an increase in
the average balance of our core deposits (consisting of demand accounts, money market accounts and
savings accounts). Management believes that the increase in our core deposits resulted from many
investors seeking FDIC-insured deposits during the current recession.
Interest expense on certificates of deposit decreased $1.9 million, or 25.3%, to $5.7 million
for the six months ended June 30, 2009 from $7.6 million for the six months ended June 30, 2008.
The average rate paid on certificates of deposit decreased 110 basis points to 3.30% for the six
months ended June 30, 2009 from 4.40% for the six months ended June 30, 2008, reflecting lower
market rates. In addition, the average balance of certificates of deposit decreased $1.8 million
to $344.3 million for the six months ended June 30, 2009 from $346.2 million for the six months
ended June 30, 2008. The interest expense on our core deposits decreased $789,000, or 35.9%, to
$1.4 million for the six months ended June 30, 2009 from $2.2 million for the prior year period due
to the decline in market rates.
Interest expense on borrowed funds decreased by $847,000, or 17.2%, to $4.1 million for the
six months ended June 30, 2009 from $4.9 million for the prior year period as FHLB borrowings and
securities sold under agreements to repurchase were reduced as we deleveraged the balance sheet.
Net Interest Income.
Net interest income increased by $2.4 million, or 17.0%, to $16.5
million for the six months ended June 30, 2009 from $14.1 million for the prior year period, as a
result of a 60 basis point improvement in our net interest rate spread to 3.12% for the six months
ended June 30, 2009 from 2.52% for the six months ended June 30, 2008. Our net interest margin
increased 55 basis points to 3.36% for the six months ended June 30, 2009 from 2.81% for the six
months ended June 30, 2008. The increase in our net interest rate spread and net interest margin
reflected the steepening yield curve as short-term market interest rates used to price our deposits
declined significantly during late 2007 and 2008.
Provision for Loan Losses.
Based on our analysis of the factors described in "Critical
Accounting Policies — Allowance for Loan Losses," we recorded a provision for loan losses of $2.4
million for the six months ended June 30, 2009 and a provision for loan losses of $1.9 million for
the six months ended June 30, 2008. The primary reasons for the increase in the provision for loan
losses were an increase in our average loans of $7.5 million, an increase of $2.3 million in loans
classified as substandard and an increase in net charge-offs of $205,000. Substandard loans
increased to $35.0 million at June 30, 2009 from $32.7 million at June 30, 2008. The allowance for
loans losses was $8.8 million, or 1.20% of total loans receivable at June 30, 2009, compared to
$7.6 million, or 1.07% of total loans receivable at June 30, 2008.
At June 30, 2009, non-performing loans totaled $5.6 million, or 0.76%, of total loans as
compared to $8.2 million or 1.13% of total loans at June 30, 2008. The allowance for loan
losses as a percentage of non-performing loans increased to 158.30% at June 30, 2009 from 92.91% at
June 30,
51
Table of Contents
2008. To the best of our knowledge, we have provided for all losses that are both probable and
reasonable to estimate at June 30, 2009 and 2008.
Noninterest Income.
Noninterest income increased $105,000, or 1.3%, to $8.4 million for the
six months ended June 30, 2009 from $8.3 million for the six months ended June 30, 2008. The
increase was primarily attributable to $1.1 million in net gains on the sale of securities
available for sale, consisting of mortgage-backed securities, and an increase of $765,000 in net gains on the sale
of one- to four-family residential mortgage loans. These gains were offset in part by a decline in
service charges and other fees of $1.0 million due to a significant decrease in insufficient funds
and overdraft fees, and a decline in other income of $606,000 due primarily to a $416,000 one-time
payment from VISA in the 2008 period. The one-time payment was related to VISA's redemption of a
portion of its Class B shares outstanding in connection with its initial public offering that
occurred in March 2008.
Noninterest Expense.
Noninterest expense increased $1.5 million, or 7.6%, to $21.5 million
for the six months ended June 30, 2009 from $20.0 million for the six months ended June 30, 2008.
The increase was primarily attributable to an increase of $2.1 million in salaries and benefits
expense and a $461,000 increase in operations expense, partially offset by a $730,000 decrease in
professional and outside services expense. The increase in salaries and benefits was due primarily
to the $1.3 million reversal in 2008 of a salary continuation plan liability for our former Chief
Executive Officer which was recorded in 2006 and extinguished in 2008
.
The increase in operations
expense for the six months ended June 30, 2009 compared to the six months ended June 30, 2008 was
primarily attributable to a $738,000 increase in the FDIC insurance assessment due to a $478,000
special assessment and an increase in the general assessment rate, a $320,000 increase in
depreciation expense on computer hardware and software and a $290,000 increase in software and
equipment maintenance expense related to expenditures incurred to enhance our network security.
These increases were partially offset by higher expenses in the six months ended June 30, 2008 due
to $784,000 in costs related to the breach in our network security that occurred in early 2008.
Professional and outside services expense decreased for the six months ended June 30, 2009 compared
to the prior year period due primarily to $300,000 of previously capitalized initial public
offering expenses relating to our terminated initial public offering in late 2007 which were
charged to earnings during the six months ended June 30, 2008.
Income Tax Expense.
Income tax expense was $489,000 for the six months ended June 30, 2009
compared to $286,000 for the same period in 2008, reflecting the increase in income before income
tax expense during the six months ended June 30, 2009 as compared to the same period in 2007. Our
effective tax rate, including provisions for the Texas state margin tax was 51.6% for the six
months ended June 30, 2009 compared to 56.4% for the six months ended June 30, 2008.
Comparison of Operating Results for the Years Ended December 31, 2008 and 2007
General.
Net income was $644,000 for the year ended December 31, 2008 compared to a net loss
of $2.2 million for the year ended December 31, 2007. Net income in 2008 reflected a $4.8 million
increase in net interest income and a $1.4 million decrease in noninterest expense, which was
partially offset by a $1.9 million increase in income tax expense, a $1.3 million decrease in
noninterest income and a $175,000 increase in the provision for loan losses.
Interest Income.
Interest income increased $2.8 million, or 5.1%, to $57.7 million for the
year ended December 31, 2008 from $54.9 million for the year ended December 31, 2007. The increase
resulted from an increase in the average balance of interest-earning assets, which increased $59.7
million, or 6.4%, to $995.0 million for the year ended December 31, 2008 from $935.3 million for
the year ended December 31, 2007. During the year ended December 31, 2008, we increased the average
balance of our loans and securities. This increase was offset in part by a decline in the average
yield on interest-earning
52
Table of Contents
assets of seven basis points to 5.80% for the year ended December 31, 2008 from 5.87% for the year
ended December 31, 2007. The decline in our average yield on interest-earning assets during the
year ended December 31, 2008 as compared to the prior year was due primarily to the general decline
in short-term market interest rates.
Interest income on loans increased $1.1 million, or 2.5%, to $45.1 million for the year ended
December 31, 2008 from $44.0 million for the year ended December 31, 2007. The average balance of
loans increased $17.6 million, or 2.5%, to $732.0 million for the year ended December 31, 2008 from
$714.4 million for the year ended December 31, 2007. During this period, we continued to change the
composition of our loan portfolio to include a higher percentage of loans secured by real estate
and a lower percentage of consumer loans. The average yield on our loan portfolio remained constant
at 6.16% for the years ended December 31, 2008 and 2007.
Interest income on investment securities increased $1.7 million, or 15.5%, to $12.6 million
for the year ended December 31, 2008 from $10.9 million for the year ended December 31, 2007. The
increase resulted primarily from an increase in the average balance of our securities portfolio
which increased $50.8 million, or 26.4%, to $243.1 million for the year ended December 31, 2008
from $192.3 million for the year ended December 31, 2007 due to increased investment in higher
yielding mortgage-backed securities, trust preferred securities and tax advantaged municipal
obligations. The average yield on our securities portfolio (excluding nontaxable investment
securities) increased by 12 basis points, to 4.97% for the year ended December 31, 2008 from 4.85%
for the year ended December 31, 2007.
Interest Expense.
Interest expense decreased by $2.0 million or 6.7% to $27.7 million for the
year ended December 31, 2008 from $29.7 million for the year ended December 31, 2007. The decrease
resulted primarily from a decline in interest expense on deposits of $4.6 million, partially offset
by an increase in interest expense on borrowed funds of $2.6 million. The average rate we paid on
deposits decreased 60 basis points to 2.69% for the year ended December 31, 2008 from 3.29% for the
year ended December 31, 2007 as we were able to reprice our deposits lower as market rates
declined. The average balance of interest-bearing deposits decreased $19.4 million, or 2.8%, to
$672.0 million for the year ended December 31, 2008 from $691.4 million for the year ended December
31, 2007. The decline in the average balance of our deposits was primarily due to a decline in the
average balances of our money market and savings accounts as we changed the pricing strategy of our
core deposits.
Interest expense on certificates of deposit decreased $1.6 million, or 10.3%, to $14.0 million
for the year ended December 31, 2008 from $15.6 million for the year ended December 31, 2007. The
decrease reflected a decline in the average rate paid on certificates of deposit which decreased 73
basis points to 4.09% for the year ended December 31, 2008 from 4.82% for the year ended December
31, 2007, reflecting lower market rates. The average balance of certificates of deposits increased
$18.0 million, or 5.6%, to $342.3 million for the year ended December 31, 2008 from $324.3 million
for the year ended December 31, 2007, primarily as a result of increased participation in our CDARS
program.
The interest expense on our core deposits (consisting of interest-bearing and
non-interest-bearing demand accounts, money market accounts and savings accounts) decreased $3.0
million to $4.1 million for the year ended December 31, 2008 from $7.1 million for the prior year
as we changed the pricing strategy of our core deposits.
Interest expense on borrowed funds increased by $2.6 million or 37.1%, to $9.6 million for the
year ended December 31, 2008 from $7.0 million for the prior year as we increased our borrowings,
primarily Federal Home Loan Bank advances and securities sold under agreements to repurchase, to
purchase mortgage-backed securities in order to meet certain regulatory requirements of a federally
chartered savings bank.
53
Table of Contents
Net Interest Income.
Net interest income increased by $4.8 million, or 19.1%, to $30.0
million for the year ended December 31, 2008 from $25.2 million for the prior year. Our net
interest rate spread increased 36 basis points to 2.74% for the year ended December 31, 2008 from
2.38% for the year ended December 31, 2007, and our net interest margin increased 32 basis points
to 3.02% for the year ended December 31, 2008 from 2.70% for the year ended December 31, 2007. The
increase in our net interest rate spread and net interest margin reflected the steepening yield
curve as short-term interest rates used to price our deposits declined significantly during late
2007 and 2008 and steady growth in the average balance of our interest-earning assets, such as
loans and securities, which generally are priced based on medium and longer-term interest rates.
Provision for Loan Losses.
Based on our analysis of the factors described in "Critical
Accounting Policies — Allowance for Loan Losses," we recorded a provision for loan losses of $3.8
million for the year ended December 31, 2008 and a provision for loan losses of $3.7 million for
the year ended December 31, 2007. The primary reasons for the increase in the provision for loan
losses was an increase in our net loans of $8.7 million and an increase in non-performing loans. At
December 31, 2008, non-performing loans totaled $5.7 million or 0.79% of total loans as compared to
$3.0 million or 0.42% of total loans at December 31, 2007. The increase in non-performing loans was
primarily in the commercial real estate portfolio, a higher risk portfolio as compared to one- to
four-family residential real estate. The allowance for loans losses to total loans receivable
increased to 1.14% at December 31, 2008 as compared to 1.04% at December 31, 2007.
The allowance for loan losses as a percentage of non-performing loans decreased to 145.06% at
December 31, 2008 as compared to 248.52% at December 31, 2007. This percentage decrease was caused
by the deterioration of loans which were classified as substandard in 2007 and, therefore, had
already been adequately provided for. To the best of our knowledge, we have provided for all
losses that are both probable and reasonable to estimate at December 31, 2008 and 2007.
Noninterest Income.
Noninterest income decreased $1.3 million, or 7.4%, to $16.3 million for
the year ended December 31, 2008 from $17.6 million for the year ended December 31, 2007. The
decrease was primarily attributable to a decline in service charges and other fees of $2.7 million
due to a $923,000 decrease in insufficient funds fees, a $408,000 decrease in service charges on
savings accounts, a $389,000 decrease in ATM access and transaction fees, and a $256,000 decrease
in debit card interchange income. The decline in service charges and other fees was partially
offset by a $952,000 increase in net gains on the sale of one- to four-family residential mortgage
loans during the year ended December 31, 2008 as compared to the prior year. In addition, other
income increased $140,000 due to a $416,000 one-time payment from Visa in connection with its
initial public offering that occurred in March 2008, partially offset by a $282,000 decrease in
fees from leasing office space in our headquarters building.
Noninterest Expense.
Noninterest expense decreased $1.4 million, or 3.2%, to $41.1 million
for the year ended December 31, 2008 from $42.4 million for the year ended December 31, 2007. This
decrease was primarily attributable to a $1.7 million decrease in salaries and benefits expense and
a $491,000 decrease in marketing expense, partially offset by a $721,000 increase in professional
and outside services expense. The decline in salaries and benefits was primarily attributable to
the $1.3 million reversal in 2008 of a salary continuation plan liability for our former Chief
Executive Officer which was recorded in 2006 and extinguished in 2008. Marketing expense decreased
due to a new focus on marketing to internal customers, requiring less advertising through newspaper
and radio. Professional and outside services expense increased due primarily to $537,000 of
previously capitalized initial public offering expenses relating to our terminated initial public
offering in late 2007 which were charged to earnings during the year ended December 31, 2008.
54
Table of Contents
Income Tax Expense (Benefit).
Income tax expense was $742,000 for the year ended December 31,
2008 compared with an income tax benefit of ($1.1 million) for 2007, reflecting our income before
income tax expense during 2008 as compared to our net loss in 2007. Our effective tax rate was
53.5% for the year ended December 31, 2008 compared to 33.9% for the year ended December 31, 2007.
The increase in the effective tax rate was primarily due to the enactment of new income tax laws in
the State of Texas.
Comparison of Operating Results for the Years Ended December 31, 2007 and 2006
General.
Our net loss totaled $2.2 million for the year ended December 31, 2007, compared to
a net loss of $924,000 for the year ended December 31, 2006. The higher net loss reflected a $6.2
million decrease in our income tax benefit resulting from a lower pre-tax loss in 2007 and an
income tax benefit in 2006 relating to the change in our tax status.
Our loss before income tax benefit for the year ended December 31, 2007, was $3.3 million, a
decrease of $5.0 million, or 60.4%, from the loss before income tax benefit of $8.3 million for the
year ended December 31, 2006. The lower loss before income tax benefit in 2007 resulted primarily
from a $3.5 million decrease in noninterest expense and a $2.5 million decrease in the provision
for loan losses, which was partially offset by a $1.3 million decrease in net interest income.
Interest Income.
Interest income increased $2.9 million, or 5.6%, to $54.9 million for the
year ended December 31, 2007 from $52.0 million for the year ended December 31, 2006. The increase
resulted from a 42 basis point increase in the average yield on interest-earning assets to 5.87%
for the year ended December 31, 2007 from 5.45% for the year ended December 31, 2006, due to the
higher interest rate environment during most of 2007. This increase was offset in part by a $19.8
million, or 2.1%, decline in the average balance of interest-earning assets to $935.3 million for
the year ended December 31, 2007 from $955.0 million for the year ended December 31, 2006 as we
reduced our loan portfolio.
Interest income on loans increased $891,000, or 2.1%, to $44.0 million for the year ended
December 31, 2007 from $43.1 million for the year ended December 31, 2006. The increase in
interest income on loans was primarily due to a 50 basis point increase in the average yield on our
loan portfolio to 6.16% for the year ended December 31, 2007. As loans with lower rates matured,
the proceeds were reinvested in real estate loans and commercial loans with higher yields. The
average balance of loans decreased $47.5 million, or 6.2%, to $714.4 million for the year ended
December 31, 2007 from $761.9 million for the year ended December 31, 2006, reflecting our emphasis
on reducing the size of our automobile loan portfolio as we shifted our loan composition from that
more typical of a credit union to that of a savings bank.
Interest income on investment securities increased $2.1 million, or 29.2%, to $9.3 million for
the year ended December 31, 2007 from $7.2 million for the year ended December 31, 2006. The
increase resulted primarily from a $27.1 million, or 16.4%, increase in the average balance of our
securities portfolio to $192.3 million for the year ended December 31, 2007 from $165.2 million for
the year ended December 31, 2006, due to increased investment in higher yielding mortgage-backed
securities. The average yield on our securities portfolio increased by 47 basis points to 4.85%,
for the year ended December 31, 2007 from 4.38% for the year ended December 31, 2006.
Interest Expense.
Interest expense increased by $4.2 million, or 16.5%, to $29.7 million for
the year ended December 31, 2007 from $25.5 million for the year ended December 31, 2006. The
increase resulted primarily from an increase in interest expense on deposits of $6.3 million,
partially offset by a decrease in interest expense on borrowed funds of $2.1 million. The average
rate we paid on deposits
55
Table of Contents
increased 71 basis points to 3.29% for the year ended December 31, 2007 from 2.58% for the year
ended December 31, 2006 as we increased the rates on our deposits to be competitive in our market
area. The average balance of interest-bearing deposits increased $54.5 million, or 8.6%, to $691.4
million for the year ended December 31, 2007 from $636.9 million for the year ended December 31,
2006. The increase in the average balance of our deposits was primarily due to the growth in the
average balances of our money market and certificate of deposit accounts due to the interest rates
we offered on these products.
Interest expense on certificates of deposit increased $4.3 million, or 38.1%, to $15.6 million
for the year ended December 31, 2007 from $11.3 million for the year ended December 31, 2006. The
increase reflected a 73 basis points increase in the average rate paid on certificates of deposit
to 4.82% for the year ended December 31, 2007 from 4.09% for the year ended December 31, 2006, in
response to higher market rates offered by our competitors. The average balance of certificates of
deposits increased $48.1 million, or 17.4%, to $324.3 million for the year ended December 31, 2007
from $276.2 million for the year ended December 31, 2006, primarily as a result of the promotion of
our "Bump-a-Rate" certificate of deposit product and the pricing of our certificates of deposit.
Interest expense on money market accounts increased $2.5 million, or 227.3%, to $3.6 million
for the year ended December 31, 2007 from $1.1 million for the year ended December 31, 2006. The
increase reflected a 141 basis point increase in the average rate paid on money market accounts to
3.49% for the year ended December 31, 2007 from 2.08% for the year ended December 31, 2006, in
response to higher interest rates offered by our competitors. The average balance of money market
accounts increased $53.6 million, or 105.9%, to $104.2 million for the year ended December 31, 2007
from $50.6 million for the year ended December 31, 2006, primarily as a result of a promotional
campaign for our money market account products that began in the fourth quarter of 2006, the
results of which continued through most of 2007.
Interest expense on borrowed funds decreased by $2.1 million, or 23.1%, to $7.0 million for
the year ended December 31, 2007 from $9.1 million for the prior year as we reduced the average
balance of our borrowings, primarily our Federal Home Loan Bank advances which decreased by $84.7
million.
Net Interest Income.
Net interest income decreased by $1.3 million, or 4.9%, to $25.2 million
for the year ended December 31, 2007 from $26.5 million for the prior year. Our net interest rate
spread decreased 20 basis points to 2.38% for the year ended December 31, 2007 from 2.58% for the
year ended December 31, 2006, and our net interest margin decreased seven basis points to 2.70% for
the year ended December 31, 2007 from 2.77% for the year ended December 31, 2006. The decrease in
our net interest rate spread and net interest margin were consistent with the relatively
flat-to-inverted yield curve that existed in 2006 and through most of 2007.
Provision for Loan Losses.
Based on our analysis of the factors described in "Critical
Accounting Policies — Allowance for Loan Losses," we recorded a provision for loan losses of $3.7
million for the year ended December 31, 2007 and a provision for loan losses of $6.1 million for
the year ended December 31, 2006. In 2006, we increased the level of our allowance for loan losses
in response to a review of our commercial loan portfolio, resulting in a larger provision for loan
losses in the year ended December 31, 2006. The review of our commercial loan portfolio identified
special mention and substandard loans totaling $21.4 million and a $2.0 million allowance for loan
losses was established for these loans. The provision for loan losses also decreased from the year
ended December 31, 2006 to the year ended December 31, 2007 due to a decline in total loans of
$19.7 million and a decrease in net charge-offs. Net charge-offs decreased to $3.3 million for the
year ended December 31, 2007 from $3.9 million for the year ended December 31, 2006. The allowance
for loans losses was $7.4 million, or 1.04% of total loans receivable at December 31, 2007,
compared to $7.0 million, or 0.96% of total loans
56
Table of Contents
receivable at December 31, 2006. To the best of our knowledge, we have provided for all
losses that are both probable and reasonable to estimate at December 31, 2007 and 2006.
Noninterest Income.
Noninterest income increased $244,000, or 1.4%, to $17.6 million for the
year ended December 31, 2007 from $17.3 million for the year ended December 31, 2006. The increase
was primarily attributable to a $388,000 increase in net earnings from the lease of our
headquarters building and a $179,000 increase in net gains on the sale of loans, primarily longer
term (greater than 15 years) one- to four-family residential mortgage loans. This gain was offset
in part by a $189,000 decrease in commissions and a $151,000 decrease in service charges and other
fees.
Noninterest Expense.
Noninterest expense decreased $3.5 million, or 7.6%, to $42.4 million
for the year ended December 31, 2007 from $46.0 million for the year ended December 31, 2006. The
decrease was primarily attributable to a decline of $1.6 million in salaries and benefits to $21.0
million for the year ended December 31, 2007 from $22.6 million for the year ended December 31,
2006. The decline in salaries and benefits expense related primarily to expenses in 2006 of $1.3
million for a salary continuation plan for our former chief executive officer and $650,000 related
to the severance of executive vice president level employees. A reduction in force occurred in
September 2007 eliminating approximately 50 positions. Marketing expense decreased by $1.4 million
in 2007 due primarily to higher expenses in 2006 of $896,000 for new account promotions and
$455,000 for radio, television, newspaper and other publication advertisements to promote our
conversion from a credit union to a savings bank and our 50 years in business.
Income Tax Benefit.
We became subject to income taxes effective January 1, 2006. For the year
ended December 31, 2007, our income tax benefit was $1.1 million on a pre-tax loss of $3.3 million
compared with an income tax benefit of $2.8 million, net of the $4.5 million tax benefit due to our
change in tax status, on a pre-tax loss of $8.3 million for the year ended December 31, 2006.
57
Table of Contents
Average Balances and Yields
The following tables set forth average balance sheets, average yields and costs, and certain
other information at or for the periods indicated. All average balances are daily average
balances. Non-accrual loans were included in the computation of average balances, but have been
reflected in the table as loans carrying a zero yield. The yields set forth below include the
effect of deferred fees, discounts and premiums that are amortized or accreted to interest income
or expense.
At June 30,
For the Six Months Ended June 30,
2009
2009
2008
Average
Average
Outstanding
Yield/
Outstanding
Yield/
Yield/ Rate
Balance
Interest
Rate
(1)
Balance
Interest
Rate
(1)
(Dollars in thousands)
Interest-earning assets:
Loans
6.34
%
$
731,193
$
22,795
6.24
%
$
723,695
$
22,140
6.12
%
Taxable investment securities available for
sale
4.78
198,726
4,699
4.73
(5)
261,048
6,356
4.87
Nontaxable investment securities available
for sale
1.69
5,264
76
2.89
—
—
—
Cash and cash equivalents
0.08
40,074
18
0.09
8,170
163
3.99
Other
1.44
7,542
63
1.67
10,141
161
3.18
Total interest-earning assets
5.72
982,799
27,651
5.63
1,003,054
28,820
5.75
Noninterest-earning assets
76,268
79,406
Total assets
$
1,059,067
$
1,082,460
Interest-bearing liabilities:
Interest-bearing demand
0.40
%
$
64,371
140
0.43
%
$
62,537
$
191
0.61
%
Savings accounts
0.71
194,465
753
0.77
189,336
1,130
1.19
Money market accounts
1.11
83,382
517
1.24
79,397
878
2.21
Certificates of deposit
3.04
344,334
5,685
3.30
346,161
7,607
4.40
Total interest-bearing deposits
1.87
686,552
7,095
2.07
677,431
9,806
2.90
Federal Home Loan Bank
advances
3.97
143,768
3,002
4.18
165,011
3,555
4.31
Other secured borrowings
3.52
58,000
1,066
3.68
69,051
1,360
3.94
Total interest-bearing liabilities
2.27
888,320
11,163
2.51
911,493
14,721
3.23
Noninterest-bearing liabilities
(6)
80,353
79,836
Total liabilities
968,673
991,329
Equity
90,394
91,131
Total liabilities and equity
$
1,059,067
$
1,082,460
Net interest income
$
16,488
$
14,099
Net interest rate spread
(2)
3.45
%
3.12
%
2.52
%
Net interest-earning assets
(3)
$
94,479
$
91,561
Net interest margin
(4)
3.68
%
3.36
%
2.81
%
Average interest-earning assets to
interest-bearing liabilities
111.29
%
110.64
%
110.05
%
(footnotes on following page)
58
Table of Contents
For the Years Ended December 31,
2008
2007
2006
Average
Average
Average
Outstanding
Yield/
Outstanding
Yield/
Outstanding
Yield/
Balance
Interest
Rate
Balance
Interest
Rate
Balance
Interest
Rate
(Dollars in thousands)
Interest-earning assets:
Loans
$
731,999
$
45,111
6.16
%
$
714,412
$
44,016
6.16
%
$
761,870
$
43,125
5.66
%
Taxable investment securities available for
sale
242,551
12,061
4.97
192,263
9,324
4.85
165,200
7,242
4.38
Nontaxable investment securities available
for sale
520
23
4.42
(5)
—
—
—
—
—
—
Cash and cash equivalents
9,359
199
2.13
20,458
1,105
5.40
15,322
1,010
6.59
Other
10,525
302
2.87
8,117
470
5.79
12,611
633
5.02
Total interest-earning assets
994,954
57,696
5.80
935,250
54,915
5.87
955,003
52,010
5.45
Noninterest-earning assets
79,384
81,918
94,853
Total assets
$
1,074,338
$
1,017,168
$
1,049,856
Interest-bearing liabilities:
Interest-bearing demand
$
62,176
$
367
0.59
%
$
62,211
$
457
0.73
%
$
78,149
$
542
0.69
%
Savings accounts
189,523
2,119
1.12
200,721
3,011
1.50
231,938
3,550
1.53
Money market accounts
77,971
1,608
2.06
104,200
3,640
3.49
50,586
1,053
2.08
Certificates of deposit
342,315
14,011
4.09
324,292
15,616
4.82
276,224
11,299
4.09
Total interest-bearing deposits
671,985
18,105
2.69
691,424
22,724
3.29
636,897
16,444
2.58
Federal Home Loan Bank
advances
169,026
7,123
4.21
108,848
4,513
4.15
193,592
6,583
3.40
Other secured borrowings
64,497
2,449
3.80
49,349
2,451
4.97
59,261
2,494
4.21
Total interest-bearing liabilities
905,508
27,677
3.06
849,621
29,688
3.49
889,750
25,521
2.87
Noninterest-bearing liabilities
(6)
79,449
79,302
67,274
Total liabilities
984,957
928,923
957,024
Equity
89,381
88,245
92,832
Total liabilities and equity
$
1,074,338
$
1,017,168
$
1,049,856
Net interest income
$
30,019
$
25,227
$
26,489
Net interest rate spread
(2)
2.74
%
2.38
%
2.58
%
Net interest-earning assets
(3)
$
89,446
$
85,629
$
65,253
Net interest margin
(4)
3.02
%
2.70
%
2.77
%
Average interest-earning assets to
interest-bearing liabilities
109.88
%
110.08
%
107.33
%
(1)
Yields and rates for the six months ended June 30, 2009 and 2008 are annualized.
(2)
Net interest rate spread represents the difference between the yield on average
interest-earning assets and the cost of average interest-bearing liabilities.
(3)
Net interest-earning assets represents total interest-earning assets less total
interest-bearing liabilities.
(4)
Net interest margin represents net interest income divided by average total interest-earning
assets.
(5)
The tax equivalent yield of nontaxable investment securities was 2.62%, and 6.70% for the six
months ended June 30, 2009 and for the year ended December 31, 2008, respectively, assuming a
marginal tax rate of 34%. OmniAmerican Bank did not have investments in nontaxable securities
during the six months ended June 30, 2008 or the years ended December 31, 2007 and 2006.
(6)
Includes noninterest-bearing deposits.
59
Table of Contents
Rate/Volume Analysis
The following table presents the effects of changing rates and volumes on our net interest
income for the fiscal years indicated. The rate column shows the effects attributable to changes
in rate (changes in rate multiplied by prior volume). The volume column shows the effects
attributable to changes in volume (changes in volume multiplied by prior rate). The net column
represents the sum of the prior columns. For purposes of this table, changes attributable to both
rate and volume, which cannot be segregated, have been allocated proportionately, based on the
changes due to rate and the changes due to volume.
Six Months Ended June 30,
Years Ended December 31,
Years Ended December 31,
2009 vs. 2008
2008 vs. 2007
2007 vs. 2006
Increase (Decrease)
Total
Increase (Decrease)
Total
Increase (Decrease)
Total
Due to
Increase
Due to
Increase
Due to
Increase
Volume
Rate
(Decrease)
Volume
Rate
(Decrease)
Volume
Rate
(Decrease)
(In thousands)
Interest-earning assets:
Loans
$
229
$
426
$
655
$
1,084
$
11
$
1,095
$
(2,686
)
$
3,577
$
891
Taxable investment securities
available for sale
(1,517
)
(140
)
(1,657
)
2,439
298
2,737
1,186
896
2,082
Nontaxable investment securities
available for sale
—
76
76
—
23
23
—
—
—
Cash and cash equivalents
637
(782
)
(145
)
(599
)
(307
)
(906
)
339
(244
)
95
Other
(41
)
(57
)
(98
)
140
(308
)
(168
)
(226
)
63
(163
)
Total interest-earning assets
$
(692
)
$
(477
)
$
(1,169
)
$
3,064
$
(283
)
$
2,781
$
(1,387
)
$
4,292
$
2,905
Interest-bearing liabilities:
Interest-bearing demand
$
6
$
(57
)
$
(51
)
$
—
$
(90
)
$
(90
)
$
(111
)
$
26
$
(85
)
Savings accounts
31
(408
)
(377
)
(168
)
(724
)
(892
)
(478
)
(61
)
(539
)
Money market accounts
44
(405
)
(361
)
(916
)
(1,116
)
(2,032
)
1,116
1,471
2,587
Certificates of deposit
(40
)
(1,882
)
(1,922
)
868
(2,473
)
(1,605
)
1,966
2,351
4,317
Total interest-bearing deposits
41
(2,752
)
(2,711
)
(216
)
(4,403
)
(4,619
)
2,493
3,787
6,280
Federal Home Loan Bank advances
(458
)
(95
)
(553
)
2,495
115
2,610
(2,882
)
812
(2,070
)
Other secured borrowings
(218
)
(76
)
(294
)
752
(754
)
(2
)
(417
)
374
(43
)
Total interest-bearing liabilities
$
(635
)
$
(2,923
)
$
(3,558
)
$
3,031
$
(5,042
)
$
(2,011
)
$
(806
)
$
4,973
$
4,167
Change in net interest income
$
(57
)
$
2,446
$
2,389
$
33
$
4,759
$
4,792
$
(581
)
$
(681
)
$
(1,262
)
Management of Market Risk
General
. Because the majority of our assets and liabilities are sensitive to changes in
interest rates, our most significant form of market risk is interest rate risk. We are vulnerable
to an increase in interest rates to the extent that our interest-bearing liabilities mature or
reprice more quickly than our interest-earning assets. As a result, a principal part of our
business strategy is to manage interest rate risk and limit the exposure of our net interest income
to changes in market interest rates. Accordingly, our board of directors has established an
Asset/Liability Management Committee, which is responsible for evaluating the interest rate risk
inherent in our assets and liabilities, for determining the level of risk that is appropriate,
given our business strategy, operating environment, capital, liquidity and performance objectives,
and for managing this risk consistent with the guidelines approved by the board of directors.
Our interest rate sensitivity is monitored through the use of a net interest income simulation
model, which generates estimates of the change in our net interest income over a range of interest
rate scenarios. The modeling assumes loan prepayment rates, reinvestment rates and deposit decay
rates based on historical experience and current economic conditions.
60
Table of Contents
We have sought to manage our interest rate risk in order to control the exposure of our
earnings and capital to changes in interest rates. As part of our ongoing asset-liability
management, we currently use the following strategies to manage our interest rate risk:
(i)
sell the long-term, fixed-rate one- to four-family residential mortgage loans
(terms greater than 15 years) that we originate into the secondary mortgage market;
(ii)
lengthen the weighted average maturity of our liabilities through retail
deposit pricing strategies and through longer-term wholesale funding sources such as
fixed-rate advances from the Federal Home Loan Bank of Dallas;
(iii)
invest in shorter- to medium-term securities;
(iv)
originate commercial business and consumer loans, which tend to have shorter
terms and higher interest rates than residential mortgage loans, and which generate
customer relationships that can result in higher noninterest-bearing demand deposit
accounts; and
(v)
maintain adequate levels of capital.
We have not engaged in hedging through the use of derivatives.
Net Portfolio Value
.
The Office of Thrift Supervision requires the computation of amounts by
which the net present value of an institution's cash flow from assets, liabilities and off-balance
sheet items (the institution's net portfolio value or "NPV") would change in the event of a range
of assumed changes in market interest rates. The Office of Thrift Supervision provides all
institutions that file a Consolidated Maturity/Rate Schedule as a part of their quarterly Thrift
Financial Report with an interest rate sensitivity report of net portfolio value. The Office of
Thrift Supervision simulation model uses a discounted cash flow analysis and an option-based
pricing approach to measuring the interest rate sensitivity of net portfolio value. Historically,
the Office of Thrift Supervision model estimated the economic value of each type of asset,
liability and off-balance sheet contract under the assumption that the United States Treasury yield
curve increases or decreases instantaneously by 100 to 300 basis points in 100 basis point
increments. However, given the current relatively low level of market interest rates, an NPV
calculation for an interest rate decrease of greater than 100 basis points has not been prepared.
A basis point equals one-hundredth of one percent, and 100 basis points equals one percent. An
increase in interest rates from 3% to 4% would mean, for example, a 100 basis point increase in the
"Change in Interest Rates" column below. The Office of Thrift Supervision provides us the results
of the interest rate sensitivity model, which is based on information we provide to the Office of
Thrift Supervision to estimate the sensitivity of our net portfolio value.
61
Table of Contents
The table below sets forth, as of June 30, 2009, the Office of Thrift Supervision's
calculation of the estimated changes in our net portfolio value that would result from the
designated instantaneous changes in the United States Treasury yield curve. In addition to NPV
calculations, we analyze our sensitivity to changes in interest rates through our internal net
interest income model which is also summarized in the table below at June 30, 2009.
At June 30, 2009
NPV as a Percentage of Present
Value of Assets (3)
Net Interest Income
Change in
Estimated Increase
Increase
Increase (Decrease) in Estimated
Interest Rates
Estimated NPV
(Decrease) in NPV
(Decrease)
Estimated Net
Net Interest Income
(basis points) (1)
(2)
Amount
Percent
NPV Ratio (4)
(basis points)
Interest Income
Amount
Percent
(Dollars in thousands)
+300
$
93,002
$
(17,120
)
(15.55
%)
8.98
%
(130
)
35,485
(3,624
)
(9.27
%)
+200
100,875
(9,247
)
(8.40
%)
9.61
%
(67
)
36,908
(2,201
)
(5.63
%)
+100
106,977
(3,145
)
(2.86
%)
10.08
%
(20
)
38,113
(996
)
(2.55
%)
0
110,122
—
—
10.28
%
—
39,109
—
—
-100
109,673
(449
)
(0.41
%)
10.19
%
(9
)
40,049
940
2.40
%
(1)
Assumes an instantaneous uniform change in interest rates at all maturities.
(2)
NPV is the discounted present value of expected cash flows from assets, liabilities and
off-balance sheet contracts.
(3)
Present value of assets represents the discounted present value of incoming cash flows on
interest-earning assets.
(4)
NPV Ratio represents NPV divided by the present value of assets.
Net Portfolio Value
.
Computations of prospective effects of hypothetical interest rate changes
are based on numerous assumptions, including relative levels of market interest rates, loan
prepayments and deposit decay, and should not be relied upon as indicative of actual results. The
table above indicates that at June 30, 2009, under the OTS model, in the event of a 200 basis point
increase in interest rates, we would experience a 8.4% decrease in net portfolio value. In the
event of a 100 basis point decrease in interest rates, we would experience a 0.4% decrease in net
portfolio value.
62
Table of Contents
Net Interest Income.
Net interest income is the difference between the interest income we
earn on our interest-earning assets, such as loans and securities, and the interest we pay on our
interest-bearing liabilities, such as deposits and borrowings. In our model, we estimate what our
net interest income would be for a rolling forward twelve-month period using historical data for
assumptions such as loan prepayment rates and deposit decay rates, the current term structure for
interest rates, and current deposit and loan offering rates. We then calculate what the net
interest income would be for the same period in the event of an instantaneous 200 basis point
increase or a 100 basis point decrease in market interest rates. As of June 30, 2009, using our
internal interest rate risk model, we estimated that our net interest income for the twelve months
ending June 30, 2009 would decrease by 5.6% in the event of an instantaneous 200 basis point
increase in market interest rates, and would increase by 2.4% in the event of an instantaneous 100
basis point decrease in market interest rates.
Certain shortcomings are inherent in the methodologies used in determining interest rate risk
through changes in net portfolio value and net interest income. Modeling changes require making
certain assumptions that may or may not reflect the manner in which actual yields and costs respond
to changes in market interest rates. In this regard, the net portfolio value and net interest
income information presented assume that the composition of our interest-sensitive assets and
liabilities existing at the beginning of a period remains constant over the period being measured
and assume that a particular change in interest rates is reflected uniformly across the yield curve
regardless of the duration or repricing of specific assets and liabilities. Accordingly, although
interest rate risk calculations provide an indication of our interest rate risk exposure at a
particular point in time, such measurements are not intended to and do not provide a precise
forecast of the effect of changes in market interest rates on our net interest income and will
differ from actual results.
Liquidity and Capital Resources
Liquidity is the ability to meet current and future financial obligations of a short-term
nature. Our primary sources of funds consist of deposit inflows, loan repayments, advances from
the Federal Home Loan Bank of Dallas, and maturities and sales of securities. While maturities and
scheduled amortization of loans and securities are predictable sources of funds, deposit flows and
mortgage prepayments are greatly influenced by general interest rates, economic conditions and
competition. Our Asset/Liability Management Committee is responsible for establishing and
monitoring our liquidity targets and strategies in order to ensure that sufficient liquidity exists
for meeting the borrowing needs and deposit withdrawals of our customers as well as unanticipated
contingencies. We seek to maintain a liquidity ratio of 10.0% or greater. For the six months
ended June 30, 2009 and the year ended December 31, 2008, our liquidity ratio averaged 40.2% and
38.8%, respectively. We believe that we have enough sources of liquidity to satisfy our short- and
long-term liquidity needs as of June 30, 2009. We anticipate that we will maintain higher
liquidity levels following the completion of the stock offering.
We regularly monitor and adjust our investments in liquid assets based upon our assessment of:
(i)
expected loan demand;
(ii)
expected deposit flows;
(iii)
yields available on interest-earning deposits and securities; and
(iv)
the objectives of our asset/liability management program.
Excess liquid assets are invested generally in interest-earning deposits and short- and
intermediate-term securities.
63
Table of Contents
Our most liquid assets are cash and cash equivalents. The levels of these assets are affected
by our operating, financing, lending and investing activities during any given period. At June 30,
2009, cash and cash equivalents totaled $53.2 million. Securities classified as
available-for-sale, which provide additional sources of liquidity, totaled $184.0 million at June
30, 2009. On that date, we had $117.9 million in Federal Home Loan Bank advances outstanding, with
the ability to borrow an additional $204.9 million.
Our cash flows are derived from operating activities, investing activities and financing
activities as reported in our Statements of Cash Flows included in our Financial Statements.
At June 30, 2009, we had $30.0 million in loan commitments outstanding. In addition to
commitments to originate loans, we had $26.7 million in unused lines of credit to borrowers.
Certificates of deposit due within one year of June 30, 2009 totaled $284.2 million, or 37.4% of
total deposits. If these deposits do not remain with us, we will be required to seek other sources
of funds, including loan sales and Federal Home Loan Bank advances. Depending on market conditions,
we may be required to pay higher rates on such deposits or other borrowings than we currently pay
on the certificates of deposit due on or before June 30, 2010. We believe, however, based on past
experience, that a significant portion of such deposits will remain with us. We have the ability to
attract and retain deposits by adjusting the interest rates offered.
Our primary investing activity is originating loans. During the six months ended June 30, 2009
and the year ended December 31, 2008, we originated $173.9 million and $288.9 million of loans,
respectively, and during the year ended December 31, 2007, we originated $265.5 million of loans.
We purchased $18.1 million and $73.6 million of securities during the six months ended June 30,
2009 and the year ended December 31, 2008, respectively, and we purchased $123.5 million of
securities during the year ended December 31, 2007.
Financing activities consist primarily of activity in deposit accounts and Federal Home Loan
Bank advances. We experienced a net increase in total deposits of $20.0 million for the six months
ended June 30, 2009, a net increase in total deposits of $10.0 million for the year ended December
31, 2008 and a net decrease in total deposits of $64.3 million for the year ended December 31,
2007. Deposit flows are affected by the overall level of interest rates, the interest rates and
products offered by us and our local competitors, and by other factors.
Liquidity management is both a daily and long-term function of business management. If we
require funds beyond our ability to generate them internally, borrowing agreements exist with the
Federal Home Loan Bank of Dallas, which provide an additional source of funds. Federal Home Loan
Bank advances decreased by $52.0 million for the six months ended June 30, 2009, compared to an
increase of $13.0 million for the year ended December 31, 2008, compared to an increase of $28.0
million for the year ended December 31, 2007. Federal Home Loan Bank advances have primarily been
used to fund loan demand and to purchase investment securities. At June 30, 2009, we had the
ability to borrow up to $322.8 million from the Federal Home Loan Bank of Dallas. In addition, we
maintained $31.5 million in federal funds lines with other financial institutions at June 30, 2009.
OmniAmerican Bank is subject to various regulatory capital requirements, including a
risk-based capital measure. The risk-based capital guidelines include both a definition of capital
and a framework for calculating risk-weighted assets by assigning balance sheet assets and
off-balance sheet items to broad risk categories. At June 30, 2009, OmniAmerican Bank exceeded all
regulatory capital requirements. OmniAmerican Bank is considered "well capitalized" under
regulatory guidelines. See "Supervision and Regulation—Federal Banking Regulation—Capital
Requirements" and Note 11 — Regulatory Matters of the notes to the financial statements included
in this prospectus.
64
Table of Contents
The net proceeds from the stock offering will significantly increase our liquidity and capital
resources. Over time, the initial level of liquidity will be reduced as net proceeds from the stock
offering are used for general corporate purposes, including the funding of new loans. Our financial
condition and results of operations will be enhanced by the net proceeds from the stock offering,
resulting in increased net interest-earning assets and net interest income. However, due to the
increase in equity resulting from the net proceeds raised in the stock offering, our return on
equity will be adversely affected following the stock offering.
Off-Balance Sheet Arrangements and Aggregate Contractual Obligations
Commitments.
As a financial services provider, we routinely are a party to various financial
instruments with off-balance-sheet risks, such as commitments to extend credit and unused lines of
credit. While these contractual obligations represent our future cash requirements, a significant
portion of commitments to extend credit may expire without being drawn upon. Such commitments are
subject to the same credit policies and approval process accorded to loans we make. For additional
information, see Note 15 — Financial Instruments with Off-Balance Sheet Risk of the notes to
financial statements included in this prospectus.
Contractual Obligations.
In the ordinary course of our operations, we enter into certain
contractual obligations. Such obligations include operating leases for premises and equipment,
agreements with respect to borrowed funds and deposit liabilities.
The following table summarizes our significant fixed and determinable contractual obligations
and other funding needs by payment date at December 31, 2008. The payment amounts represent those
amounts due to the recipient and do not include any unamortized premiums or discounts or other
similar carrying amount adjustments.
Payments Due by Period
More than one year
More than three
One year or less
to three years
years to five years
More than five years
Total
(In thousands)
Contractual obligations:
Long-term debt (1)
$
104,164
$
44,400
$
73,000
$
7,000
$
228,564
Operating leases
460
661
474
303
1,898
Certificates of deposit
288,324
25,373
28,718
—
342,415
Total contractual obligations
$
392,948
$
70,434
$
102,192
$
7,303
$
572,877
Off-balance sheet loan commitments:
Undisbursed portion of loans closed
$
3,396
$
—
$
—
$
—
$
3,396
Unused lines of credit (2)
—
—
—
—
32,783
Total loan commitments
$
3,396
$
—
$
—
$
—
$
36,179
Total contractual obligations and
loan commitments
$
396,344
$
70,434
$
102,192
$
7,303
$
609,056
(1)
Includes Federal Home Loan Bank advances, securities sold under agreements to repurchase, and
loan participation agreements not accounted for as sales.
(2)
Since lines of credit may expire without being drawn upon, the total commitment amount does
not necessarily represent future cash requirements.
Recent Accounting Pronouncements
In December 2007, the Financial Accounting Standards Board ("FASB") issued Statement of
Financial Standards ("SFAS") No. 160, "Noncontrolling Interests in Consolidated Financial
Statements—an amendment of ARB No. 51" ("SFAS 160"). SFAS 160 establishes new accounting and
reporting standards for the noncontrolling interest in a subsidiary. Key changes under the
standard are that
65
Table of Contents
noncontrolling interests in a subsidiary will be reported as part of equity, losses allocated
to a noncontrolling interest can result in a deficit balance, and changes in ownership interests
that do not result in a change of control are accounted for as equity transactions and, upon a loss
of control, gain or loss is recognized and the remaining interest is remeasured at fair value on
the date control is lost. SFAS 160 is effective for fiscal years, and interim periods within those
fiscal years, beginning on or after December 15, 2008. We adopted SFAS 160 on January 1, 2009.
Adoption did not have a material effect on our financial statements.
In March 2008, the FASB issued SFAS No. 161, "Disclosures about Derivative Instruments and
Hedging Activities — an amendment of FASB Statement 133" ("SFAS 161"). SFAS 161 requires entities
to provide enhanced disclosures for derivative activities and hedging activities with regards to
the reasons for employing derivative instruments, how they are accounted for, and how these
instruments affect an entity's financial position, financial performance, and cash flows. SFAS 161
is effective for fiscal years and interim periods beginning after November 15, 2008. We adopted
SFAS No. 161 on January 1, 2009. Adoption did not have a material effect on our financial
statements.
In December 2008, the FASB issued FASB Staff Position ("FSP") No. FAS 132(R)-1, "Employers'
Disclosures about Postretirement Benefit Plan Assets" ("FSP FAS 132(R)-1"). FSP FAS 132(R)-1
amends SFAS 132(R), "Employers' Disclosures about Pensions and Other Postretirement Benefits," to
provide guidance on an employer's disclosures about plan assets of a defined benefit pension or
other postretirement plan. FSP FAS 132(R)-1 also includes a technical amendment to SFAS 132(R)
that requires a nonpublic entity to disclose net periodic benefit cost for each annual period for
which a statement of income is presented. FSP FAS 132(R)-1 is effective for fiscal years ending
after December 15, 2009. Upon initial application, the provisions of FSP FAS 132(R)-1 are not
required for earlier periods that are presented for comparative purposes. Early adoption is
permitted. The technical amendment to SFAS 132(R) was effective upon issuance of FSP FAS 132(R)-1.
We do not expect the adoption of FSP FAS 132(R)-1 to have a material impact on our financial
statements.
In April 2009, the FASB issued FSP No. 141(R)-1, "Accounting for Assets Acquired and
Liabilities Assumed in a Business Combination That Arise from Contingencies" ("FSP FAS 141(R)-1").
FSP FAS 141(R)-1 amends and clarifies SFAS 141(R) to address application issues raised by
preparers, auditors and members of the legal profession on initial recognition and measurement,
subsequent measurement and accounting, and disclosure of assets and liabilities arising from
contingencies in a business combination. FSP FAS 141(R)-1 is effective for assets or liabilities
arising from contingencies in business combinations for which the acquisition date is on or after
the beginning of the first annual reporting period beginning after December 15, 2008. Adoption of
FSP FAS 141(R)-1 is not expected to have a material effect on our financial statements.
In April 2009, the FASB issued FSP No. FAS 115-2 and FAS 124-2, "Recognition and Presentation
of Other-Than-Temporary Impairments" ("FSP FAS 115-2 and 124-2"). FSP FAS 115-2 and 124-2 amends
the other-than-temporary impairment guidance in U.S. generally accepted accounting principles
("GAAP") for debt securities. Consistent with current requirements for recording
other-than-temporary impairments, FSP FAS 115-2 and 124-2 states that the amount of impairment loss
recorded in earnings for a debt security will be the entire difference between the security's cost
and its fair value if the company intends to sell the debt security prior to recovery or it is
more-likely-than not that the company will have to sell the debt security prior to recovery. If,
however, the company does not intend to sell the debt security and it concludes that it is
more-likely-than-not that it will not have to sell the debt security prior to recovery, FSP FAS
115-2 and 124-2 requires a company to recognize the credit loss component of an
other-than-temporary impairment of a debt security in earnings and the remaining portion of the
impairment loss in other comprehensive income. The credit loss component of an
other-than-temporary impairment must be determined based on a company's best estimate of cash flows
expected to be
66
Table of Contents
collected. FSP FAS 115-2 and 124-2 became effective for interim and annual periods ending
after June 15, 2009. We adopted FSP FAS 115-2 and 124-2 for the period ended June 30, 2009.
Adoption did not have a material effect on our financial statements.
In April 2009, the FASB issued FSP No. FAS 157-4, "Determining Fair Value When the Volume and
Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying
Transactions That Are Not Orderly" ("FSP FAS 157-4"). FSP FAS 157-4 provides additional guidance
for estimating fair value in accordance with SFAS 157 when the volume and level of activity for an
asset or liability have significantly decreased. It also provides guidance on identifying
circumstances that indicate a transaction is not orderly. Determination of whether a transaction
is orderly or not orderly in instances when there has been a significant decrease in the volume and
level of activity for an asset or liability depends on an evaluation of facts and circumstances and
requires the use of significant judgment. FSP FAS 157-4 requires a company to disclose the inputs
and valuation techniques used to measure fair value and to discuss changes in such inputs and
valuation techniques, if any, that occurred during the reporting period. FSP FAS 157-4 became
effective for interim and annual periods ending after June 15, 2009. We adopted FSP FAS 157-4 for
the period ended June 30, 2009. Adoption did not have a material effect on our financial
statements.
In April 2009, the FASB issued FSP No. FAS 107-1 and APB 28-1, "Interim Disclosures about Fair
Value of Financial Instruments" ("FSP FAS 107-1 and APB 28-1"). FSP FAS 107-1 and APB 28-1 amends
FASB Statement No. 107, "Disclosures about Fair Value of Financial Instruments," to require interim
reporting period disclosure about the fair value of financial instruments, including assets,
liabilities and off-balance sheet items for which it is practicable to estimate fair value. The
fair value estimates are made based upon relevant market information, if available, and upon the
characteristics of the financial instruments themselves. We adopted FSP FAS 107-1 and APB 28-1 for
the period ended June 30, 2009. See Note 14 — Fair Value Measurements of the notes to financial
statements included in this prospectus for the disclosures required by FSP FAS 107-1 and APB 28-1.
In May 2009, the FASB issued SFAS No. 165, "Subsequent Events" ("SFAS 165"). The objective of
SFAS 165 is to establish principles and requirements for subsequent events and, in particular, the
period after the balance sheet date during which management of a reporting entity shall evaluate
events or transactions that may occur for potential recognition or disclosure in the financial
statements; the circumstances under which an entity shall recognize events or transactions
occurring after the balance sheet date in its financial statements and the disclosures that an
entity shall make about events or transactions that occurred after the balance sheet date. SFAS
165 is effective for interim and annual reporting periods ending after June 15, 2009. We adopted
SFAS 165 for the period ended June 30, 2009. Adoption did not have a material effect on our
financial statements.
In June 2009, the FASB issued SFAS No. 166, "Accounting for Transfers of Financial Assets —
an amendment of FASB Statement No. 140" ("SFAS 166") to improve the reporting for the transfer of
financial assets resulting from (1) practices that have developed since the issuance of FASB
Statement No. 140, "Accounting for Transfers and Servicing of Financial Assets and Extinguishments
of Liabilities," that are not consistent with the original intent and key requirements of that
Statement and (2) concerns of financial statement users that many of the financial assets (and
related obligations) that have been derecognized should continue to be reported in the financial
statements of transferors. SFAS 166 is effective for interim and annual reporting periods
beginning after November 15, 2009. The adoption of SFAS 166 is not expected to have a material
effect on our results of operations or financial position.
In June 2009, the FASB issued SFAS No. 167, "Amendments to FASB Interpretation No. 46(R)"
("SFAS 167") to amend certain requirements of FASB Interpretation No. 46 (revised December 2003),
67
Table of Contents
"Consolidation of Variable Interest Entities" to improve financial reporting by enterprises
involved with variable interest entities and to provide more relevant and reliable information to
users of financial statements. SFAS 167 is effective for interim and annual reporting periods
beginning after November 15, 2009. The adoption of SFAS 167 is not expected to have a material
effect on our results of operations or financial position.
In June 2009, the FASB issued SFAS No. 168, "The FASB Accounting Standards Codification™ and
the Hierarchy of Generally Accepted Accounting Principles—a replacement of FASB Statement No. 162"
("SFAS 168"). SFAS 168 identifies the sources of authoritative accounting principles and the
framework for selecting the principles used in the preparation of financial statements that are
presented in conformity with U.S. GAAP by nongovernmental entities. SFAS 168 is effective for
financial statements issued for interim and annual periods ending after September 15, 2009. The
adoption of SFAS 168 is not expected to have a material effect on our results of operations or
financial position.
Impact of Inflation and Changing Prices
Our consolidated financial statements and related notes have been prepared in accordance with
U.S. GAAP. U.S. GAAP generally requires the measurement of financial position and operating
results in terms of historical dollars without consideration of changes in the relative purchasing
power of money over time due to inflation. The impact of inflation is reflected in the increased
cost of our operations. Unlike industrial companies, our assets and liabilities are primarily
monetary in nature. As a result, changes in market interest rates have a greater impact on
performance than the effects of inflation.
BUSINESS OF OMNIAMERICAN BANCORP, INC.
OmniAmerican Bancorp, Inc. is incorporated in the State of Maryland. We have not engaged in
any business to date. Upon completion of the conversion, we will own all of the issued and
outstanding stock of OmniAmerican Bank. We will retain up to 50% of the net proceeds from the
offering and initially invest the remaining net proceeds in OmniAmerican Bank as additional capital
of OmniAmerican Bank. OmniAmerican Bancorp, Inc. will use a portion of the net proceeds to make a
loan to the employee stock ownership plan. At a later date, we may use the net proceeds to pay
dividends to stockholders and may repurchase shares of common stock, subject to regulatory
limitations. We will invest our initial capital as discussed in "How We Intend to Use the Proceeds
from the Offering."
In the future, OmniAmerican Bancorp, Inc., as the holding company of OmniAmerican Bank, will
be authorized to pursue other business activities permitted by applicable laws and regulations,
which may include the acquisition of banking and financial services companies. See "Supervision
and Regulation—Holding Company Regulation" for a discussion of the activities that are permitted
for savings and loan holding companies. We currently have no understandings or agreements to
acquire other financial institutions. We may also borrow funds for reinvestment in OmniAmerican
Bank.
Following the offering, our cash flow will depend on earnings from the investment of the net
proceeds from the offering that we retain, and any dividends we receive from OmniAmerican Bank.
Initially, OmniAmerican Bancorp, Inc. will neither own nor lease any property, but will instead pay
a fee to OmniAmerican Bank for the use of its premises, equipment and furniture. At the present
time, we intend to employ only persons who are officers of OmniAmerican Bank to serve as officers
of OmniAmerican Bancorp, Inc. We will, however, use the support staff of OmniAmerican Bank from
time to time. We will pay a fee to OmniAmerican Bank for the time devoted to OmniAmerican Bancorp,
Inc. by employees of OmniAmerican Bank. However, these persons will not be separately compensated
by OmniAmerican Bancorp, Inc. OmniAmerican Bancorp, Inc. may hire additional employees, as
appropriate, to the extent it expands its business in the future.
68
Table of Contents
BUSINESS OF OMNIAMERICAN BANK
General
We are a federally chartered savings bank headquartered in Fort Worth, Texas. OmniAmerican
Bank was originally chartered in 1956 as a federal credit union serving the active and retired
military personnel of Carswell Air Force Base. We completed the conversion from a Texas credit
union charter to a federal mutual savings bank charter as of January 1, 2006. The objective of the
charter conversion was to convert to a banking charter that was more appropriate to carry out our
business strategy of broadening our banking services into residential and commercial lending and by
enabling the sale of loans and servicing of loans for others, which has allowed us to better serve
the needs of our customers and the local community. At June 30, 2009, we had assets of $1.0
billion, net loans of $725.1 million, deposits of $759.8 million and equity capital of $90.3 million.
Our principal business consists primarily of accepting deposits from the general public and
investing those deposits, together with funds generated from operations and borrowings, in mortgage
loans secured by residential real estate, consumer loans, consisting primarily of indirect
automobile loans (automobile loans referred to us by an automobile dealership), and to a lesser
extent, commercial real estate, real estate construction, commercial business loans and automobile
loans originated directly from the automobile purchaser. Since we completed our conversion from a
credit union to a savings bank, we have increased our residential real estate, real estate
construction, commercial real estate and commercial business lending while deemphasizing our
consumer lending activities. Loans are originated from our main office in Fort Worth, Texas, and
from our branch network in the Dallas-Fort Worth Metroplex and surrounding communities in North
Texas. We retain in our portfolio all adjustable-rate loans that we originate, as well as
fixed-rate one- to four-family residential mortgage loans with terms of 15 years or less. We
currently sell most of the long-term, fixed-rate one- to four-family residential mortgage loans
(terms greater than 15 years) that we originate either to Fannie Mae on a servicing-retained basis
or into the secondary mortgage market on a servicing-released basis to generate fee income and for
interest rate risk management purposes.
In addition to loans, we invest in a variety of investments, primarily government sponsored
mortgage-backed securities, and to a lesser extent, municipal obligations, agency bonds and equity
securities. We have in the past invested in trust preferred securities issued by third parties, but
this is not an integral part of our investment portfolio. At June 30, 2009, our investment
securities portfolio had an amortized cost of $181.2 million.
We attract retail deposits from the general public in the areas surrounding our main office
and our branch offices. We offer a variety of deposit accounts, including noninterest bearing and
interest bearing demand accounts, savings accounts, money market accounts and certificates of
deposit.
We recently started offering wealth management services to individuals in our market area.
Our wealth management group offers a variety of products including deposit products such as money
market and high yield checking accounts with preferred rates, customized lending, and financial
planning services. We also offer brokerage services for the purchase and sale of non-deposit
investment and insurance products through a third party brokerage agreement. We anticipate
increasing our assets under management as part of the growth of our wealth management group, which
in turn should contribute to our net income. At June 30, 2009, our wealth management group had
$18.7 million in loans and $19.5 million in deposits under management.
69
Table of Contents
Our revenues are derived primarily from interest on loans and mortgage-backed and other
investment securities. We also generate revenues from fees and service charges. Our primary
sources of funds are deposits, principal and interest payments on securities and loans, and
borrowings.
Our website address is
www.omniamerican.com.
Information on our website is not and
should not be considered a part of this prospectus.
Market Area
Our primary market area includes consumers and businesses in the Dallas-Fort Worth Metroplex.
The total area of the Dallas-Fort Worth Metroplex contains 9,103 square miles. Among nationwide
metropolitan areas, the Dallas-Fort Worth Metroplex ranked fourth in population with 6.4 million
residents and sixth in gross metropolitan product. The Dallas-Fort Worth Metroplex produces
approximately 32% of the Texas gross state product.
The population of the Dallas-Fort Worth Metroplex is projected to grow by 11.9% over the
five-year period from 2009 to 2014, increasing to 7.2 million. The population expansion in the
Dallas-Fort Worth Metroplex exceeded the national and state increases from 2000 to 2009 and is
expected to continue this trend. The Dallas-Fort Worth Metroplex had a high level of employment in
the professional and business services, financial activities, and information sectors. Professional
and business services was the largest employment sector in the Dallas-Fort Worth Metroplex and
accounted for 14.4% of total nonfarm employment, compared to 12.7% and 12.2% in the United States
and Texas, respectively. Financial services accounted for 7.8% of employment in the Dallas-Fort
Worth Metroplex compared to 6.1% and 5.9% in the United States and Texas, respectively.
Like the national economy, the Texas economy is in a recession, but the Texas economy has been
more stable than the nation as a whole. The state's economy lost 274,600 jobs from June 2008 to
June 2009, an annual job loss of 2.6%. Over the same period, the U.S. economy lost more than 5.8
million jobs or 4.2%. The state's seasonally adjusted unemployment rate rose from 4.8% in June 2008
to 7.5% in June 2009, while the corresponding U.S. rate increased from 5.6% to 9.5% during the same
period. The Dallas-Fort Worth Metroplex unemployment rate rose from 5.1% in June 2008 to 8.2% in
June 2009. The state's unemployment rate remained two percentage points below the national
unemployment rate and has trailed the national rate for the past 30 consecutive months. In
addition, Texas has endured the national real estate downturn without significantly lowered housing
values due to low interest rates and taxes, lower unemployment, higher rates of job creation, a
growing population, and the continued affordability of Texas housing. In particular, the
Dallas-Fort Worth Metroplex ranked third among metropolitan areas that have been the least affected
by falling home prices.
Decreases in energy prices, particularly natural gas prices, have had an adverse effect on the
Texas economy as a whole and resulted in the Texas state government obtaining less tax revenue from
the sale of natural gas. This is expected to result in greater stress on the state economy which
may in turn adversely affect our market area.
Competition
We face intense competition in our market area both in making loans and attracting deposits.
We compete with commercial banks, savings institutions, mortgage brokerage firms, credit unions,
finance companies, mutual funds, insurance companies and investment banking firms. Some of our
competitors have greater name recognition and market presence that benefit them in attracting
business, and offer certain services that we do not or cannot provide.
70
Table of Contents
Our deposit sources are primarily concentrated in the communities surrounding our banking
offices, located in the Dallas-Fort Worth Metroplex and surrounding communities in North Texas. As
of June 30, 2008 (the latest date for which information is publicly available), we ranked 22nd in
FDIC-insured deposit market share (out of 192 bank and thrift institutions with offices in the
Dallas-Fort Worth-Arlington, Texas, MSA) with a 0.37% market share. Such data does not reflect
deposits held by credit unions with which we also compete.
Lending Activities
Our principal lending activity is the origination of mortgage loans secured by residential
real estate, consumer loans, consisting primarily of indirect automobile loans, and to a lesser
extent, commercial real estate, real estate construction, commercial business loans and direct
automobile loans. The following table provides a historical breakdown of our loan portfolio at the
end of each of our last five fiscal years and at June 30, 2009.
71
Table of Contents
Loan Portfolio Composition.
The following table sets forth the composition of our loan
portfolio at the dates indicated.
At June 30,
At December 31,
2009
2008
2007
2006
2005
2004
Amount
Percent
Amount
Percent
Amount
Percent
Amount
Percent
Amount
Percent
Amount
Percent
(Dollars in thousands)
Real estate loans:
One- to four-family
(1)
$
261,334
35.52
%
$
245,554
33.96
%
$
210,475
29.60
%
$
164,585
22.52
%
$
145,842
18.31
%
$
153,447
17.68
%
Home equity
(2)
27,564
3.75
27,180
3.76
21,183
2.98
19,241
2.63
22,669
2.85
25,419
2.93
Commercial real estate
95,625
13.00
89,023
12.31
81,953
11.53
74,216
10.16
54,076
6.79
43,264
4.98
Real estate construction
40,500
5.51
45,840
6.34
43,003
6.05
28,840
3.95
10,576
1.33
8,917
1.03
Consumer loans:
Automobile, indirect
198,296
26.95
209,371
28.95
258,782
36.39
359,428
49.19
472,583
59.34
528,821
60.92
Automobile, direct
31,238
4.25
34,824
4.82
37,687
5.30
45,252
6.19
50,492
6.34
52,027
5.99
Unsecured
14,135
1.92
14,505
2.00
15,991
2.25
17,381
2.38
17,485
2.20
23,605
2.72
Other
5,552
0.75
5,832
0.81
7,048
0.99
10,169
1.39
13,675
1.72
18,353
2.11
Commercial business loans
61,442
8.35
50,975
7.05
34,884
4.91
11,616
1.59
8,953
1.12
14,273
1.64
Total loans
735,686
100.00
%
723,104
100.00
%
711,006
100.00
%
730,728
100.00
%
796,351
100.00
%
868,126
100.00
%
Other items:
Unearned fees and discounts, net
(1,764
)
940
3,479
5,168
7,593
8,084
Allowance for loan losses
(8,822
)
(8,270
)
(7,386
)
(7,049
)
(4,792
)
(5,408
)
Total loans, net
$
725,100
$
715,774
$
707,099
$
728,847
$
799,152
$
870,802
(1)
Excludes loans held for sale of $425,000, $160,000, $253,000, $919,000, $0 and $0 at June 30,
2009 and December 31, 2008, 2007, 2006, 2005 and 2004, respectively.
(2)
Included in home equity loans are home equity lines of credit totaling $2.1 million, $1.9
million, $993,000, $970,000, $1.1 million and $831,000 at June 30, 2009 and December 31, 2008,
2007, 2006, 2005 and 2004, respectively.
72
Table of Contents
Loan Portfolio Maturities and Yields.
The following table summarizes the scheduled repayments
of our loan portfolio at December 31, 2008. Demand loans, loans having no stated repayment
schedule or maturity, and overdraft loans are reported as being due in one year or less.
One- to four-family real
estate
Home Equity
Commercial Real Estate
Real Estate Construction
Automobile, indirect
Weighted
Weighted
Weighted
Weighted
Weighted
Average
Average
Average
Average
Average
Amount
Rate
Amount
Rate
Amount
Rate
Amount
Rate
Amount
Rate
(Dollars in thousands)
Due During the
Years Ending
December 31,
2009
$
5,679
4.98
%
$
1,445
5.85
%
$
12,299
6.95
%
$
18,011
6.39
%
$
8,643
5.36
%
2010
576
4.59
223
7.41
14,557
5.36
3,948
7.48
28,225
5.86
2011
133
3.13
386
7.25
10,173
6.65
11,719
6.00
40,407
6.88
2012 to 2013
2,117
5.02
2,079
6.74
16,325
6.39
3,561
4.95
91,606
7.03
2014 to 2018
32,456
5.22
6,053
6.99
8,980
6.50
4,535
6.48
40,490
7.29
2019 to 2023
25,361
5.86
9,860
7.20
12,029
6.73
143
6.92
—
—
2024 and beyond
179,232
6.38
7,134
7.16
14,660
6.70
3,923
6.88
—
—
Total
$
245,554
6.12
%
$
27,180
7.04
%
$
89,023
6.44
%
$
45,840
6.32
%
$
209,371
6.83
%
Automobile, direct
Unsecured Consumer
Other Consumer
Commercial Business
Total
Weighted
Weighted
Weighted
Weighted
Weighted
Average
Average
Average
Average
Average
Amount
Rate
Amount
Rate
Amount
Rate
Amount
Rate
Amount
Rate
(Dollars in thousands)
Due During the
Years Ending
December 31,
2009
$
4,543
5.89
%
$
7,877
7.89
%
$
3,435
5.26
%
$
9,312
6.20
%
$
71,244
6.29
%
2010
1,707
8.68
1,044
11.55
310
7.88
1,859
6.98
52,449
6.09
2011
5,949
7.28
2,055
11.62
795
7.87
1,846
7.13
73,463
6.88
2012 to 2013
19,749
6.32
3,518
13.62
885
8.14
21,224
4.54
161,064
6.62
2014 to 2018
2,876
6.16
11
15.16
407
8.95
15,815
5.71
111,623
6.32
2019 to 2023
—
—
—
—
—
—
919
7.78
48,312
6.39
2024 and beyond
—
—
—
—
—
—
—
—
204,949
6.44
Total
$
34,824
6.53
%
$
14,505
10.08
%
$
5,832
6.45
%
$
50,975
5.45
%
$
723,104
6.46
%
73
Table of Contents
The following table sets forth the scheduled repayments of fixed- and adjustable-rate loans at
December 31, 2008 that are contractually due after December 31, 2009. For purposes of the table,
adjustable-rate loans include adjustable-rate mortgages with initial fixed-rate periods of three to
seven years.
Due After December 31, 2009
Fixed
Adjustable
Total
(In thousands)
Real estate loans:
One- to four-family
$
214,469
$
25,406
$
239,875
Home equity
23,698
2,037
25,735
Commercial real estate
30,739
45,985
76,724
Real estate construction
3,712
24,117
27,829
Consumer loans:
Automobile, indirect
200,728
—
200,728
Automobile, direct
30,281
—
30,281
Unsecured
6,627
1
6,628
Other
2,369
28
2,397
Commercial business loans
6,169
35,494
41,663
Total loans
$
518,792
$
133,068
$
651,860
One- to Four-Family Residential Mortgage Loans.
At June 30, 2009, $261.3 million, or 35.5% of
our total loan portfolio consisted of one- to four-family residential mortgage loans. We offer
residential mortgage loans that conform to Fannie Mae underwriting standards (conforming loans) and
non-conforming loans. We generally underwrite our one- to four-family residential mortgage loans
based on the applicant's employment and credit history and the appraised value of the subject
property. Our loans have fixed-rates and adjustable-rates, with maturities of up to 30 years, and
maximum loan amounts generally of up to $1.0 million. At June 30, 2009, fixed-rate one- to
four-family residential mortgage loans totaled $227.0 million and adjustable-rate one- to
four-family residential mortgage loans totaled $34.3 million.
We currently offer fixed-rate conventional mortgage loans with terms of up to 30 years that
are fully amortizing with monthly loan payments, and adjustable-rate mortgage loans that provide an
initial fixed interest rate for three, five or seven years and that amortize over a period up to 30
years. We do not offer discounted or teaser rates on our adjustable-rate mortgage loans.
Our one- to four-family residential mortgage loans are generally conforming loans,
underwritten according to Fannie Mae guidelines. We generally originate both fixed- and
adjustable-rate mortgage loans in amounts up to the maximum conforming loan limits as established
by the Office of Federal Housing Enterprise Oversight, which is currently $417,000 for
single-family homes. At June 30, 2009, 29.2% of our one- to four-family residential mortgage loans
had principal balances in excess of $417,000. At that date, our average one- to four-family
residential mortgage loan had a principal balance of $105,029. In the current low interest rate
environment most borrowers have preferred fixed-rate loans to our adjustable-rate loan products.
We also originate loans above the lending limit for conforming loans, which we refer to as "jumbo
loans." We only originate fixed-rate jumbo loans with terms of up to 30 years, and adjustable-rate
jumbo loans with an initial fixed-rate period of three, five or seven years and which adjust
annually. At June 30, 2009, our largest one- to four-family residential mortgage loan had an
outstanding balance of $3.3 million, was secured by a single-family residence, and was performing
in accordance with its terms as of that date.
We will originate loans with loan-to-value ratios in excess of 80%, provided that, with
limited exceptions, the borrower obtains private mortgage insurance. We generally will not
originate loans with a
74
Table of Contents
loan-to-value ratio in excess of 95%. As of June 30, 2009, $31.0 million, or 11.9%, of our
residential loan portfolio had loan-to-value ratios in excess of 80%.
We actively monitor our interest rate risk position to determine the desirable level of
investment in fixed-rate mortgages. We retain in our portfolio fixed-rate one- to four-family
residential mortgage loans with terms of 15 years or less. We currently sell most of our
long-term, fixed-rate one- to four-family residential mortgage loans (terms greater than 15 years)
that we originate into the secondary mortgage market to government sponsored entities, such as
Fannie Mae, or other purchasers. Such loans are sold without recourse. We generally retain the
servicing rights on all loans sold to Fannie Mae in order to generate fee income and reinforce our
commitment to our customers. For the six months ended June 30, 2009 and for the year ended
December 31, 2008, we received servicing fees of $109,000 and $73,000, respectively. As of June
30, 2009, the principal balance of loans serviced for others totaled $90.0 million.
We currently offer several types of adjustable-rate mortgage loans secured by residential
properties with interest rates that are fixed for an initial period ranging from three to seven
years. We offer adjustable-rate mortgage loans that are fully amortizing. After the initial fixed
period, the interest rate on adjustable-rate mortgage loans is generally reset every year based
upon a contractual spread or margin above the average yield on U.S. Treasury securities, adjusted
to a constant maturity of one year, as published weekly by the Federal Reserve Board, subject to
periodic and lifetime limitations on interest rate changes. Generally our adjustable-rate mortgage
loans have an initial cap of two percentage points on changes in the interest rate, with a two
percentage point cap on subsequent changes and a cap of six percentage points for the life of the
loan.
Adjustable-rate mortgage loans generally present different credit risks than fixed-rate
mortgage loans, primarily because the underlying debt service payments of the borrowers increase as
interest rates increase, thereby increasing the potential for default and higher rates of
delinquency. At the same time, the marketability of the underlying collateral may be adversely
affected by higher interest rates. Since changes in the interest rates on adjustable-rate
mortgages may be limited by an initial fixed-rate period or by the contractual limits on periodic
interest rate adjustments, adjustable-rate loans may not adjust as quickly as our interest-bearing
liabilities to increases in interest rates.
A portion of our one- to four-family residential mortgage loan portfolio possesses higher
risk characteristics. We have internally originated and purchased such loans in this portfolio.
This portfolio consists of subprime loans (those loans made to borrowers with credit scores of 660
or less and some additional credit weakness), stated income loans (the reasonableness of which was
verified through sources other than the borrower) and interest-only loans (loans typically provide
for the payment of interest only for a fixed period of time, thereafter the loan payments adjust
to include both principal and interest for the remaining term). At June 30, 2009, the outstanding
balance of our subprime loans totaled $22.1 million, or 8.4% of our one- to four-family
residential mortgage loans and 3.0% of our total loans. At June 30, 2009, the outstanding balance
of our one- to four- family residential mortgage loans also included $14.7 million of stated
income loans and $10.9 million in interest-only loans (of which $5.9 million are also stated
income loans). For the six months ended June 30, 2009 and for the year ended December 31, 2008, we
had no charge-offs or foreclosures in the above described portfolios.
In 2008, we began purchasing one- to four-family residential loans, which included subprime,
stated income and interest-only loans, at a discount to the original principal balance of the
mortgage loan. As of June 30, 2009, the total outstanding balance of all purchased one- to
four-family residential mortgage loans was $32.4 million, or 12.4% of our one- to four-family
residential loans and 4.4% of our total loans, while the carrying value of such loans, net of
purchase discounts, was $27.3 million. Our
75
Table of Contents
purchased one- to four-family residential mortgage loans included $6.8 million of subprime
loans as of June 30, 2009. In addition, these purchased one- to four-family residential mortgage
loans included $14.1 million of stated income loans and $7.4 million of interest-only loans (of
which $5.9 million were also stated income loans). At June 30, 2009, the purchased subprime,
stated income and interest-only loans represented 2.6%, 5.4% and 2.8%, respectively, of our total
one- to four-family residential mortgage loans. We intend to continue to purchase subprime, stated
income and interest-only loans as market conditions permit, and we are able to obtain the loans at
a sufficient discount to the loan balance to compensate us for the added risk associated with such
loans.
At June 30, 2009, our internally originated one- to four-family residential loans included
$15.3 million of subprime loans, $3.5 million of interest-only loans and $568,000 of stated income
loans. These loans represent 5.8%, 1.3%, and 0.2%, respectively, of our total one- to four-family
residential mortgage loans. We intend to continue to originate these types of loans in the future
as market conditions permit.
We do not offer or purchase loans that provide for negative amortization of principal, such as
"Option ARM" loans, where the borrower can pay less than the interest owed on their loan, resulting
in an increased principal balance during the life of the loan.
We require title insurance on all of our one- to four-family residential mortgage loans that
exceed $100,000, and we also require that borrowers maintain fire and extended coverage casualty
insurance (and, if appropriate, flood insurance) in an amount at least equal to the lesser of the
loan balance or the replacement cost of the improvements. We do not conduct environmental testing
on residential mortgage loans unless specific concerns for hazards are identified by the appraiser
used in connection with the origination of the loan.
During the six months ended June 30, 2009 and for the year ended December 31, 2008, we had a
total of two foreclosures in our one- to four-family residential mortgage loan portfolio totaling
$231,000.
Home Equity Loans and Lines of Credit
. In addition to traditional one- to four-family
residential mortgage loans, we offer home equity loans and home equity lines of credit that are
secured by the borrower's primary residence. Our home equity loans are primarily originated with
fixed rates of interest with terms of up to 30 years. Home equity loans and lines of credit are
generally underwritten using the same criteria that we use to underwrite one- to four-family
residential mortgage loans. Home equity loans may be underwritten with a loan-to-value ratio of
80% when combined with the principal balance of the existing mortgage loan, while lines of credit
for owner-occupied properties may be underwritten with loan-to-value ratios of 80% of the market
value of the single-family residence inclusive of all other debt and the credit limit cannot exceed
50% of the market value when combined with the principal balance of the existing mortgage loan.
Home equity lines of credit are generally originated with adjustable-rates of interest. The maximum
maturity period is 20 years with a five-year period to draw funds. At the time we close a home
equity loan or line of credit, we record a deed of trust to perfect our security interest in the
underlying collateral. At June 30, 2009, the outstanding balance of home equity loans totaled
$25.4 million, or 3.5% of our total loan portfolio, and the outstanding balance of home equity
lines of credit totaled $2.1 million, or 0.3% of our total loan portfolio.
Home equity loans secured by second mortgages have greater risk than residential mortgage
loans secured by first mortgages. We face the risk that the collateral will be insufficient to
compensate us for loan losses and costs of foreclosure. When customers default on their loans, we
attempt to foreclose on the property and resell the property as soon as possible to minimize
foreclosure and carrying costs.
76
Table of Contents
However, the value of the collateral may not be sufficient to compensate us for the amount of
the unpaid loan and we may be unsuccessful in recovering the remaining balance from those
customers. Particularly with respect to our home equity loans, decreases in real estate values
could adversely affect the value of property used as collateral for our loans.
Commercial Real Estate Loans.
We originate commercial real estate loans secured primarily by
office buildings, hotels, strip mall centers, apartment buildings, condominiums, developed lots and
raw land. Loans secured by commercial real estate totaled $95.6 million, or 13.0%, of our total
loan portfolio at June 30, 2009, and consisted of 178 loans outstanding with an average loan
balance of approximately $537,221 for the six months ended June 30, 2009. Substantially all of the
commercial real estate loans that we originate are secured by properties located in Texas.
Our
commercial real estate loans are generally written for terms of up to five years with
adjustable interest rates. The rates are generally tied to the prime rate as reported in
The Wall
Street Journal
and generally have a specified floor. Many of our adjustable-rate commercial real
estate loans require a balloon payment at maturity. We also originate 15- to 20-year fixed rate,
fully amortizing commercial real estate loans. A portion of our commercial real estate loans are
loans that we have provided permanent financing following the completion of the real estate
construction loan that we previously originated.
In the underwriting of commercial real estate loans, we generally lend up to 85% of the
property's appraised value and up to 65% of the property's appraised value if the property is
unimproved land. We base our decisions to lend on the economic viability of the property and the
creditworthiness of the borrower. In evaluating a proposed commercial real estate loan, we
emphasize the ratio of the property's projected net cash flow to the loan's debt service
requirement (generally requiring a minimum ratio of 120%), computed after deduction for a vacancy
factor and property expenses we deem appropriate. Personal guarantees are usually obtained from
commercial real estate borrowers. We require title insurance insuring the priority of our lien,
fire and extended coverage casualty insurance, and, if appropriate, flood insurance, in order to
protect our security interest in the underlying property.
Commercial real estate loans generally carry higher interest rates and have shorter terms than
one- to four-family residential mortgage loans. Commercial real estate loans, however, entail
significant additional credit risks compared to one- to four-family residential mortgage loans, as
they typically involve larger loan balances concentrated with single borrowers or groups of related
borrowers. In addition, the payment of loans secured by income-producing properties typically
depends on the successful operation of the related real estate project and thus may be subject to a
greater extent to adverse conditions in the real estate market and in the general economy. At June
30, 2009, our largest commercial real estate loan had an outstanding balance of $6.8 million, was
secured by residential lots, and was performing in accordance with its terms as of that date.
Real Estate Construction Loans.
We originate real estate construction loans for the
construction of single-family residences, condominiums, office buildings, hotels and retail strip
centers. Construction loans are offered to individuals for the construction of their personal
residences (owner-occupied), and to qualified developers. At June 30, 2009, real estate
construction loans totaled $40.5 million, or 5.5% of total loans. At June 30, 2009, the commitment
to advance additional portions of these real estate construction loans totaled $3.3 million.
We grant construction loans to area builders. In the case of residential subdivisions, these
loans finance the cost of completing homes. Advances on construction loans are made in accordance
with a schedule reflecting the cost of construction, but are generally limited to the lower of 100%
of actual
77
Table of Contents
construction costs or 85% of the completed appraised value. Repayment of construction loans
on residential subdivisions is normally expected from the sale of units to individual purchasers.
In the case of income-producing property, repayment is usually expected from permanent financing
upon completion of construction.
Before making a commitment to fund a construction loan, we require an appraisal of the
property by an independent licensed appraiser. We generally also review and inspect each property
before disbursement of funds during the term of the construction loan. We typically make
construction loans only to developers with who we have an existing relationship or who are known to
us.
Construction financing generally involves greater credit risk than long-term financing on
improved, owner-occupied real estate. Risk of loss on a construction loan depends largely upon the
accuracy of the initial estimate of the value of the property at completion of construction
compared to the estimated cost (including interest) of construction and other assumptions. If the
estimate of construction cost proves to be inaccurate, we may be required to advance additional
funds beyond the amount originally committed in order to protect the value of the property.
Moreover, if the estimated value of the completed project proves to be inaccurate, the borrower may
hold a property with a value that is insufficient to assure full repayment of the construction loan
upon the sale of the property. In the event we make a land acquisition loan on property that is
not yet approved for the planned development, there is the risk that approvals will not be granted
or will be delayed. Construction loans also expose us to the risk that improvements will not be
completed on time in accordance with specifications and projected costs. In addition, the ultimate
sale or rental of the property may not occur as anticipated. At June 30, 2009, our largest real
estate construction loan had an outstanding balance of $11.5 million, was secured by condominiums,
and was performing in accordance with its terms as of that date.
Consumer Lending
.
We offer a variety of secured consumer loans, including new and used
automobile loans, recreational vehicle loans, and loans secured by savings deposits. We also offer
unsecured consumer loans. We originate our consumer loans primarily in our market areas. Most of
our consumer loans are secured by automobiles. At June 30, 2009, our consumer loan portfolio
totaled $249.2 million, or 33.9% of our total loan portfolio. We originate automobile loans on a
direct and indirect basis. Automobile loans totaled $229.5 million at June 30, 2009, or 31.2% of
our total loan portfolio, with $31.2 million in direct loans and $198.3 million in indirect loans.
We acquire our indirect automobile loans from approximately 185 dealers located primarily in
our market area under an arrangement providing for a premium for any amount over the interest rate
to be paid to the referring dealer. Approximately 64.3% of the aggregate principal balance of our
automobile loan portfolio as of June 30, 2009 was for new vehicles; and the remainder was for used
vehicles. The weighted average original term to maturity of our automobile loan portfolio at June
30, 2009 was five years and five months. The average outstanding balance of our automobile loans
for the six months ended June 30, 2009 was $12,656 and the average credit score was 742. Borrowers
representing more than 97.7% of the aggregate principal balance of our automobile loan portfolio as
of June 30, 2009 had mailing addresses in the State of Texas. We have been in the business of
providing indirect financing of vehicles since 1992.
Each dealer that originates automobile loans makes representations and warranties with respect
to our security interests in the related financed vehicles in a separate dealer agreement with us.
These representations and warranties do not relate to the creditworthiness of the borrowers or the
collectibility of the loan. The dealers are also responsible for ensuring that our security
interest in the financed vehicles is perfected.
78
Table of Contents
Each automobile loan requires the borrower to keep the financed vehicle fully insured against
loss or damage by fire, theft and collision. The dealer agreements require the dealers to
represent that adequate physical damage insurance (collision and comprehensive) was in effect at
the time the related loan was originated and financed by us. In addition, we have the right to
force place insurance coverage (supplemental insurance taken out by OmniAmerican Bank) in the event
the required physical damage insurance on an automobile is not maintained by the borrower.
Nevertheless, there can be no assurance that each financed vehicle will continue to be covered by
physical damage insurance provided by the borrower during the entire term during which the related
loan is outstanding.
Each dealer submits credit applications directly to us, and the borrower's creditworthiness
is the most important criterion we use in determining whether to purchase an automobile loan from a
dealer. Each credit application requires that the borrower provide current information regarding
the borrower's employment history, debts, and other factors that bear on creditworthiness. We
generally apply uniform underwriting standards when originating the automobile loan. We also
typically obtain a credit report from a major credit reporting agency summarizing the borrower's
credit history and paying habits, including such items as open accounts, delinquent payments,
bankruptcies, repossessions, lawsuits and judgments.
The borrower's credit score is the principal factor used in determining the interest rate on
the loan. Our underwriting procedure evaluates information relating to the borrower and supplied
by the borrower on the credit application combined with information provided by credit reporting
agencies and the amount to be financed relative to the value of the related financed vehicle.
Additionally, our underwriters may also verify a borrower's employment income and/or residency or
where appropriate, verify a borrower's payment history directly with the borrower's creditors.
Based on these procedures, a credit decision is considered and approved either automatically or by
our personnel at various levels of authority. We generally follow the same underwriting guidelines
in originating direct automobile loans.
Our primary consideration when originating an automobile loan is the borrower's ability to
repay the loan and the value of the underlying collateral. We generally finance up to the full
sales price of the vehicle plus sales tax, dealer preparation fees, license fees and title fees,
plus the cost of service and warranty contracts and premiums for physical damage, credit life and
disability insurance obtained in connection with the vehicle or the financing (amounts in addition
to the sales price are collectively referred to as the "Additional Vehicle Costs"). In addition,
we may finance the negative equity related to the vehicle traded in by the borrower in connection
with the financing. Accordingly, the amount we finance may exceed, depending on the borrower's
credit score, in the case of new vehicles, the dealer's invoice price of the financed vehicle and
the Additional Vehicle Costs, or in the case of a used vehicle, the vehicle's value and the
Additional Vehicle Costs. The maximum amount borrowed generally may not exceed 125% of the full
sales price of the financed vehicle that is new, or the vehicle's "wholesale" value in the case of
a used vehicles, including Additional Vehicle Costs. The vehicle's value is determined by using
one of the standard reference sources for dealers of used cars. We regularly review the quality of
the loans we purchase from the dealers and periodically conduct quality control audits to ensure
compliance with our established policies and procedures.
At June 30, 2009, our automobile loans to borrowers with credit scores of 660 or less totaled
$14.6 million or 6.4% of our total automobile loan portfolio. We typically will not originate these
types of loans with loan-to-value ratios greater than 110%. We also carefully consider the
applicant's employment history and we may charge a higher interest rate.
Our secured consumer loans totaled $5.6 million, or 0.8% of our total loan portfolio at June
30, 2009, and consisted principally of deposit secured loans. We also originate unsecured consumer
loans.
79
Table of Contents
At June 30, 2009, our unsecured consumer loans totaled $14.1 million, or 1.9% of our total
loan portfolio. These loans have either a fixed rate of interest for a maximum term of 60 months,
or are revolving lines of credit with an adjustable-rate of interest tied to the prime rate of
interest as reported in
The Wall Street Journal
. At June 30, 2009, unfunded commitments on our
unsecured lines of credit totaled $8.0 million, and the average outstanding balance on our lines
was approximately $4,634 for the six months ended June 30, 2009.
Consumer loans generally have shorter terms to maturity, which reduces our exposure to changes
in interest rates. In addition, management believes that offering consumer loan products helps to
expand and create stronger ties to our existing customer base by increasing the number of customer
relationships and providing cross-marketing opportunities.
Consumer and other loans generally have greater risk compared to longer-term loans secured by
improved, owner-occupied real estate, particularly consumer loans that are secured by rapidly
depreciable assets, such as automobiles. In these cases, any repossessed collateral for a defaulted
loan may not provide an adequate source of repayment of the outstanding loan balance. As a result,
consumer loan collections are dependent on the borrower's continuing financial stability and thus
are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy.
Furthermore, our consumer loan portfolio contains a substantial number of indirect automobile loans
where we assume the risk that the automobile dealership underwriting the loans complies with
federal, state and local consumer protection laws.
Commercial Business Loans
.
We make various types of secured and unsecured commercial business
loans to customers in our market area for the purpose of acquiring equipment and other general
business purposes. The terms of these loans generally range from one year to a maximum of 10
years. The loans are either negotiated on a fixed-rate basis or carry adjustable interest rates
indexed to the prime rate as reported in
The Wall Street Journal
and generally with specified
floors
.
At June 30, 2009, we had 245 commercial business loans outstanding with an aggregate
balance of $61.4 million, or 8.4% of our total loans. For the six months ended June 30, 2009, the
average commercial business loan balance was approximately $250,758. At June 30, 2009, we had $1.7
million in unsecured commercial business loans.
We have in the past purchased participation interests in shared national credits, which are
adjustable-rate loans generally tied to the London InterBank Offered Rate (LIBOR) where a larger
financial institution serves as the lead lender, and credit is extended to a large business secured
by business assets or equipment. Historically, the minimum participation amount has been $5.0
million. At June 30, 2009, we had $22.6 million in shared national credit loans with our largest
single participation loan of $4.6 million. We are no longer purchasing shared national credit
loans. In the future, we intend to focus our commercial business lending on small-to-medium size
businesses in our local market area.
Commercial credit decisions are based upon our credit assessment of the borrower and the
underlying business. We determine the borrower's ability to repay in accordance with the proposed
terms of the loan and we assess the risks involved. An evaluation is made of the borrower to
determine character and capacity to manage the borrower's business. Personal guarantees of the
principals of a borrower are usually obtained. In addition to evaluating the borrower's financial
statements, we consider the adequacy of the primary and secondary sources of repayment for the
loan. Credit agency reports of the guarantor's credit history supplement our analysis of the
borrower's creditworthiness. We may also check with other banks and conduct trade investigations.
Collateral supporting a secured transaction also is analyzed to determine its marketability.
Commercial business loans generally have higher interest rates than residential mortgage loans of
like duration because they have a higher risk of default since their
80
Table of Contents
repayment generally depends on the successful operation of the borrower's business and the
sufficiency of any collateral. Our pricing of commercial business loans is based primarily on the
credit risk of the borrower, with due consideration given to borrowers with an appropriate deposit
relationship. At June 30, 2009, our largest internally originated commercial business loan had an
outstanding balance of $5.3 million, was secured by notes receivable and was performing in
accordance with its terms as of that date.
Loan Originations, Purchases, Sales, Participations and Servicing.
Lending activities are
conducted primarily by our loan personnel operating at our main and branch office locations. All
loans that we originate are underwritten pursuant to our policies and procedures. In addition, our
one- to four-family residential mortgage loans generally incorporate Fannie Mae underwriting
guidelines. We originate both adjustable-rate and fixed-rate loans. Our ability to originate
fixed- or adjustable-rate loans is dependent upon the relative customer demand for such loans,
which is affected by current market interest rates as well as anticipated future market interest
rates. Our loan origination and sales activity may be adversely affected by a rising interest rate
environment that typically results in decreased loan demand. Most of our commercial real estate
and commercial business loans are generated by referrals from professional contacts. Most of our
one- to four-family residential mortgage loan, consumer loan and home equity loan originations are
generated by existing customers, referrals from real estate brokers and automobile dealers
participating in our indirect automobile loan program, residential home builders, walk-in business
and from our internet website.
We decide whether to retain the loans that we originate or sell loans in the secondary market
after evaluating current and projected market interest rates, our interest rate risk objectives,
our liquidity needs and other factors. We sold $71.7 million of residential mortgage loans (all
fixed-rate loans, with terms of 15 years or longer) during the year ended December 31, 2008 and
$49.6 million of such loans were sold during the six months ended June 30, 2009. We had $425,000
in loans held for sale in the secondary market at June 30, 2009.
At June 30, 2009, we were servicing residential mortgage loans for Fannie Mae with a principal
balance of $90.0 million. Loan servicing includes collecting and remitting loan payments,
accounting for principal and interest, contacting delinquent borrowers, supervising foreclosures
and property dispositions in the event of unremedied defaults, making certain insurance and tax
payments on behalf of borrowers and generally administering the loans. We retain a portion of the
interest paid by the borrower on the loans we service as consideration for our servicing
activities.
We purchased $78.0 million and $14.9 million in loans during the year ended December 31, 2008
and for the six months ended June 30, 2009, respectively. Our primary purchase activity in 2008 was
participation interests in shared national credit loans described above under " —Commercial
Business Loans." We also purchased one- to four-family residential loans in 2008 and 2009 to
supplement our own loan origination activity.
The following table shows
the loan origination, sale
and repayment activities of
OmniAmerican Bank for the periods indicated.
81
Table of Contents
For the Six
Months Ended
For the Year Ended December 31,
June 30, 2009
2008
2007
2006
(In thousands)
Originations by type:
Adjustable-rate:
Real estate loans:
One- to four-family
$
3,858
$
18,761
$
9,212
$
9,441
Home equity
1,441
2,207
—
728
Commercial real estate
1,963
9,584
19,215
20,424
Real estate construction
4,150
16,819
43,967
10,187
Consumer loans:
Automobile, indirect
—
—
—
—
Automobile, direct
—
—
—
—
Unsecured
190
610
457
8,595
Other
1,519
1,919
2,027
3,271
Commercial business loans
13,567
6,148
336
8,901
Total adjustable-rate
26,688
56,048
75,214
61,547
Fixed-rate:
Real estate loans:
One- to four-family
92,347
108,441
69,767
36,983
Home equity
2,131
8,422
6,856
3,060
Commercial real estate
644
8,362
12,791
48,353
Real estate construction
583
415
7,310
13,027
Consumer loans:
Automobile, indirect
39,873
79,029
70,171
104,007
Automobile, direct
5,002
16,223
14,067
18,947
Unsecured
1,664
3,427
5,348
7,957
Other
331
523
—
1,760
Commercial business loans
4,684
8,042
3,948
4,414
Total fixed-rate
147,259
232,884
190,258
238,508
Total loans originated
$
173,947
$
288,932
$
265,472
$
300,055
Purchases:
Real estate loans:
One- to four-family
$
14,495
$
33,372
$
—
$
—
Home equity
—
—
—
—
Commercial real estate
—
4,200
6,750
8,000
Real estate construction
—
2,000
—
4,000
Consumer loans:
Automobile, indirect
—
—
—
—
Automobile, direct
—
—
—
—
Unsecured
—
—
—
—
Other
—
—
—
—
Commercial business loans
419
38,472
30,970
973
Total loans purchased
$
14,914
$
78,044
$
37,720
$
12,973
Sales and repayments:
Real estate loans:
One- to four-family
$
49,626
$
71,659
$
11,436
$
8,209
Home equity
—
—
—
—
Commercial real estate
—
—
—
10,012
Real estate construction
—
—
2,000
—
Consumer loans:
Automobile, indirect
—
—
—
—
Automobile, direct
—
—
—
—
Unsecured and other
—
—
—
—
Commercial business loans
—
—
—
—
Total loans sold
$
49,626
$
71,659
$
13,436
$
18,221
Principal repayments
$
126,653
$
283,219
$
309,478
$
360,430
Total reductions
$
176,279
$
354,878
$
322,914
$
378,651
Increase (decrease) in
other items, net
$
(3,256
)
$
(3,423
)
$
(2,026
)
$
(4,682
)
Net increase (decrease)
$
9,326
$
8,675
$
(21,748
)
$
(70,305
)
82
Table of Contents
Loan Approval Procedures and Authority
. Our lending activities follow written,
non-discriminatory underwriting standards and loan origination procedures established by
OmniAmerican Bank's board of directors. The loan approval process is intended to assess the
borrower's ability to repay the loan and the value of the collateral that will secure the loan. To
assess the borrower's ability to repay, we review the borrower's employment and credit history and
information on the historical and projected income and expenses of the borrower. We will also
evaluate a guarantor when a guarantee is provided as part of the loan.
OmniAmerican Bank's policies and loan approval limits are established by our board of
directors. Our junior lending officers may approve secured commercial loans up to $50,000 and
unsecured commercial loans up to $10,000. Similarly, such officers may approve secured consumer
loans up to $50,000 and unsecured consumer loans up to $5,000. Our lending officers at the vice
president level may approve secured commercial loans up to $100,000 and unsecured commercial loans
up to $25,000. Similarly, such officers may approve secured consumer loans up to $50,000 and
unsecured consumer loans up to $5,000. Aggregate lending relationships in amounts up to $1.0
million for residential mortgage loans and in amounts up to $1.0 million for commercial real estate
loans may be approved by the Chief Lending Officer or the Chief Credit Officer. Our President and
Chief Executive Officer has authority to approve aggregate lending relationships in amounts up to
$2.0 million for residential mortgage loans and in amounts up to $2.5 million for commercial real
estate loans. All loans in excess of $1.0 million must be approved or ratified by a majority of
the Loan Committee, consisting of OmniAmerican Bank's Chief Executive Officer, Chief Lending
Officer, Chief Financial Officer, Chief Operating Officer and Chief Credit Officer. All approved
loans in excess of $1.0 million are reported to the board of directors upon approval.
We generally require appraisals by independent, licensed, third-party appraisers of all real
property securing loans. All appraisers are approved by the board of directors annually.
Non-performing and Problem Assets
With respect to our residential mortgage loans and consumer loans, collection calls typically
begin between the 5
th
and 15
th
day of delinquency. By the time a loan is 30
days past due, there will have been three delinquency notices sent as well as a minimum of three
personal phone contact attempts from the assigned employee and/or an automated calling system.
During each personal phone contact, the borrower is required to provide updated information and is
counseled on the terms of the loan and the importance of making payments on or before the due date.
Typically repossessions occur between 30 and 45 days while foreclosures typically begin after the
61
st
day of delinquency. A summary report of all loans 30 days or more past due is
provided monthly to the board of directors of OmniAmerican Bank.
With respect to our commercial real estate and commercial business lending, collection efforts
are carried out directly by our commercial loan officers. Commercial loan officers review past due
accounts weekly and contact delinquent borrowers immediately. Past due notices are typically sent
to commercial real estate customers and commercial business customers at 15 days past due.
Loans are automatically placed on non-accrual status when the payment of principal and/or
interest is 90 days or more past due. Loans may also be placed on non-accrual status if collection
of principal or interest is in doubt or if the collateral is in jeopardy. When loans are placed on
non-accrual status, unpaid accrued interest is fully reversed, and further income is recognized
only to the extent received. The loan may be returned to accrual status if unpaid principal and
interest are repaid so that the loan is less than 90 days delinquent.
83
Table of Contents
Non-Performing Assets.
The table below sets forth the amounts and categories of our
non-performing assets at the dates indicated. At June 30, 2009 and December 31, 2008, 2007, 2006,
2005 and 2004, we had troubled debt restructurings (loans for which a portion of interest or
principal has been forgiven and loans modified at interest rates materially less than current
market rates) of $6.3 million, $4.0 million, $2.1 million, $2.3 million, $2.2 million and $2.6
million, respectively.
At June 30,
At December 31,
2009
2008
2007
2006
2005
2004
(Dollars in thousands)
Non-accrual loans:
Real estate loans:
One- to four-family
$
2,477
$
81
$
—
$
—
$
—
$
50
Home equity
—
—
—
—
40
10
Commercial real estate
2,288
5,272
2,668
—
—
—
Real estate construction
325
—
—
—
—
—
Consumer loans:
Automobile, indirect
97
240
243
280
1,431
2,054
Automobile, direct
29
1
57
81
317
476
Unsecured
1
—
3
—
—
3
Other
—
—
1
—
14
36
Commercial business loans
356
107
—
—
64
—
Total non-accrual loans
5,573
5,701
2,972
361
1,866
2,629
Loans delinquent 90 days or greater
and still accruing:
Real estate loans:
One- to four-family
$
—
$
—
$
—
$
—
$
—
$
—
Home equity
—
—
—
—
—
—
Commercial real estate
—
—
—
2,938
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
—
—
—
—
—
—
Automobile, direct
—
—
—
—
—
—
Unsecured
—
—
—
—
—
—
Other
—
—
—
—
—
—
Commercial business loans
—
—
—
—
—
—
Total loans delinquent 90 days
or greater and still accruing
—
—
—
2,938
—
—
Total non-performing loans
5,573
5,701
2,972
3,299
1,866
2,629
Other real estate owned and foreclosed
assets:
Real estate loans:
One- to four-family
$
63
$
—
$
—
$
—
$
—
$
—
Home equity
—
—
—
—
—
—
Commercial real estate
488
488
488
488
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
87
95
228
125
279
729
Automobile, direct
3
3
8
18
119
207
Unsecured
—
—
—
—
—
—
Other
—
—
—
—
—
—
Commercial business loans
—
—
12
—
30
—
Total other real estate owned
and foreclosed assets
641
586
736
631
428
936
Total non-performing assets
$
6,214
$
6,287
$
3,708
$
3,930
$
2,294
$
3,565
Ratios:
Non-performing loans to total loans
0.76
%
0.79
%
0.42
%
0.45
%
0.23
%
0.30
%
Non-performing assets to total
assets
0.60
0.59
0.35
0.37
0.21
0.28
84
Table of Contents
For the six months ended June 30, 2009 and for the year ended December 31, 2008, gross
interest income that would have been recorded had our non-accruing loans and troubled debt
restructured loans been current in accordance with their original terms was $695,000 and $531,000,
respectively. Interest income recognized on such loans for the six months ended June 30, 2009 and
for the year ended December 31, 2008 was $55,000 and $26,000, respectively.
At June 30, 2009, our non-accrual loans totaled $5.6 million. The non-accrual loans consisted
primarily of two loans with principal balances totaling $4.4 million. The first loan, with an
outstanding balance of $2.3 million at June 30, 2009, is secured by raw land with an appraised
value of $1.4 million as of the most recent appraisal. At June 30, 2009, we had a specific
allowance of $900,000 for this loan. We anticipate foreclosing on the property. The second loan,
with an outstanding balance of $2.1 million at June 30, 2009, is secured by a single-family home
with an appraised value of $2.1 million as of the most recent appraisal. We foreclosed on the
property subsequent to June 30, 2009.
At June 30, 2009, OmniAmerican Bank had no loans that were not currently classified as
nonaccrual, 90 days past due or troubled debt restructurings but where known information about
possible credit problems of borrowers caused management to have serious concerns as to the ability
of the borrowers to comply with present loan repayment terms and that may result in disclosure as
nonaccrual, 90 days past due or troubled debt restructurings.
85
Table of Contents
Delinquent Loans
. The following table sets forth certain information with respect to our loan
portfolio delinquencies at the dates indicated.
Loans Delinquent For
60-89 Days
90 Days and Over
Total
Number
Amount
Number
Amount
Number
Amount
(Dollars in thousands)
At June 30, 2009
Real estate loans:
One- to four-family
4
$
1,417
2
$
2,477
6
$
3,894
Home equity
—
—
—
—
—
—
Commercial real estate
—
—
1
2,288
1
2,288
Real estate construction
1
125
1
325
2
450
Consumer loans:
Automobile, indirect
22
244
9
97
31
341
Automobile, direct
2
26
3
29
5
55
Unsecured
16
78
—
—
16
78
Other
2
31
—
—
2
31
Commercial business loans
1
3,718
4
156
5
3,874
Total loans
48
$
5,639
20
$
5,372
68
$
11,011
At December 31, 2008
Real estate loans:
One- to four-family
1
$
101
1
$
81
2
$
182
Home equity
—
—
—
—
—
—
Commercial real estate
—
—
1
5,272
1
5,272
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
42
457
21
240
63
697
Automobile, direct
4
29
1
1
5
30
Unsecured
13
74
—
—
13
74
Other
—
—
—
—
—
—
Commercial business loans
1
19
2
91
3
110
Total loans
61
$
680
26
$
5,685
87
$
6,365
At December 31, 2007
Real estate loans:
One- to four-family
1
$
164
—
$
—
1
$
164
Home equity
—
—
—
—
—
—
Commercial real estate
—
—
—
—
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
34
347
21
243
55
590
Automobile, direct
9
74
6
57
15
131
Unsecured
16
20
1
3
17
23
Other
—
—
1
1
1
1
Commercial business loans
1
25
—
—
1
25
Total loans
61
$
630
29
$
304
90
$
934
At December 31, 2006
Real estate loans:
One- to four-family
—
$
—
—
$
—
—
$
—
Home equity
—
—
—
—
—
—
Commercial real estate
—
—
—
—
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
30
357
16
280
46
637
Automobile, direct
10
102
7
81
17
183
Unsecured
24
37
—
—
24
37
Other
—
—
—
—
—
—
Commercial business loans
—
—
1
2,938
1
2,938
Total loans
64
$
496
24
$
3,299
88
$
3,795
86
Table of Contents
Loans Delinquent For
60-89 Days
90 Days and Over
Total
Number
Amount
Number
Amount
Number
Amount
(Dollars in thousands)
At December 31, 2005
Real estate loans:
One- to four-family
—
$
—
—
$
—
—
$
—
Home equity
—
—
1
40
1
40
Commercial real estate
—
—
—
—
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
53
897
90
1,385
143
2,282
Automobile, direct
12
129
33
299
45
428
Unsecured
46
106
—
—
46
106
Other
—
—
1
14
1
14
Commercial business loans
1
8
2
55
3
63
Total loans
112
$
1,140
127
$
1,793
239
$
2,933
At December 31, 2004
Real estate loans:
One- to four-family
—
$
—
1
$
50
1
$
50
Home equity
—
—
1
10
1
10
Commercial real estate
—
—
—
—
—
—
Real estate construction
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
51
800
130
1,909
181
2,709
Automobile, direct
20
200
49
469
69
669
Unsecured
27
60
2
3
29
63
Other
1
21
4
36
5
57
Commercial business loans
—
—
—
—
—
—
Total loans
99
$
1,081
187
$
2,477
286
$
3,558
Total delinquent loans increased by $4.6 million to $11.0 million at June 30, 2009 from $6.4
million at December 31, 2008. The increase in delinquent loans was due primarily to an increase of
$5.0 million in loans delinquent 60 to 89 days, of which $3.7 million consisted of one commercial
business loan and $1.3 million of the increase consisted of four one-to four-family real estate
loans.
Real Estate Owned and Foreclosed Assets
. Real estate acquired by us as a result of
foreclosure or by deed in lieu of foreclosure is classified as real estate owned sold. When
property is acquired it is recorded at the lower of cost or estimated fair market value at the date
of foreclosure, establishing a new cost basis. Estimated fair value generally represents the sale
price a buyer would be willing to pay on the basis of current market conditions, including normal
terms from other financial institutions, less the estimated costs to sell the property. Holding
costs and declines in estimated fair market value result in charges to expense after acquisition.
In addition, we periodically repossess certain collateral, including automobiles and other titled
vehicles. At June 30, 2009, we had $641,000 in real estate owned and foreclosed assets, of which
$488,000 constituted property originally acquired by us for a future branch site.
Classification of Assets.
Our policies, consistent with regulatory guidelines, provide for
the classification of loans and other assets that are considered to be of lesser quality as
substandard, doubtful, or loss assets. An asset is considered substandard if it is inadequately
protected by the current net worth and paying capacity of the obligor or of the collateral pledged,
if any. Substandard assets include those assets characterized by the distinct possibility that we
will sustain some loss if the deficiencies are not corrected. Assets classified as doubtful have
all of the weaknesses inherent in those classified substandard with the added characteristic that
the weaknesses present make collection or liquidation in full, on the basis of currently existing
facts, conditions and values, highly questionable and improbable. Assets (or portions of assets)
classified as loss are those considered uncollectible and of such little value that their
continuance as assets is not warranted. Assets that do not expose us to risk sufficient to warrant
classification in one of the aforementioned categories, but which possess potential weaknesses that
deserve our close attention, are required to be designated as special mention. As of June 30,
2009, we had $16.3 million of assets designated as special mention.
87
Table of Contents
When we classify assets as either substandard or doubtful, we allocate a portion of the
related general loss allowances to such assets as we deem prudent. The allowance for loan losses
is the amount estimated by management as necessary to absorb credit losses incurred in the loan
portfolio that are both probable and reasonably estimable at the balance sheet date. When we
classify a problem asset as loss, we provide a specific reserve for that portion of the asset that
is uncollectible. Our determination as to the classification of our assets and the amount of our
loss allowances are subject to review by our principal federal regulator, the Office of Thrift
Supervision, which can require that we establish additional loss allowances. We regularly review
our asset portfolio to determine whether any assets require classification in accordance with
applicable regulations. On the basis of our review of our assets at June 30, 2009, classified
assets consisted of $35.0 million of substandard assets, $414,000 of doubtful assets and no loss
assets.
As of June 30, 2009, our largest substandard asset was a loan with a balloon payment of $5.6
million due in July 2009 secured by a condominium project. This loan had a principal balance of
$5.6 million at June 30, 2009. At June 30, 2009, the loan was performing in accordance with its
terms. This loan was classified as substandard due to slow sales of the condominium units. The
borrower was unable to make the balloon payment when it was due. Once the borrower indicated that
it would be unable to make the balloon payment or provide monthly debt service, we determined to
commence foreclosure proceedings to secure the collateral. We anticipate completing the
foreclosure of this property during the third quarter of 2009.
Allowance for Loan Losses
The allowance for loan losses is maintained at a level that, in management's judgment, is
adequate to cover probable credit losses inherent in the loan portfolio at the balance sheet date.
The allowance for loan losses is established as losses are estimated to have occurred through a
provision for loan losses charged to earnings. Loan losses are charged against the allowance when
management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if
any, are credited to the allowance.
The allowance for loan losses is evaluated on a regular basis by management and is based upon
management's periodic review of the collectability of the loans in light of historical experience,
the nature and volume of the loan portfolio, adverse situations that may affect the borrower's
ability to repay, estimated value of any underlying collateral and prevailing economic conditions.
This evaluation is inherently subjective as it requires estimates that are susceptible to
significant revision as more information becomes available.
The allowance consists of specific and general components. The specific component relates to
loans that are classified as doubtful, substandard or special mention. For such loans that are
also classified as impaired, an allowance is established when the discounted cash flows (or
collateral value or observable market price) of the impaired loan is lower than the carrying value
of that loan. The general component covers non-classified loans and is based on the historical
loss experience adjusted for qualitative factors.
A loan is considered impaired when, based on current information and events, it is probable
that we will be unable to collect the scheduled payments of principal or interest when due
according to the contractual terms of the loan agreement. Factors considered by management in
determining impairment include payment status, collateral value and the probability of collecting
scheduled principal and interest payments when due. Loans that experience insignificant payment
delays and payment shortfalls generally are not classified as impaired. Management determines the
significance of payment delays and payment shortfalls on a case-by-case basis, taking into
consideration all of the circumstances surrounding the loan and the borrower, and the amount of the
shortfall in relation to the principal and interest owed.
88
Table of Contents
Impairment is measured on a loan-by-loan basis for commercial loans by either the present
value of expected future cash flows discounted at the loan's effective interest rate, the loans'
obtainable market price or the fair value of the collateral if the loan is collateral dependent.
Large groups of smaller balance homogeneous loans are collectively evaluated for impairment.
Accordingly, we do not separately identify consumer and residential mortgage loans for impairment
disclosures, unless such loans are the subject of a restructuring agreement.
Commercial real estate loans generally have greater credit risks compared to one- to
four-family residential mortgage loans, as they typically involve large loan balances concentrated
with single borrowers or groups of related borrowers. In addition, the payment experience on loans
secured by income-producing properties typically depends on the successful operation of the related
real estate project and thus may be subject to a greater extent to adverse conditions in the real
estate market and in the general economy.
Commercial business loans involve a greater risk of default than residential mortgage loans of
like duration since their repayment generally depends on the successful operation of the borrower's
business and the sufficiency of collateral, if any. Loans secured by multi-family residential
mortgages generally involve a greater degree of credit risk than one- to four-family residential
mortgage loans and carry larger loan balances. This increased credit risk is a result of several
factors, including the concentration of principal in a limited number of loans and borrowers, the
effects of general economic conditions on income producing properties, and the increased difficulty
of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by
multi-family mortgages typically depends upon the successful operation of the related real estate
property. If the cash flow from the project is reduced, the borrower's ability to repay the loan
may be impaired.
Real estate construction loans generally have greater credit risk than traditional one- to
four-family residential mortgage loans. The repayment of these loans depends upon the sale of the
property to third parties or the availability of permanent financing upon completion of all
improvements. In the event we make a loan on property that is not yet approved for the planned
development, there is the risk that approvals will not be granted or will be delayed. These events
may adversely affect the borrower and the collateral value of the property. Real estate
construction loans also expose us to the risk that improvements will not be completed on time in
accordance with specifications and projected costs. In addition, the ultimate sale or rental of
the property may not occur as anticipated.
We periodically evaluate the carrying value of loans and the allowance is adjusted
accordingly. While we use the best information available to make evaluations, future adjustments
to the allowance may be necessary if conditions differ substantially from the information used in
making the evaluations. In addition, as an integral part of their examination process, the Office
of Thrift Supervision periodically reviews the allowance for loan losses. The Office of Thrift
Supervision may require us to recognize additions to the allowance based on their analysis of
information available to them at the time of their examination.
The following table sets forth activity in our allowance for loan losses for the periods
indicated.
89
Table of Contents
At or For the
Six Months Ended
June 30,
At or For the Years Ended December 31,
2009
2008
2008
2007
2006
2005
2004
(Dollars in thousands)
Balance at beginning of period
$
8,270
$
7,386
$
7,386
$
7,049
$
4,792
$
5,408
$
5,439
Charge-offs:
Real estate loans:
One- to four-family
34
—
—
—
—
—
11
Home equity
—
—
—
—
—
10
—
Commercial real estate
—
—
—
51
27
282
191
Real estate construction
—
—
—
—
10
—
—
Consumer loans:
Automobile, indirect
1,322
900
1,890
2,026
2,875
2,840
3,139
Automobile, direct
31
77
120
45
576
612
935
Unsecured
488
698
1,139
1,242
877
2,198
1,627
Other
30
17
26
19
130
239
70
Commercial business loans
153
266
345
946
53
255
186
Total charge-offs
2,058
1,958
3,520
4,329
4,548
6,436
6,159
Recoveries:
Real estate loans:
One- to four-family
—
—
—
—
21
—
—
Home equity
—
—
—
—
—
—
—
Commercial real estate
—
—
—
—
1
—
—
Real estate construction
—
—
—
—
—
—
—
Consumer loans:
Automobile, indirect
140
136
296
505
466
174
495
Automobile, direct
—
5
8
52
184
49
96
Unsecured
69
155
256
230
17
69
67
Other
—
1
1
1
1
67
40
Commercial business loans
1
18
18
228
2
1
—
Total recoveries
210
315
579
1,016
692
360
698
Net charge-offs (recoveries)
1,848
1,643
2,941
3,313
3,856
6,076
5,461
Portfolio sales
—
—
—
—
—
(270
)
(3
)
Provision (recovery to allowance) for
loan losses
2,400
1,875
3,825
3,650
6,113
5,730
5,433
Balance at end of period
$
8,822
$
7,618
$
8,270
$
7,386
$
7,049
$
4,792
$
5,408
Ratios:
Net charge-offs to average loans
outstanding (annualized)
0.51
%
0.45
%
0.40
%
0.46
%
0.52
%
0.76
%
0.70
%
Allowance for loan losses to
non-performing loans at end of
period
158.30
92.91
145.06
248.52
213.67
256.81
205.71
Allowance for loan losses to total
loans at end of period
1.20
1.07
1.14
1.04
0.96
0.60
0.62
90
Table of Contents
Allocation of Allowance for Loan Losses.
The following table sets forth the allowance for
loan losses allocated by loan category and the percent of loans in each category to total loans at
the dates indicated. The allowance for loan losses allocated to each category is not necessarily
indicative of future losses in any particular category and does not restrict the use of the
allowance to absorb losses in other categories.
At December 31,
At June 30,
2009
2008
2007
Percent of
Percent of
Percent of
Loans in Each
Loans in Each
Loans in Each
Allowance for
Category to
Allowance for
Category to
Allowance for
Category to
Loan Losses
Total Loans
Loan Losses
Total Loans
Loan Losses
Total Loans
(Dollars in thousands)
Real estate loans:
One- to four-family
$
908
35.52
%
$
936
33.96
%
$
641
29.60
%
Home equity
162
3.75
156
3.76
63
2.98
Commercial real estate
2,383
13.00
2,660
12.31
3,455
11.53
Real estate construction
447
5.51
1,204
6.34
301
6.05
Consumer loans:
Automobile, indirect
2,202
26.95
1,927
28.95
1,966
36.39
Automobile, direct
347
4.25
320
4.82
111
5.30
Unsecured
314
1.92
270
2.00
493
2.25
Other
61
0.75
53
0.81
21
0.99
Commercial business loans
1,998
8.35
744
7.05
335
4.91
Total
$
8,822
100.00
%
$
8,270
100.00
%
$
7,386
100.00
%
At December 31,
2006
2005
2004
Percent of
Percent of
Percent of
Loans in Each
Loans in Each
Loans in Each
Allowance for
Category to
Allowance for
Category to
Allowance for
Category to
Loan Losses
Total Loans
Loan Losses
Total Loans
Loan Losses
Total Loans
(Dollars in thousands)
Real estate loans:
One- to four-family
$
500
22.52
%
$
4
18.31
%
$
21
17.68
%
Home equity
58
2.63
9
2.85
17
2.93
Commercial real estate
725
10.16
395
6.79
106
4.98
Real estate construction
282
3.95
77
1.33
—
1.03
Consumer loans:
Automobile, indirect
2,867
49.19
2,870
59.34
2,686
60.92
Automobile, direct
552
6.19
748
6.34
1,306
5.99
Unsecured
481
2.38
400
2.20
940
2.72
Other
144
1.39
224
1.72
284
2.11
Commercial business loans
1,440
1.59
65
1.12
48
1.64
Total
$
7,049
100.00
%
$
4,792
100.00
%
$
5,408
100.00
%
Investments
The asset/liability management committee, consisting of OmniAmerican Bank's President and
Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, Chief Credit Officer,
Executive Vice Presidents of Risk, Mortgage Lending, Consumer Lending and the Senior Vice President
of Finance, has primary responsibility for establishing our investment policy and overseeing its
implementation, subject to oversight by our entire board of directors. Authority to make
investments under approved guidelines is delegated to the President and Chief Executive Officer,
the Chief Financial Officer, Senior Vice President of Finance, and in the absence of all three, two
other voting members of the asset/liability management committee. The committee meets at least
quarterly. All investment transactions are reported to the board of directors for ratification at
the next regular board meeting.
91
Table of Contents
The investment policy is reviewed at least annually by the full board of directors. This
policy dictates that investment decisions be made based on minimizing exposure to credit risk,
liquidity requirements, potential returns and consistency with our interest rate risk management
strategy.
Our current investment policy permits us to invest in mortgage-backed securities, including
pass-through securities, insured and guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae as well
as collateralized mortgage obligations ("CMOs") issued or backed by securities issued by Government
entities or Government-sponsored enterprises and private labels, as well as investment grade
bank-qualified municipal securities and investment grade corporate debt securities. The investment
policy also permits investments in certain trust preferred securities, certificates of deposit,
securities purchased under an agreement to resell, bankers acceptances, commercial paper and
federal funds.
Our current investment policy generally does not permit without prior approval by the board of
directors, interest rate swaps, financial futures/option transactions, purchases of high-risk
mortgage securities or securities denominated in currencies other than U.S. dollars. As a federal
savings bank, OmniAmerican Bank is generally not permitted to invest in equity securities. This
general restriction does not apply to OmniAmerican Bancorp, Inc., which may acquire up to 5% of
voting securities of any company without regulatory approval.
SFAS No. 115 requires that, at the time of purchase, we designate a security as
held-to-maturity, available-for-sale, or trading, depending on our ability and intent. Securities
available for sale are reported at fair value, while securities held to maturity are reported at
amortized cost. We do not maintain a trading portfolio. Establishing a trading portfolio would
require specific authorization by our board of directors.
Our available for sale securities portfolio at June 30, 2009, consisted of securities with the
following amortized cost: $128.3 million of mortgage-backed securities issued by United States
Government-sponsored enterprises, $26.9 million of collateralized mortgage obligations (including
$6.7 million of private-label collateralized mortgage obligations), $5.2 million of municipal
obligations, $7.8 million of trust preferred securities, $10.1 million of agency bonds and $3.0
million of equity securities comprised of a community reinvestment mutual fund, the CRA Qualified
Investment Fund.
Mortgage-Backed Securities.
We invest in mortgage-backed securities insured or guaranteed by
Fannie Mae, Freddie Mac or Ginnie Mae. Our policy allows us to purchase privately-issued
mortgage-backed securities rated "AA" or higher, although in practice we generally limit purchases
of such securities to those rated "AAA." We invest in mortgage-backed securities to achieve
positive interest rate spreads with minimal administrative expense, and to lower our credit risk as
a result of the guarantees provided by Freddie Mac, Fannie Mae or Ginnie Mae.
Mortgage-backed securities are created by pooling mortgages and issuing a security with an
interest rate that is less than the interest rate on the underlying mortgages. Mortgage-backed
securities typically represent a participation interest in a pool of single-family or multi-family
mortgages, although we invest primarily in mortgage-backed securities backed by one- to four-family
mortgages. The issuers of such securities pool and resell the participation interests in the form
of securities to investors such as OmniAmerican Bank. Some securities pools are guaranteed as to
payment of principal and interest to investors. Mortgage-backed securities generally yield less
than the loans that underlie such securities because of the cost of payment guarantees and credit
enhancements. However, mortgage-backed securities are more liquid than individual mortgage loans
since there is an active trading market for such securities. In addition, mortgage-backed
securities may be used to collateralize our specific liabilities and
92
Table of Contents
obligations. Finally, mortgage-backed securities are assigned lower risk weightings for
purposes of calculating our risk-based capital level.
Investments in mortgage-backed securities involve a risk that actual payments will be greater
or less than the prepayment rate estimated at the time of purchase, which may require adjustments
to the amortization of any premium or acceleration of any discount relating to such interests,
thereby affecting the net yield on our securities. We periodically review current prepayment
speeds to determine whether prepayment estimates require modification that could cause amortization
or accretion adjustments.
CMOs are debt securities issued by a special-purpose entity that aggregates pools of mortgages
and mortgage-backed securities and creates different classes of securities with varying maturities
and amortization schedules, as well as a residual interest, with each class possessing different
risk characteristics. The cash flows from the underlying collateral are generally divided into
"tranches" or classes that have descending priorities with respect to the distribution of principal
and interest cash flows, while cash flows on pass-through mortgage-backed securities are
distributed pro rata to all security holders. At June 30, 2009, all of the CMOs in our investment
portfolio were rated "AAA" by at least one of the major investment securities rating services.
Municipal Obligations.
Included in our investment securities portfolio are two variable rate
registered revenue bonds issued in Tennessee. We purchased these bonds as a higher yielding
short-term investment alternative to overnight federal funds sold. Both of these municipal bonds
are rated and/or insured and supported by a Letter of Credit from First Tennessee Bank in Memphis,
Tennessee.
Agency Bonds.
Agency bonds consist of a Federal Home Loan Bank discount note which has a term
of 30 years and is callable beginning on August 17, 2009. This bond was purchased as a higher
yielding short-term investment.
Trust Preferred Securities.
We own shares of the senior tranches of PreTSL XXVI and PreTSL
XXVIII, two pooled trust preferred securities issued primarily by holding companies of FDIC-insured
financial institutions. At June 30, 2009, these securities had an amortized cost basis of $7.8
million and a fair value of $5.9 million. Management has concluded that the decline in the fair
value of these trust preferred securities as of June 30, 2009 was temporary based on our analysis
of the securities which included a cash flow analysis and a stress analysis. We continue to closely
monitor these securities.
Other Equity Securities.
Other equity securities consist solely of an investment in a
community reinvestment mutual fund, the CRA Qualified Investment Fund, with a cost basis and fair
value of $3.0 million as of June 30, 2009. The fund's investment objective is to provide a high
level of current income consistent with the preservation of capital, and investments in our CRA
assessment area that qualify under the Community Reinvestment Act of 1977.
Investment Securities Portfolio.
The following table sets forth the composition of our
investment securities portfolio at the dates indicated, excluding Federal Home Loan Bank of Dallas
stock. All of such securities were classified as available for sale.
93
Table of Contents
At December 31,
At June 30, 2009
2008
2007
2006
Amortized
Amortized
Amortized
Amortized
Cost
Fair Value
Cost
Fair Value
Cost
Fair Value
Cost
Fair Value
(In thousands)
Mortgage-backed securities:
U.S. government
sponsored
mortgage-backed
securities:
Fannie Mae
$
67,602
$
70,075
$
97,722
$
100,100
$
111,172
$
111,383
$
88,307
$
86,539
Freddie Mac
58,757
60,924
79,004
81,188
101,214
102,047
57,548
56,537
Ginnie Mae
1,901
1,925
2,099
2,107
—
—
—
—
Collateralized
mortgage obligations
20,211
20,754
24,919
25,180
18,773
18,799
2,368
2,266
Private-label
collateralized mortgage
obligations
6,697
6,133
8,407
7,135
9,444
9,324
5,728
5,562
Total
mortgage-backed
securities
155,168
159,811
212,151
215,710
240,603
241,553
153,951
150,904
Agency bonds
10,078
10,078
—
—
—
—
—
—
Trust preferred securities
7,778
5,862
7,808
6,275
—
—
—
—
Municipal obligations
5,190
5,190
5,290
5,290
—
—
—
—
Other equity securities
3,000
3,052
3,000
3,029
3,000
3,032
—
—
Total
$
181,214
$
183,993
$
228,249
$
230,304
$
243,603
$
244,585
$
153,951
$
150,904
94
Table of Contents
Portfolio Maturities and Yields.
The composition and maturities of the investment securities
portfolio at June 30, 2009 are summarized in the following table. Maturities are based on the
final contractual payment dates, and do not reflect the impact of prepayments or early redemptions
that may occur.
More than One Year
More than Five Years
One Year or Less
through Five Years
through Ten Years
More than Ten Years
Total Securities
Weighted
Weighted
Weighted
Weighted
Weighted
Amortized
Average
Amortized
Average
Amortized
Average
Amortized
Average
Amortized
Average
Cost
Yield
Cost
Yield
Cost
Yield
Cost
Yield
Cost
Fair Value
Yield
(Dollars in thousands)
Mortgage-backed securities:
U.S. government sponsored
mortgage-backed securities:
Fannie Mae
$
1,756
4.10
%
$
4,928
4.48
%
$
39,431
4.94
%
$
21,487
5.59
%
$
67,602
$
70,075
5.09
%
Freddie Mac
432
3.86
2,478
4.45
23,040
4.82
32,807
5.54
58,757
60,924
5.20
Ginnie Mae
—
—
—
—
—
—
1,901
4.97
1,901
1,925
4.97
Collateralized mortgage
obligations
—
—
1,845
5.30
6,754
5.21
11,612
4.47
20,211
20,754
4.79
Private-label collateralized
mortgage obligations
—
—
—
—
1,603
4.72
5,094
5.48
6,697
6,133
5.30
Total mortgage-backed securities
2,188
4.05
9,251
4.64
70,828
4.92
72,901
5.36
155,168
159,811
5.10
Agency bonds
—
—
—
—
—
—
10,078
2.25
10,078
10,078
2.25
Trust preferred securities
—
—
7,778
1.93
—
—
—
—
7,778
5,862
1.93
Municipal obligations
(1)
—
—
5,190
1.69
—
—
—
—
5,190
5,190
1.69
Other equity securities
3,000
3.86
—
—
—
—
—
—
3,000
3,052
3.86
Total
$
5,188
3.94
%
$
22,219
3.00
%
$
70,828
4.92
%
$
82,979
4.99
%
$
181,214
$
183,993
4.69
%
(1)
The tax equivalent yield of municipal obligations was —% for maturities of one year or less,
2.56% for maturities of more than one year through five years, —% for maturities for more
than five years through ten years, —% for maturities of more than 10 years and 2.56% for the
total municipal obligations securities portfolio at June 30, 2009.
95
Table of Contents
Sources of Funds
General.
Deposits traditionally have been our primary source of funds for our lending and
investment activities. We also borrow, primarily from the Federal Home Loan Bank of Dallas, to
supplement cash flow needs, to lengthen the maturities of liabilities for interest rate risk
management purposes and to manage our cost of funds. Our additional sources of funds are the
proceeds of loan sales, scheduled loan payments, maturing investments, loan prepayments,
collateralized wholesale borrowings, retained earnings and income on other earning assets.
Deposits.
We generate deposits primarily from the areas in which our branch offices are
located. We rely on our competitive pricing, convenient locations and customer service to attract
and retain deposits. We offer a variety of deposit accounts with a range of interest rates and
terms. Our deposit accounts consist of savings accounts, demand accounts, money market accounts
and certificates of deposit. At June 30, 2009, we had $10.4 million in brokered deposits. All of
our brokered deposits are through the CDARS network. When a customer makes a deposit and requests
the full protection of FDIC insurance, but where such deposit exceeds applicable limits, we use the
CDARS network to place the funds into certificates of deposit issued by banks in the network so
that the full amount of the deposit is insured by the FDIC. The CDARS network matching system
allows network members to exchange funds for a fee. This exchange occurs on a dollar-for-dollar
basis, so that the equivalent of the original deposit comes back to us. We do not plan to emphasize
this program in the future.
Interest rates, maturity terms, service fees and withdrawal penalties are established on a
periodic basis. Deposit rates and terms are based primarily on current operating strategies and
market interest rates, liquidity requirements, interest rates paid by competitors and our deposit
growth goals.
At June 30, 2009, we had a total of $338.5 million in certificates of deposit, of which $284.3
million had remaining maturities of one year or less. Based on historical experience and our
current pricing strategy, we believe we will retain a large portion of these accounts upon
maturity.
The following tables set forth the distribution of our average total deposit accounts, by
account type, for the periods indicated.
For the Six Months Ended
For the Year Ended
June 30, 2009
December 31, 2008
Weighted
Weighted
Average
Average
Average
Average
Balance
Percent
Rate
Balance
Percent
Rate
(Dollars in thousands)
Deposit type:
Noninterest bearing demand
$
67,699
8.98
%
—
%
$
67,591
9.14
%
—
%
Interest-bearing demand
64,371
8.53
0.43
62,176
8.41
0.59
Savings accounts
194,465
25.78
0.77
189,523
25.62
1.12
Money market
83,382
11.06
1.24
77,971
10.54
2.06
Certificates of deposit
344,334
45.65
3.30
342,315
46.29
4.09
Total deposits
$
754,251
100.00
%
2.07
%
$
739,576
100.00
%
2.69
%
96
Table of Contents
For the Years Ended December 31,
2007
2006
Weighted
Weighted
Average
Average
Average
Average
Balance
Percent
Rate
Balance
Percent
Rate
(Dollars in thousands)
Deposit type:
Noninterest-bearing demand
$
66,715
8.80
%
—
%
$
55,857
8.06
%
—
%
Interest-bearing demand
62,211
8.21
0.73
78,149
11.28
0.69
Savings accounts
200,721
26.48
1.50
231,938
33.48
1.53
Money market
104,200
13.74
3.49
50,586
7.30
2.08
Certificates of deposit
324,292
42.77
4.82
276,224
39.88
4.09
Total deposits
$
758,139
100.00
%
3.29
%
$
692,754
100.00
%
2.58
%
As of June 30, 2009, the aggregate amount of outstanding certificates of deposit in amounts
greater than or equal to $100,000 was approximately $118.9 million. The following table sets forth
the maturity of those certificates as of June 30, 2009.
At
June 30, 2009
(In thousands)
Three months or less
$
34,586
Over three months through six months
36,170
Over six months through one year
30,705
Over one year to three years
7,816
Over three years
9,639
Total
$
118,916
The following table sets forth the amount and maturities of time deposits at June 30, 2009.
At June 30, 2009
Period to Maturity
Less Than or
More Than
More Than
Equal to
One to
Two to
More Than
Percent of
One Year
Two Years
Three Years
Three Years
Total
Total
(Dollars in thousands)
Interest Rate Range:
Less than 2.00%
$
78,589
$
55
$
—
$
—
$
78,644
23.23
%
2.00% to 2.99%
74,802
6,132
787
1,427
83,148
24.56
3.00% to 3.99%
121,240
11,254
1,862
3,451
137,807
40.71
4.00% to 4.99%
9,255
2,130
403
24,615
36,403
10.75
5.00% to 5.99%
287
—
266
1,893
2,446
0.72
6.00% to 6.99%
94
—
—
—
94
0.03
Total
$
284,267
$
19,571
$
3,318
$
31,386
$
338,542
100.00
%
97
Table of Contents
The following table sets forth certificates of deposit classified by interest rate as of the
dates indicated.
At June 30,
At December 31,
2009
2008
2007
2006
(In thousands)
Interest Rate Range:
Less than 2.00%
$
78,644
$
3,610
$
609
$
486
2.00% to 2.99%
83,148
45,159
10,308
10,736
3.00% to 3.99%
137,807
229,150
46,930
48,709
4.00% to 4.99%
36,403
59,473
121,261
97,661
5.00% to 5.99%
2,446
4,929
147,999
133,554
6.00% to 6.99%
94
94
508
3,692
Total
$
338,542
$
342,415
$
327,615
$
294,838
Borrowings.
Our borrowings consist of advances from the Federal Home Loan Bank of Dallas,
borrowings under federal fund lines, participated loans that do not qualify as having been sold due
to our obligation to repurchase such loans, and funds borrowed under repurchase agreements. At
June 30, 2009, we had access to additional Federal Home Loan Bank advances of up to $204.9 million.
The following table sets forth information concerning balances and interest rates on our Federal
Home Loan Bank advances at the dates and for the periods indicated.
At or For the Six Months
Ended June 30,
At or For the Years Ended December 31,
2009
2008
2008
2007
2006
(Dollars in thousands)
Balance at end of period
$
117,900
$
181,900
$
169,900
$
156,900
$
128,900
Average balance during period
$
143,768
$
165,011
$
169,026
$
108,848
$
193,592
Maximum outstanding at any month end
$
159,900
181,900
$
189,650
$
156,900
$
246,479
Weighted average interest rate at end of period
3.97
%
4.49
%
4.20
%
4.46
%
3.76
%
Average interest rate during period
4.18
%
4.31
%
4.21
%
4.15
%
3.40
%
98
Table of Contents
The following table sets forth information concerning balances and interest rates on our
repurchase agreements at the dates and for the periods indicated.
At or For the Six Months
Ended June 30,
At or For the Years Ended December 31,
2009
2008
2008
2007
2006
(Dollars in thousands)
Balance at end of period
$
58,000
$
58,000
$
58,000
$
50,000
$
—
Average balance during period
$
58,000
$
57,429
$
57,716
$
21,781
$
—
Maximum outstanding at any month
end
$
58,000
$
58,000
$
58,000
$
50,000
$
—
Weighted average interest rate at
end of period
3.52
%
3.23
%
3.23
%
5.31
%
—
%
Average interest rate during period
3.67
%
3.65
%
3.47
%
5.38
%
—
%
The following table sets forth information concerning balances and interest rates on our other
secured borrowings at the dates and for the periods indicated.
At or For the Six Months
Ended June 30,
At or For the Years Ended December 31,
2009
2008
2008
2007
2006
(Dollars in thousands)
Balance at end of period
$
—
$
6,347
$
664
$
16,156
$
41,168
Average balance during period
$
—
$
11,623
$
6,781
$
27,568
$
59,261
Maximum outstanding at any month
end
$
—
$
15,225
$
15,225
$
25,105
$
74,218
Weighted average interest rate at
end of period
—
%
4.37
%
4.79
%
4.30
%
3.97
%
Average interest rate during period
—
%
5.39
%
6.58
%
4.64
%
4.21
%
Properties
We operate from our main office in Fort Worth, Texas, and from our 15 full-service branches
located in the Dallas/Fort Worth Metroplex and Hood County, Texas. The net book value of our
premises, land and equipment was $52.6 million at June 30, 2009. The following tables set forth
information with respect to our full-service banking offices, including the expiration date of
leases with respect to leased facilities.
Leased or
Year Acquired
Address
Owned
or Leased
Main Office:
1320 South University Dr.
Fort Worth, TX 76107
Owned
2004
Full Service Branches:
1320 South University Dr.
Fort Worth, TX 76107
Owned
2006
NAS/JRB FW Building 1870
Fort Worth, TX 76127
Leased (1)
1968
7800 White Settlement Road
Fort Worth, TX 76108
Owned
1991
1616 W. Northwest Highway
Grapevine, TX 76051
Leased(2)
2005
99
Table of Contents
Leased or
Year Acquired
Address
Owned
or Leased
1401 W. Walnut Hill Lane
Irving, TX 75038
Owned
1990
2311 West Euless Boulevard
Euless, TX 76040
Owned
1992
950 West Arbrook Boulevard
Arlington, TX 76015
Owned
1999
1000 Pennsylvania Avenue
Fort Worth, TX 76014
Owned
1995
6001 Bryant Irvin Road
Fort Worth, TX 76132
Owned
1996
803 East Lamar
Arlington, TX 76011
Leased(3)
2001
724 West Main Street
Suite 500
Lewisville, TX 75067
Leased(4)
1996
2330 East Rosedale Street
Fort Worth, TX 76105
Owned
1996
318 South Main
Weatherford, TX 76086
Owned
2003
8024 Denton Highway
Watauga, TX 76148
Owned
2002
1030 East Highway 377
Suite 138
Granbury, TX 76048
Leased(5)
2002
1204 W. Henderson Road
Cleburne, TX 76033
Owned
2003
2341 Justin Road
Flower Mound, TX 75248
Leased(6)
2009
(1)
Lease on a month-to-month basis.
(2)
Lease expires in 2015.
(3)
Lease expires in 2010.
(4)
Lease expires in 2009, branch will be consolidated into the Flower Mound location.
(5)
Lease expires in 2010.
(6)
Office operations are expected to commence in the fourth quarter of 2009 at this location.
Lease expires in 2019.
100
Table of Contents
Subsidiary Activities
OmniAmerican Bank has one inactive subsidiary, OmniAmerican, Inc.
Legal Proceedings
At June 30, 2009, we were not involved in any legal proceedings, the outcome of which we
believe would be material to our financial condition or results of operations.
Expense and Tax Allocation
OmniAmerican Bank will enter into an agreement with OmniAmerican Bancorp, Inc. to provide it
with certain administrative support services, whereby OmniAmerican Bank will be compensated at not
less than the fair market value of the services provided. In addition, OmniAmerican Bank and
OmniAmerican Bancorp, Inc. will enter into an agreement to establish a method for allocating and
for reimbursing the payment of their consolidated tax liability.
Personnel
As of June 30, 2009, we had 330 full-time employees and 42 part-time employees. Our employees
are not represented by any collective bargaining group. Management believes that we have a good
working relationship with our employees.
101
Table of Contents
SUPERVISION AND REGULATION
General
OmniAmerican Bank is supervised and examined by the Office of Thrift Supervision and is
subject to examination by the Federal Deposit Insurance Corporation. This regulation and
supervision establishes a comprehensive framework of activities in which an institution may engage
and is intended primarily for the protection of the Federal Deposit Insurance Corporation's deposit
insurance funds and depositors, and not for the protection of security holders. Under this system
of federal regulation, financial institutions are periodically examined to ensure that they satisfy
applicable standards with respect to their capital adequacy, assets, management, earnings,
liquidity and sensitivity to market interest rates. OmniAmerican Bank also is a member of and owns
stock in the Federal Home Loan Bank of Dallas, which is one of the twelve regional banks in the
Federal Home Loan Bank System. OmniAmerican Bank also is regulated to a lesser extent by the Board
of Governors of the Federal Reserve System ("Federal Reserve Board"), governing reserves to be
maintained against deposits and other matters. The Office of Thrift Supervision examines
OmniAmerican Bank and prepares reports for the consideration of its board of directors on any
operating deficiencies. OmniAmerican Bank's relationship with its depositors and borrowers also is
regulated to a great extent by federal law and, to a much lesser extent, state law, especially in
matters concerning the ownership of deposit accounts and the form and content of OmniAmerican
Bank's loan documents.
Any change in these laws or regulations, whether by the Federal Deposit Insurance Corporation,
the Office of Thrift Supervision or Congress, could have a material adverse impact on OmniAmerican
Bancorp, Inc., OmniAmerican Bank and their operations.
As a savings and loan holding company following the conversion, OmniAmerican Bancorp, Inc.
will be required to file certain reports with, will be subject to examination by, and otherwise
must comply with the rules and regulations of the Office of Thrift Supervision. OmniAmerican
Bancorp, Inc. will also be subject to the rules and regulations of the Securities and Exchange
Commission under the federal securities laws.
Certain of the regulatory requirements that are or will be applicable to OmniAmerican Bank and
OmniAmerican Bancorp, Inc. are described below. This description of statutes and regulations is
not intended to be a complete description of such statutes and regulations and their effects on
OmniAmerican Bank and OmniAmerican Bancorp, Inc., and is qualified in its entirety by reference to
the actual statutes and regulations.
Federal Banking Regulation
Business Activities.
A federal savings bank derives its lending and investment powers from
the Home Owners' Loan Act, as amended, and the regulations of the Office of Thrift Supervision.
Under these laws and regulations, OmniAmerican Bank may invest in mortgage loans secured by
residential and commercial real estate, commercial business and consumer loans, certain types of
debt securities and certain other assets, subject to applicable limits. OmniAmerican Bank also may
establish subsidiaries that may engage in activities not otherwise permissible for OmniAmerican
Bank, including real estate investment and securities and insurance brokerage.
Capital Requirements.
Office of Thrift Supervision regulations require savings banks to meet
three minimum capital standards: a 1.5% tangible capital ratio, a 4% leverage ratio (3% for savings
banks receiving the highest rating on the CAMELS rating system) and an 8% risk-based capital ratio.
102
Table of Contents
The risk-based capital standard for savings banks requires the maintenance of Tier 1 (core)
and total capital (which is defined as core capital and supplementary capital) to risk-weighted
assets of at least 4% and 8%, respectively. In determining the amount of risk-weighted assets, all
assets, including certain off-balance sheet assets, are multiplied by a risk-weight factor of 0% to
200%, assigned by the Office of Thrift Supervision, based on the risks believed inherent in the
type of asset. Core capital is defined as common stockholders' equity (including retained
earnings), certain noncumulative perpetual preferred stock and related surplus and minority
interests in equity accounts of consolidated subsidiaries, less intangibles other than certain
mortgage servicing rights and credit card relationships. The components of supplementary capital
include cumulative preferred stock, long-term perpetual preferred stock, mandatory convertible
securities, subordinated debt and intermediate preferred stock, the allowance for loan and lease
losses limited to a maximum of 1.25% of risk-weighted assets and up to 45% of net unrealized gains
on available-for-sale equity securities with readily determinable fair market values. Overall, the
amount of supplementary capital included as part of total capital cannot exceed 100% of core
capital. Additionally, a savings bank that retains credit risk in connection with an asset sale
may be required to maintain additional regulatory capital because of the purchaser's recourse
against the savings bank. In assessing an institution's capital adequacy, the Office of Thrift
Supervision takes into consideration not only these numeric factors but also qualitative factors as
well, and has the authority to establish higher capital requirements for individual associations
where necessary.
At June 30, 2009, OmniAmerican Bank's capital exceeded all applicable requirements. See
"Historical and Pro Forma Regulatory Capital Compliance."
Loans-to-One Borrower.
Generally, a federal savings bank may not make a loan or extend credit
to a single or related group of borrowers in excess of 15% of unimpaired capital and surplus. An
additional amount may be loaned, equal to 10% of unimpaired capital and surplus, if the loan is
secured by readily marketable collateral, which generally does not include real estate. As of June
30, 2009, OmniAmerican Bank's largest lending relationship with a single or related group of
borrowers totaled $13.2 million, which represented 14.5% of unimpaired capital and surplus.
Therefore, OmniAmerican Bank was in compliance with the loans-to-one borrower limitations.
Qualified Thrift Lender Test.
As a federal savings bank, OmniAmerican Bank must satisfy the
qualified thrift lender, or "QTL," test. Under the QTL test, OmniAmerican Bank must maintain at
least 65% of its "portfolio assets" in "qualified thrift investments" (primarily residential
mortgages and related investments, including mortgage-backed securities) in at least nine months of
the most recent 12-month period. "Portfolio assets" generally means total assets of a savings
bank, less the sum of specified liquid assets up to 20% of total assets, goodwill and other
intangible assets, and the value of property used in the conduct of the savings bank's business.
OmniAmerican Bank also may satisfy the QTL test by qualifying as a "domestic building and loan
association" as defined in the Internal Revenue Code.
A savings bank that fails the qualified thrift lender test must either convert to a commercial
bank charter or operate under specified restrictions set forth in the Home Owners' Loan Act. At
June 30, 2009, OmniAmerican Bank maintained approximately 80.17% of its portfolio assets in
qualified thrift investments and, therefore, satisfied the QTL test.
Capital Distributions.
Office of Thrift Supervision regulations govern capital distributions
by a federal savings bank, which include cash dividends, stock repurchases and other transactions
charged to the savings bank's capital account. A savings bank must file an application for
approval of a capital distribution if:
103
Table of Contents
•
the total capital distributions for the applicable calendar year exceed the sum of
the savings bank's net income for that year to date plus the savings bank's retained
net income for the preceding two years;
•
the savings bank would not be at least adequately capitalized following the
distribution;
•
the distribution would violate any applicable statute, regulation, agreement or
Office of Thrift Supervision-imposed condition; or
•
the savings bank is not eligible for expedited treatment of its filings.
Even if an application is not otherwise required, every savings bank that is a subsidiary of a
holding company must still file a notice with the Office of Thrift Supervision at least 30 days
before the board of directors declares a dividend or approves a capital distribution.
The Office of Thrift Supervision may disapprove a notice or application if:
•
the savings bank would be undercapitalized following the distribution;
•
the proposed capital distribution raises safety and soundness concerns; or
•
the capital distribution would violate a prohibition contained in any statute,
regulation or agreement.
In addition, the Federal Deposit Insurance Act provides that an insured depository institution
shall not make any capital distribution, if after making such distribution the institution would be
undercapitalized.
Liquidity.
A federal savings bank is required to maintain a sufficient amount of liquid
assets to ensure its safe and sound operation. We anticipate that our liquidity levels will
increase following the completion of the stock offering.
Community Reinvestment Act and Fair Lending Laws.
All savings banks have a responsibility
under the Community Reinvestment Act and related regulations of the Office of Thrift Supervision to
help meet the credit needs of their communities, including low- and moderate-income borrowers. In
connection with its examination of a federal savings bank, the Office of Thrift Supervision is
required to assess the savings bank's record of compliance with the Community Reinvestment Act. In
addition, the Equal Credit Opportunity Act and the Fair Housing Act prohibit lenders from
discriminating in their lending practices on the basis of characteristics specified in those
statutes. A savings bank's failure to comply with the provisions of the Community Reinvestment Act
could, at a minimum, result in denial of certain corporate applications such as branches or
mergers, or in restrictions on its activities. The failure to comply with the Equal Credit
Opportunity Act and the Fair Housing Act could result in enforcement actions by the Office of
Thrift Supervision, as well as other federal regulatory agencies and the Department of Justice.
OmniAmerican Bank received a satisfactory Community Reinvestment Act rating in its most recent
federal examination. The Community Reinvestment Act requires all Federal Deposit Insurance-insured
institutions to publicly disclose their rating.
Transactions with Related Parties.
A federal savings bank's authority to engage in
transactions with its affiliates is limited by Office of Thrift Supervision regulations and by
Sections 23A and 23B of
104
Table of Contents
the Federal Reserve Act and its implementing Regulation W promulgated by the Board of Governors of
the Federal Reserve System. An affiliate is generally a company that controls, or is under common
control with an insured depository institution such as OmniAmerican Bank. OmniAmerican Bancorp,
Inc. will be an affiliate of OmniAmerican Bank. In general, transactions between an insured
depository institution and its affiliates are subject to certain quantitative and collateral
requirements. In addition, Office of Thrift Supervision regulations prohibit a savings bank from
lending to any of its affiliates that are engaged in activities that are not permissible for bank
holding companies and from purchasing the securities of any affiliate, other than a subsidiary.
Finally, transactions with affiliates must be consistent with safe and sound banking practices, not
involve low-quality assets and be on terms that are as favorable to the institution as comparable
transactions with non-affiliates. The Office of Thrift Supervision requires savings banks to
maintain detailed records of all transactions with affiliates.
OmniAmerican Bank's authority to extend credit to its directors, executive officers and 10%
stockholders, as well as to entities controlled by such persons, is currently governed by the
requirements of Sections 22(g) and 22(h) of the Federal Reserve Act and Regulation O of the Federal
Reserve Board. Among other things, these provisions require that extensions of credit to insiders:
(i)
be made on terms that are substantially the same as, and follow credit
underwriting procedures that are not less stringent than, those prevailing for
comparable transactions with unaffiliated persons and that do not involve more than the
normal risk of repayment or present other unfavorable features; and
(ii)
not exceed certain limitations on the amount of credit extended to such
persons, individually and in the aggregate, which limits are based, in part, on the
amount of OmniAmerican Bank's capital.
In addition, extensions of credit in excess of certain limits must be approved by OmniAmerican
Bank's board of directors.
Enforcement.
The Office of Thrift Supervision has primary enforcement responsibility over
federal savings banks and has the authority to bring enforcement action against all
"institution-affiliated parties," including directors, officers, stockholders, and attorneys,
appraisers and accountants who knowingly or recklessly participate in wrongful action likely to
have an adverse effect on a federal savings bank. Formal enforcement action by the Office of
Thrift Supervision may range from the issuance of a capital directive or cease and desist order to
removal of officers and/or directors of the institution, and the appointment of a receiver or
conservator. Civil penalties cover a wide range of violations and actions, and range up to $25,000
per day, unless a finding of reckless disregard is made, in which case penalties may be as high as
$1 million per day. The Federal Deposit Insurance Corporation also has the authority to terminate
deposit insurance or to recommend to the Director of the Office of Thrift Supervision that
enforcement action be taken with respect to a particular savings institution. If action is not
taken by the Director, the Federal Deposit Insurance Corporation has authority to take action under
specified circumstances.
Standards for Safety and Soundness.
Federal law requires each federal banking agency to
prescribe certain standards for all insured depository institutions. These standards relate to,
among other things, internal controls, information systems and audit systems, loan documentation,
credit underwriting, interest rate risk exposure, asset growth, compensation, and other operational
and managerial standards as the agency deems appropriate. Interagency guidelines set forth the
safety and soundness standards that the federal banking agencies use to identify and address
problems at insured depository institutions before capital becomes impaired. If the appropriate
federal banking agency determines that an institution fails to
105
Table of Contents
meet any standard prescribed by the guidelines, the agency may require the institution to submit to
the agency an acceptable plan to achieve compliance with the standard. If an institution fails to
meet these standards, the appropriate federal banking agency may require the institution to
implement an acceptable compliance plan. Failure to implement such a plan can result in further
enforcement action, including the issuance of a cease and desist order or the imposition of civil
money penalties.
Regulatory Guidance to Subprime Lending.
The federal bank regulatory agencies have issued
regulatory guidance relating to the examination of financial institutions that are engaged in
significant subprime lending activities. The regulatory guidance emphasizes that the federal
banking agencies believe that responsible subprime lending can expand credit access for consumers
and offer attractive returns for the savings institution. The guidance is applicable to savings
institutions that have subprime lending programs greater than or equal to 25% of core capital. As
part of the regulatory guidance, examiners must provide greater scrutiny of (i) an institution's
ability to administer its higher risk subprime portfolio, (ii) the allowance for loan losses to
ensure that the portion of the allowance allocated to the subprime portfolio is sufficient to
absorb the estimated credit losses for the portfolio, and (iii) the level of risk-based capital
that the savings institution has to ensure that such capital levels are adequate to support the
savings institution's subprime lending activities. As of June 30, 2009, the Office of Thrift
Supervision has not required us to restrict our subprime lending activities. Nor has it required
us to maintain specific levels in our allowance for loan losses or risk based capital as a result
of our subprime lending activities.
Prompt Corrective Action Regulations
.
Under prompt corrective action regulations, the Office
of Thrift Supervision is authorized and, under certain circumstances, required to take supervisory
actions against undercapitalized savings banks. For this purpose, a savings bank is placed in one
of the following five categories based on the savings bank's capital:
•
well-capitalized (at least 5% leverage capital, 6% Tier 1 risk-based capital and 10%
total risk-based capital);
•
adequately capitalized (at least 4% leverage capital, 4% Tier 1 risk-based capital
and 8% total risk-based capital);
•
undercapitalized (less than 3% leverage capital, 4% Tier 1 risk-based capital or 8%
total risk-based capital);
•
significantly undercapitalized (less than 3% leverage capital, 3% Tier 1 risk-based
capital or 6% total risk-based capital); and
•
critically undercapitalized (less than 2% tangible capital).
Generally, the Office of Thrift Supervision is required to appoint a receiver or conservator
for a savings bank that is "critically undercapitalized" within specific time frames. The
regulations also provide that a capital restoration plan must be filed with the Office of Thrift
Supervision within 45 days of the date a savings bank receives notice that it is
"undercapitalized," "significantly undercapitalized" or "critically undercapitalized." Any holding
company of a savings bank that is required to submit a capital restoration plan must guarantee the
lesser of an amount equal to 5% of the savings bank's assets at the time it was notified or deemed
to be undercapitalized by the Office of Thrift Supervision, or the amount necessary to restore the
savings bank to adequately capitalized status. This guarantee remains in place until the Office of
Thrift Supervision notifies the savings bank that it has maintained adequately capitalized status
for each of four consecutive calendar quarters, and the Office of Thrift Supervision has
106
Table of Contents
the authority to require payment and collect payment under the guarantee. Failure by a holding
company to provide the required guarantee will result in certain operating restrictions on the
savings bank, such as restrictions on the ability to declare and pay dividends, pay executive
compensation and management fees, and increase assets or expand operations. The Office of Thrift
Supervision may also take any one of a number of discretionary supervisory actions against
undercapitalized savings banks, including the issuance of a capital directive and the replacement
of senior executive officers and directors.
At June 30, 2009, OmniAmerican Bank met the criteria for being considered "well-capitalized."
Recent Regulatory Developments.
In January 2008, we experienced a breach of security involving
our ATM/debit card system. In connection with this security breach, the Office of Thrift
Supervision conducted a review of our data and information technology systems and concluded that
our practices for monitoring our information technology and customer information security were
deficient. As a consequence of the conclusions drawn from the Office of Thrift Supervision review,
on March 17, 2008, the Office of Thrift Supervision issued a cease and desist order requiring that
we take prompt actions to adopt an information technology remediation and action plan to address
the deficiencies in our information technology security system and to comply with Office of Thrift
Supervision guidelines with respect to information technology risks and controls. The cease and
desist order also required that we review the expertise, training and resources of our information
technology personnel. Finally, the cease and desist order required that we develop an incident
response program to, among other things, promptly (i) identify information security breaches and
the scope of accessed or misused customer information, (ii) contain and control unauthorized access
or misuse of customer information, and (iii) notify customers of such breaches. As a consequence
of receiving the cease and desist order, the Office of Thrift Supervision designated OmniAmerican
Bank as an institution in "troubled condition" under the Office of Thrift Supervision's prompt
corrective action rules. We diligently took actions required under the cease and desist order to
remediate the deficiencies noted by the Office of Thrift Supervision and to fulfill the
requirements of the cease and desist order. On June 11, 2009, the Office of Thrift Supervision
terminated the cease and desist order and our designation as an institution in "troubled
condition."
On June 2, 2007, we entered into a memorandum of understanding, with the Office of Thrift
Supervision. As part of this memorandum, the Office of Thrift Supervision has asked us to take a
number of specific corrective actions, and has required that we not undertake certain actions
without prior Office of Thrift Supervision approval. The actions and forbearances required
OmniAmerican Bank to:
•
implement enhanced corporate governance practices;
•
hire qualified senior management and appoint an outside director with commercial
real estate expertise;
•
prepare, adopt and implement a revised business plan;
•
improve audit committee policies and practices, including hiring a qualified person
as the director of internal audit and ensuring that only independent directors serve on
the audit committee;
•
restrict our ability to enter into compensation arrangements without first obtaining
the Office of Thrift Supervision's non-objection;
•
prepare a compensation policy;
107
Table of Contents
•
adopt an asset classification policy and review our loan portfolio and classified
assets;
•
conduct an internal loan review and commercial real estate and commercial business
risk analysis; and
•
complete a detailed analysis of Bank Secrecy Act compliance and Bank Secrecy Act and
Office of Foreign Assets Control staffing and training, and ensure the adequacy of
OmniAmerican Bank's Customer Information Security Program, including the safeguarding
of customer information and our information technology policies, practices and
personnel.
The memorandum of understanding also requires that we make periodic reports to the Office of
Thrift Supervision as to our compliance with the requirements of the memorandum. Management
believes they have complied with the memorandum of understanding, and as of June 19, 2009, all of
the requirements of the memorandum had been suspended by the Office of Thrift Supervision,
except for the requirement that we adopt a revised asset classification policy providing for the
evaluation and classification of our assets on a regular basis and in a manner consistent with
Office of Thrift Supervision regulatory guidelines, we implement a loan review program that
identifies our classified assets and we reduce the level of exceptions identified through our
internal loan review program.
Insurance of Deposit Accounts.
OmniAmerican Bank is a member of the Deposit Insurance Fund,
which is administered by the Federal Deposit Insurance Corporation. Deposit accounts at
OmniAmerican Bank are insured by the Federal Deposit Insurance Corporation, generally up to a
maximum of $100,000 for each separately insured depositor and up to a maximum of $250,000 for
self-directed retirement accounts. However, the Federal Deposit Insurance Corporation increased the
deposit insurance available on all deposit accounts to $250,000, effective until December 31, 2013.
In addition, certain noninterest-bearing transaction accounts maintained with financial
institutions participating in the Federal Deposit Insurance Corporation's Temporary Liquidity
Guarantee Program are fully insured regardless of the dollar amount until June 30, 2010.
OmniAmerican Bank has opted to participate in the Federal Deposit Insurance Corporation's Temporary
Liquidity Guarantee Program. See "—Temporary Liquidity Guarantee Program."
The Federal Deposit Insurance Corporation imposes an assessment against institutions for
deposit insurance. This assessment is based on the risk category of the institution and, prior to
2009, ranged from 5 to 43 basis points of the institution's deposits. On December 22, 2008, the
Federal Deposit Insurance Corporation published a final rule that raises the current deposit
insurance assessment rates uniformly for all institutions by 7 basis points (to a range from 12 to
50 basis points) effective for the first quarter of 2009. On February 27, 2009, the Federal
Deposit Insurance Corporation issued a final rule that will alter the way the Federal Deposit
Insurance Corporation calculates federal deposit insurance assessment rates beginning in the second
quarter of 2009 and thereafter.
Under the rule, the Federal Deposit Insurance Corporation first establishes an institution's
initial base assessment rate. This initial base assessment rate ranges, depending on the risk
category of the institution, from 12 to 45 basis points. The Federal Deposit Insurance Corporation
then adjusts the initial base assessment (higher or lower) to obtain the total base assessment
rate. The adjustments to the initial base assessment rate are based upon an institution's levels
of unsecured debt, secured liabilities, and brokered deposits. The total base assessment rate
ranges from 7 to 77.5 basis points of the institution's deposits. Additionally, on May 22, 2009,
the Federal Deposit Insurance Corporation issued a final rule that imposed a special 5 basis points
assessment on each FDIC-insured depository institution's assets,
108
Table of Contents
minus its Tier 1 capital on June 30, 2009, which was collected on September 30, 2009. The special
assessment is capped at 10 basis points of an institution's domestic deposits. Future special
assessments could also be assessed. Based upon OmniAmerican Bank's review of the Federal Deposit
Insurance Corporation's new rule, its Federal Deposit Insurance Corporation premium assessment for
the second quarter of 2009 increased by approximately $580,000, including the special assessment.
Insurance of deposits may be terminated by the Federal Deposit Insurance Corporation upon a
finding that an institution has engaged in unsafe or unsound practices, is in an unsafe or unsound
condition to continue operations or has violated any applicable law, regulation, rule, order or
condition imposed by the Federal Deposit Insurance Corporation. We do not currently know of any
practice, condition or violation that may lead to termination of our deposit insurance.
In addition to the Federal Deposit Insurance Corporation assessments, the Financing
Corporation ("FICO") is authorized to impose and collect, with the approval of the Federal Deposit
Insurance Corporation, assessments for anticipated payments, issuance costs and custodial fees on
bonds issued by the FICO in the 1980s to recapitalize the former Federal Savings and Loan Insurance
Corporation. The bonds issued by the FICO are due to mature in 2017 through 2019. For the quarter
ended June 30, 2009, the annualized FICO assessment was equal to 1.04 basis points for each $100 in
domestic deposits maintained at an institution.
Temporary Liquidity Guarantee Program.
On October 14, 2008, the Federal Deposit Insurance
Corporation announced a new program — the Temporary Liquidity Guarantee Program, which guarantees
newly issued senior unsecured debt of a participating organization, up to certain limits
established for each institution, issued between October 14, 2008 and June 30, 2009. The Federal
Deposit Insurance Corporation will pay the unpaid principal and interest on Federal Deposit
Insurance Corporation-guaranteed debt instruments upon the uncured failure of the participating
entity to make timely payments of principal or interest in accordance with the terms of the
instrument. The guarantee will remain in effect until June 30, 2012. In return for the Federal
Deposit Insurance Corporation's guarantee, participating institutions will pay the Federal Deposit
Insurance Corporation a fee based on the amount and maturity of the debt. We opted not to
participate in this part of the Temporary Liquidity Guarantee Program.
The other part of the Temporary Liquidity Guarantee Program provides full federal deposit
insurance coverage for noninterest bearing transaction deposit accounts, regardless of dollar
amount, until December 31, 2009. An annualized 10 basis point assessment on balances in
noninterest-bearing transaction accounts that exceed the existing deposit insurance limit of
$250,000 will be assessed on a quarterly basis to insured depository institutions that have not
opted out of this component of the Temporary Liquidity Guarantee Program. We opted to participate
in this component of the Temporary Liquidity Guarantee Program. On August 26, 2009, the Federal
Deposit Insurance Corporation extended the program until June 30, 2010. Institutions have until
November 2, 2009 to decide whether they will opt out of the extension which takes effect on January
1, 2010. An annualized assessment rate between 15 and 25 basis points on balances in
noninterest-bearing transaction accounts that exceed the existing deposit insurance limit of
$250,000 will be assessed depending on the institution's risk category. We currently intend to opt
into the extension.
U.S. Treasury's Troubled Asset Relief Program Capital Purchase Program.
The Emergency
Economic Stabilization Act of 2008, which was enacted on October 3, 2008, provides the U.S.
Secretary of the Treasury with broad authority to implement certain actions to help restore
stability and liquidity to U.S. financial markets. One of the programs resulting from the
legislation is the Troubled Asset Relief
109
Table of Contents
Program Capital Purchase Program ("CPP"), which provides direct equity investment by the U.S.
Treasury Department in perpetual preferred stock of qualified financial institutions. The program
is voluntary and requires an institution to comply with a number of restrictions and provisions,
including limits on executive compensation, stock redemptions and declaration of dividends. The
CPP provides for a minimum investment of one percent of total risk-weighted assets and a maximum
investment equal to the lesser of three percent of total risk-weighted assets or $25 billion.
Participation in the program is not automatic and is subject to approval by the U.S. Treasury
Department. We opted not to participate in the CPP.
Prohibitions Against Tying Arrangements
.
Federal savings banks are prohibited, subject to
some exceptions, from extending credit to or offering any other service, or fixing or varying the
consideration for such extension of credit or service, on the condition that the customer obtain
some additional service from the institution or its affiliates or not obtain services of a
competitor of the institution.
Federal Home Loan Bank System.
OmniAmerican Bank is a member of the Federal Home Loan Bank
System, which consists of 12 regional Federal Home Loan Banks. The Federal Home Loan Bank System
provides a central credit facility primarily for member institutions as well as other entities
involved in home mortgage lending. As a member of the Federal Home Loan Bank of Dallas,
OmniAmerican Bank is required to acquire and hold shares of capital stock in the Federal Home Loan
Bank. As of June 30, 2009, OmniAmerican Bank was in compliance with this requirement.
Other Regulations
Interest and other charges collected or contracted for by OmniAmerican Bank are subject to
state usury laws and federal laws concerning interest rates. OmniAmerican Bank's operations are
also subject to federal laws applicable to credit transactions, such as the:
•
Truth-In-Lending Act, governing disclosures of credit terms to consumer borrowers;
•
Home Mortgage Disclosure Act, requiring financial institutions to provide
information to enable the public and public officials to determine whether a financial
institution is fulfilling its obligation to help meet the housing needs of the
community it serves;
•
Equal Credit Opportunity Act, prohibiting discrimination on the basis of race, creed
or other prohibited factors in extending credit;
•
Fair Credit Reporting Act, governing the use and provision of information to credit
reporting agencies;
•
Fair Debt Collection Act, governing the manner in which consumer debts may be
collected by collection agencies;
•
Truth in Savings Act; and
•
rules and regulations of the various federal agencies charged with the
responsibility of implementing such federal laws.
110
Table of Contents
The operations of OmniAmerican Bank also are subject to the:
•
Right to Financial Privacy Act, which imposes a duty to maintain confidentiality of
consumer financial records and prescribes procedures for complying with administrative
subpoenas of financial records;
•
Electronic Funds Transfer Act and Regulation E promulgated thereunder, which govern
automatic deposits to and withdrawals from deposit accounts and customers' rights and
liabilities arising from the use of automated teller machines and other electronic
banking services;
•
Check Clearing for the 21
st
Century Act (also known as "Check 21"), which
gives "substitute checks," such as digital check images and copies made from that
image, the same legal standing as the original paper check;
•
The USA PATRIOT Act, which requires savings banks to, among other things, establish
broadened anti-money laundering compliance programs, and due diligence policies and
controls to ensure the detection and reporting of money laundering. Such required
compliance programs are intended to supplement existing compliance requirements that
also apply to financial institutions under the Bank Secrecy Act and the Office of
Foreign Assets Control regulations; and
•
The Gramm-Leach-Bliley Act, which places limitations on the sharing of consumer
financial information by financial institutions with unaffiliated third parties.
Specifically, the Gramm-Leach-Bliley Act requires all financial institutions offering
financial products or services to retail customers to provide such customers with the
financial institution's privacy policy and provide such customers the opportunity to
"opt out" of the sharing of certain personal financial information with unaffiliated
third parties.
Holding Company Regulation
General
. Upon completion of the conversion, OmniAmerican Bancorp, Inc. will be a
non-diversified savings and loan holding company within the meaning of the Home Owners' Loan Act.
As such, OmniAmerican Bancorp, Inc. will be registered with the Office of Thrift Supervision and
will be subject to Office of Thrift Supervision regulations, examinations, supervision and
reporting requirements. In addition, the Office of Thrift Supervision will have enforcement
authority over OmniAmerican Bancorp, Inc. and its subsidiaries. Among other things, this authority
permits the Office of Thrift Supervision to restrict or prohibit activities that are determined to
be a serious risk to the subsidiary savings institution. Unlike bank holding companies, federal
savings and loan holding companies are not subject to any regulatory capital requirements or to
supervision by the Federal Reserve Board.
Permissible Activities.
Under present law, the business activities of OmniAmerican Bancorp,
Inc. will be generally limited to those activities permissible for financial holding companies
under Section 4(k) of the Bank Holding Company Act of 1956, as amended, or for multiple savings and
loan holding companies. A financial holding company may engage in activities that are financial in
nature, including underwriting equity securities and insurance as well as activities that are
incidental to financial activities or complementary to a financial activity. A multiple savings
and loan holding company is generally limited to activities permissible for bank holding companies
under Section 4(c)(8) of the Bank Holding Company Act, subject to the prior approval of the Office
of Thrift Supervision, and certain additional activities authorized by Office of Thrift Supervision
regulations.
111
Table of Contents
Federal law prohibits a savings and loan holding company, including OmniAmerican Bancorp,
Inc., directly or indirectly, or through one or more subsidiaries, from acquiring more than 5% of
another savings institution or holding company thereof, without prior written approval of the
Office of Thrift Supervision. It also prohibits the acquisition or retention of, with certain
exceptions, more than 5% of a nonsubsidiary company engaged in activities that are not closely
related to banking or financial in nature, or acquiring or retaining control of an institution that
is not federally insured. In evaluating applications by holding companies to acquire savings
institutions, the Office of Thrift Supervision must consider the financial and managerial
resources, future prospects of the company and institution involved, the effect of the acquisition
on the risk to the federal deposit insurance fund, the convenience and needs of the community and
competitive factors.
The Office of Thrift Supervision is prohibited from approving any acquisition that would
result in a multiple savings and loan holding company controlling savings institutions in more than
one state, subject to two exceptions:
(i)
the approval of interstate supervisory acquisitions by savings and loan holding
companies; and
(ii)
the acquisition of a savings institution in another state if the laws of the
state of the target savings institution specifically permit such acquisition.
The states vary in the extent to which they permit interstate savings and loan holding company
acquisitions.
Federal Securities Laws
We have filed with the Securities and Exchange Commission a registration statement under the
Securities Act of 1933 for the registration of the shares of common stock to be issued pursuant to
the stock offering. Upon completion of the stock offering, our common stock will be registered
with the Securities and Exchange Commission under the Securities Exchange Act of 1934. We will be
subject to the information, proxy solicitation, insider trading restrictions and other requirements
under the Securities Exchange Act of 1934.
The registration under the Securities Act of 1933 of shares of common stock to be issued in
the stock offering does not cover the resale of those shares. Shares of common stock purchased by
persons who are not our affiliates may be resold without registration. Shares purchased by our
affiliates will be subject to the resale restrictions of Rule 144 under the Securities Act of 1933.
If we meet the current public information requirements of Rule 144 under the Securities Act of
1933, each affiliate of ours that complies with the other conditions of Rule 144, including those
that require the affiliate's sale to be aggregated with those of other persons, would be able to
sell in the public market, without registration, a number of shares not to exceed, in any
three-month period, the greater of 1% of our outstanding shares, or the average weekly volume of
trading in the shares during the preceding four calendar weeks. In the future, we may permit
affiliates to have their shares registered for sale under the Securities Act of 1933.
112
Table of Contents
Sarbanes-Oxley Act of 2002
The Sarbanes-Oxley Act of 2002 addresses, among other issues, corporate governance, auditing
and accounting, executive compensation, and enhanced and timely disclosure of corporate
information. As directed by the Sarbanes-Oxley Act, our Chief Executive Officer and Chief Financial
Officer will be required to certify that our quarterly and annual reports do not contain any untrue
statement of a material fact. The rules adopted by the Securities and Exchange Commission under the
Sarbanes-Oxley Act have several requirements, including having these officers certify that: they
are responsible for establishing, maintaining and regularly evaluating the effectiveness of our
internal control over financial reporting; they have made certain disclosures to our auditors and
the audit committee of the board of directors about our internal control over financial reporting;
and they have included information in our quarterly and annual reports about their evaluation and
whether there have been changes in our internal control over financial reporting or in other
factors that could materially affect internal control over financial reporting. We will be subject
to further reporting and audit requirements beginning with the fiscal year ending December 31, 2010
under the requirements of the Sarbanes-Oxley Act. We will prepare policies, procedures and systems
designed to ensure compliance with these regulations.
TAXATION
Federal Taxation
General.
OmniAmerican Bancorp, Inc. and OmniAmerican Bank are subject to federal income
taxation in the same general manner as other corporations, with some exceptions discussed below.
The following discussion of federal taxation is intended only to summarize material federal income
tax matters and is not a comprehensive description of the tax rules applicable to OmniAmerican
Bancorp, Inc. and OmniAmerican Bank.
Method of Accounting
.
For federal income tax purposes, OmniAmerican Bank currently reports
its income and expenses on the accrual method of accounting and uses a tax year ending December
31st for filing its consolidated federal income tax returns. The Small Business Protection Act of
1996 eliminated the use of the reserve method of accounting for bad debt reserves by savings
institutions, effective for taxable years beginning after 1995.
Minimum Tax.
The Internal Revenue Code of 1986, as amended, imposes an alternative minimum
tax at a rate of 20% on a base of regular taxable income plus certain tax preferences, referred to
as "alternative minimum taxable income." The alternative minimum tax is payable to the extent
alternative minimum taxable income is in excess of an exemption amount. Net operating losses can,
in general, offset no more than 90% of alternative minimum taxable income. Certain payments of
alternative minimum tax may be used as credits against regular tax liabilities in future years. At
December 31, 2008, OmniAmerican Bank had no minimum tax credit carryforward.
Net Operating Loss Carryovers.
A financial institution may carry back net operating losses to
the preceding two taxable years and forward to the succeeding 20 taxable years. At June 30, 2009,
OmniAmerican Bank had a net operating loss carryforward of $2.4 million for federal income tax
purposes.
Corporate Dividends.
We may exclude from our income 100% of dividends received from
OmniAmerican Bank as a member of the same affiliated group of corporations.
Audit of Tax Returns.
OmniAmerican Bank's federal income tax returns have not been audited in
the most recent five-year period.
113
Table of Contents
State Taxation
In 2006, the State of Texas enacted legislation replacing its franchise tax with a margin tax
effective with tax reports filed on or after January 1, 2008. The Texas margin tax is computed by
applying the applicable tax rate (1% for most entities) to the margin. Margin equals the lesser of
three calculations: total revenue minus cost of goods sold; total revenue minus compensation; or
total revenue times 70%. Lending institutions may deduct interest expense as cost of goods sold.
Our calculation in 2008 was total revenue minus interest expense.
MANAGEMENT OF OMNIAMERICAN BANCORP, INC.
Shared Management Structure
The directors of OmniAmerican Bancorp, Inc. are the same persons who are the directors of
OmniAmerican Bank. In addition, each executive officer of OmniAmerican Bancorp, Inc. is also an
executive officer of OmniAmerican Bank. We expect that OmniAmerican Bancorp, Inc. and OmniAmerican
Bank will continue to have common executive officers until there is a business reason to establish
separate management structures.
Executive Officers of OmniAmerican Bancorp, Inc. and OmniAmerican Bank
The following table sets forth information regarding the executive officers of OmniAmerican
Bancorp, Inc. and OmniAmerican Bank with ages as of June 30, 2009.
Name
Age
Position
Tim Carter
54
President and Chief Executive Officer
Deborah B. Wilkinson
58
Senior Executive Vice President and Chief Financial Officer
Terry Almon
53
Senior Executive Vice President and Chief Operating Officer
Anne Holland
46
Senior Executive Vice President and Chief Lending Officer
Jane L. Adams
43
Executive Vice President and Chief Risk Officer
Wendy Gary
43
Executive Vice President, Consumer Lending
Robert Havran
60
Executive Vice President, Mortgage Lending
T.L. Arnold, Jr.
45
Executive Vice President and Chief Credit Officer
Maria Jones
59
Executive Vice President, Human Resources and Training
The executive officers of OmniAmerican Bancorp, Inc. and OmniAmerican Bank are elected
annually.
Directors of OmniAmerican Bancorp, Inc. and OmniAmerican Bank
OmniAmerican Bancorp, Inc. has nine directors. Directors serve three-year staggered terms.
Directors of OmniAmerican Bank will be elected by OmniAmerican Bancorp, Inc. as its sole
stockholder.
The following table states our directors' names, their ages as of June 30, 2009, the years
when they began serving as directors of OmniAmerican Bank and when their current term expires:
114
Table of Contents
Position(s) Held With
OmniAmerican Bancorp,
Director
Current Term
Name
Inc.
Age
Since*
Expires
Wayne P. Burchfield, Jr.
Chairman of the Board
55
2001
2012
Elaine Anderson
Vice Chairman
56
1996
2010
Tim Carter
President, Chief Executive Officer and Director
54
2007
2011
Joan Anthony
Director
59
1995
2011
James Herring
Director
67
1994
2010
Norm Carroll
Director
65
1996
2011
Patti Callan
Director
50
2006
2012
Pat Conley
Director
50
2006
2011
John Sammons, Jr.
Director
60
2009
2012
*
Includes service with OmniAmerican Bank as a credit union.
Board Independence
The board of directors has determined that each of our directors, with the exception of,
President and Chief Executive Officer Tim Carter, is "independent" as defined in the listing
standards of the Nasdaq Stock Market. Mr. Carter is not independent because he is one of our
executive officers. There were no transactions not required to be reported under "—Transactions
With Certain Related Persons," below that were considered in determining the independence of our
directors.
The Business Background of Our Directors and Executive Officers
The business experience for the past five years of each of our directors and executive
officers is set forth below. While many of our executive officers have recently become affiliated
with us, they have extensive experience in the financial services industry. As of June 30, 2009,
our executive officers have an average of over 19 years of experience working in the financial
services industry. Unless otherwise indicated, directors and executive officers have held their
positions for the past five years.
Directors:
Elaine Anderson
has served as Senior Vice President and Chief Compliance Officer of Texas
Health Resources, a 14 hospital health care system, since July 1991. She is also a certified public
accountant.
Joan Anthony
is a Human Resource Business Partner for Interstate Batteries, Inc., a wholesaler
and retailer of replacement brand batteries in North America. Previously from 1999 to 2006, she
was the Regional Human Resource Manager for Republic Beverage Company, a wine/spirits distributor
in Texas.
Wayne P. Burchfield, Jr.
is a certified public accountant and is President of Wayne P.
Burchfield, Jr., P.C. He has been a practicing accountant for over 30 years.
Patti Callan
, is a principal of Callan Consulting and has provided services for the healthcare
and insurance industries in the Dallas/Fort Worth area since 2001. Formerly she held executive
management positions for regional and national insurance companies and owned an independent
insurance agency.
115
Table of Contents
Norman G. Carroll
is currently retired. He was a Senior Procurement Specialist at Bell
Helicopter Textron, Inc., a manufacturer of aircraft from 1979 to 2006.
Tim Carter
has served as the President and Chief Executive Officer of OmniAmerican Bank since
2007. From 2004 until joining OmniAmerican Bank, he was the President and Chief Executive Officer
of United Way of Metropolitan Tarrant County. Mr. Carter has over 25 years of banking experience,
including serving as President of Texas Commerce Bank-Fort Worth and Chairman of Chase Bank-Fort
Worth. Mr. Carter was also the Mayor of the City of Bellaire from 1988 to 1992.
Patrick D. Conley
has served as an Audit Supervisor with the Office of the Inspector General
of the U.S. Department of Transportation since 1999. He also is a Certified Public Accountant.
James Herring
is the owner of Herring Construction Co. Mr. Herring also served as the Mayor
of the City of White Settlement from 1981 to 2002.
John F. Sammons, Jr.
is the Chairman and Chief Executive Officer of Mid-States Services, Inc.,
which provides food, commissary and vending services to the corrections industry nationwide, and
has served in that position since 1999. Mr. Sammons also served as the Mayor of the City of
Temple, Texas from 1980 to 1988.
Executive Officers Who Are Not Also Directors:
Terry M. Almon
is Senior Executive Vice President and Chief Operating Officer of OmniAmerican
Bank. She was appointed to her position in July of 2009. From 2007 to 2009, Ms. Almon was the owner
of Oklahoma Community Capital Corporation which was organized to purchase a bank and also provided
consulting services to small businesses and non-profit organizations. Ms. Almon has 19 years of
experience in the banking industry, including serving as President and Chief Executive Officer of
Arkansas Valley State Bank, Broken Arrow, Oklahoma between 2000 and 2007. She has also served as
Senior Vice President at Oklahoma National Bank, Tulsa, Oklahoma and Senior Vice President at
Stillwater National Bank, Stillwater, Oklahoma.
Deborah B. Wilkinson
has served as Senior Executive Vice President and Chief Financial Officer
of OmniAmerican Bank since July 2009. She has been with OmniAmerican Bank since 2006 serving most
recently as Executive Vice President and Chief Financial Officer. From 2003 to 2006, she was the
Executive Vice President of Operations and Administration of Marquette Commercial Finance, Inc.,
Dallas, Texas, a specialized financial services provider.
Jane L. Adams
has served as Executive Vice President and Chief Risk Officer of OmniAmerican
Bank since 2006. She has been with OmniAmerican Bank since 2000 serving most recently as Senior
Vice President of Risk Management from 2005 to 2006 and Senior Vice President of Audit Services
beginning in 2004.
Anne Holland
has been Senior Executive Vice President and Chief Lending Officer of
OmniAmerican Bank since 2009. She also served as Executive Vice President of OmniAmerican Bank's
Private Bank beginning in 2008. She is a certified financial planner and licensed securities
representative. From 2001 to 2008, she served as a financial consultant and project manager to a
variety of financial and real estate companies and associations. From 1985 to 2001, Ms. Holland
held various positions at JP Morgan Chase and its predecessors.
116
Table of Contents
Wendy Gary
has served as Executive Vice President of Consumer Lending of OmniAmerican Bank
since 2009. She has held various positions at OmniAmerican Bank since joining the bank in 1992.
Most recently she served as Executive Vice President and Chief of Lending Services from 2008 to
2009 and Senior Vice President of Consumer Lending Services from 2006 until 2008. She was Manager
of Special Projects beginning in 2005.
Robert E. Havran
has been Executive Vice President of Mortgage Banking of OmniAmerican Bank
since 2006. From 1997 to 2006, he was Senior Vice President and Manager of the Professional and
Executive Group of the Mortgage Department at Texas Bank in Fort Worth, Texas.
T.L. Arnold, Jr.
has served as Executive Vice President and Chief Credit Officer of
OmniAmerican Bank since August 2009. He has been with OmniAmerican Bank since 2008 serving most
recently as Senior Vice President and Chief Credit Officer. From 2007 to 2008, he was a Senior
Credit Officer at Marquette Financial Companies. From 2003 to 2007, Mr. Arnold was Executive Vice
President/Portfolio Manager of Marquette Commercial Finance, Inc.
Maria Jones
has served as Executive Vice President, Human Resources and Training of
OmniAmerican Bank as of July 2008. She has been with OmniAmerican Bank since 2006 serving most
recently as Senior Vice President, Human Resources. Previously, she was Senior Vice President,
Human Resources and Training at Compass Bank (formerly Texas Bank) from 1997 until 2006.
Meetings and Committees of the Board of Directors
We conduct business through meetings of our board of directors and its committees. During the
year ended December 31, 2008, the board of directors of OmniAmerican Bancorp, Inc. did not meet and
the board of directors of OmniAmerican Bank had 12 regular meetings and five special meetings. The
board of directors of OmniAmerican Bancorp, Inc. will establish the following standing committees:
the Compensation Committee, the Nominating and Corporate Governance Committee and the Audit
Committee. Each of these committees will operate under a written charter, which will govern their
composition, responsibilities and operations.
117
Table of Contents
The table below sets forth the directors of each of the listed standing committees on the
comparable committee of OmniAmerican Bank and the number of meetings. OmniAmerican Bank does not
have a standing Nominating and Corporate Governance Committee. The board of directors will
designate a current director as an "Audit Committee Financial Expert" for the Audit Committee, as
that term is defined by the rules and regulations of the Securities and Exchange Commission prior
to the completion of the conversion and offering.
Compensation
Audit
Joan Anthony*
Wayne P. Burchfield, Jr.
Patti Callan
Norm Carroll
James Herring
Pat Conley
John F. Sammons, Jr.
Elaine Anderson*
Elaine Anderson
Number of Meetings in Fiscal 2008:
8
12
*
Denotes committee chair as of June 30, 2009.
Director Fees
All non-employee directors received a fee of $300 per board and committee meeting attended in
fiscal 2008. The board has approved an increase in its fees and the implementation of an annual
retainer, commencing in the fourth quarter of 2009, at which time all non-employee directors will
receive an annual retainer of $20,000 (pro-rated for the partial year), a fee of $1,000 for each
board meeting and $750 for each committee meeting attended.
The following table sets forth for the year ended December 31, 2008 certain information as to
the total remuneration we paid to our directors other than Mr. Carter. Information with respect to
director fees paid to Mr. Carter is included below in "Executive Officer Compensation—Summary
Compensation Table."
Director Compensation Table For the Year Ended December 31, 2008
Fees Earned
or
Paid in
All Other
Name
Cash
(1)
Compensation
(2)
Total
Elaine Anderson
$
9,300
$
2,220
$
11,520
Joan Anthony
8,400
10
8,410
Wayne P. Burchfield
9,000
5,064
14,064
Patti Callan
11,400
4,468
15,868
Norm Carroll
11,100
56
11,156
Pat Conley
11,700
2,550
14,250
James Herring
9,000
6,000
15,000
Clyde Johnson
(3)
3,900
2,200
6,100
Lonnie Vance
(3)
2,700
—
2,700
(1)
See table below for breakdown of fees earned in 2008.
(2)
Consists of amounts paid for health insurance for directors. Board members are
reimbursed up to $500 per month for their cost of health insurance.
(3)
Resigned from the board in June 2008 due to health reasons.
118
Table of Contents
The table below identifies the meetings, by type, for which each non-employee director
received compensation from OmniAmerican Bank during the 2008 fiscal year.
Regular
Special
Executive
Audit
Compliance
Compensation
Board
Board
Committee
Committee
Committee
Committee
Other
Name
Meetings
Meetings
Meetings
Meetings
Meetings
Meetings
Meetings
Elaine Anderson
$
3,000
$
1,200
$
—
$
900
$
3,000
$
1,200
$
—
Joan Anthony
3,600
900
1,200
—
300
2,100
300
Wayne P. Burchfield
3,600
1,500
—
3,600
—
—
300
Patti Callan
3,600
1,200
—
900
3,000
2,400
300
Norm Carroll
3,600
1,500
—
3,600
2,100
—
300
Pat Conley
3,600
1,200
—
3,600
2,700
600
—
James Herring
3,600
1,200
1,200
—
300
2,100
600
Clyde Johnson
1,500
1,200
1,200
—
—
—
—
Lonnie Vance
900
600
1,200
—
—
—
—
Compensation Discussion and Analysis
Our Compensation Philosophy
. Our compensation philosophy begins with the premise that the
success of OmniAmerican Bancorp, Inc. depends, in large part, on the dedication and commitment of
the people we place in key management positions, and the incentives we provide such persons to
successfully implement our business strategy and other corporate objectives. However, we recognize
that OmniAmerican Bank operates in a competitive environment for talent. Therefore, our approach
to compensation considers the full range of compensation alternatives to enable us to compete with
our peers as we seek to attract and retain key personnel.
We intend to base our compensation decisions as a public company on four basic principles:
•
Meeting the Demands of the Market — Our goal is to compensate our employees at
competitive levels so we are considered the employer of choice among our peers who
provide similar financial services in the markets we serve.
•
Aligning Management's Interest with Shareholders — We intend to use equity
compensation as a key component of our compensation mix to develop a culture of
ownership among our key personnel and to align their individual financial interests
with the interests of our shareholders.
•
Driving Performance — We will base compensation in part on the attainment of
company-wide, business unit and individual targets that contribute to our earnings.
•
Reflecting our Business Philosophy — Our approach to compensation reflects our
values and the way we do business in the communities we serve.
Prior to our initial public offering, our compensation program relied on two primary elements:
(i) base compensation or salary; and (ii) discretionary cash-based, short-term incentive
compensation. Following our initial public offering, we expect that equity-based, long-term
incentive compensation will also become an important element of our executive compensation program.
Our ability to introduce equity awards to our compensation mix will depend on shareholder approval
of an equity-based compensation program and compliance with applicable regulatory guidelines
relating to such programs. As a public company, we believe that we can meet the objectives of our
compensation philosophy by achieving a balance among these three elements of compensation that is
competitive with our industry
119
Table of Contents
peers and that creates appropriate incentives for our management team. To achieve the necessary
balance, we expect that the Compensation Committee of our board of directors will work closely with
independent compensation advisors to provide us with their expertise on competitive compensation
practices and help us evaluate and compare our compensation program and financial performance with
that of our peers.
To date, executive officers have been compensated only for their services to OmniAmerican
Bank. OmniAmerican Bank expects to continue this practice. OmniAmerican Bancorp, Inc. will not
pay any additional or separate compensation until we have a business reason to establish separate
compensation programs. However, any future equity-based awards made as part of OmniAmerican Bank's
executive compensation will be made in OmniAmerican Bancorp, Inc. common stock rather than
OmniAmerican Bank common stock.
This discussion is focused primarily on the compensation of our Named Executive Officers, each
of whom is named in the Summary Compensation Table which appears later in this section.
Role of the Compensation Committee
. The Compensation Committee of OmniAmerican Bank's board
of directors is appointed annually by the board of directors and is responsible for overseeing and
making recommendations to the board of directors with respect to the compensation of the Named
Executive Officers, including the President and Chief Executive Officer. As part of these duties,
the Compensation Committee conducts an annual performance review of the President and Chief
Executive Officer and, in consultation with the President and Chief Executive Officer and Executive
Vice President Human Resources, reviews the performance of each other Named Executive Officer. The
board of directors has ultimate authority to approve the compensation of all Named Executive
Officers, including the President and Chief Executive Officer.
The Compensation Committee ensures that the compensation programs are designed to encourage
high levels of performance and provide ongoing professional development, promote accountability and
adherence to the Bank's Code of Ethics and Standards of Conduct policies, ensure employee
performance is aligned with the short-term and long-term strategic goals of the Bank and to serve
the best interests of the organization. The Compensation Committee and Pension Committee also
review, oversee, and approve (prior to recommendation to the board of directors for final approval)
the management and implementation of OmniAmerican Bank's principal employee benefit plans. The
Compensation Committee may undertake other duties related to oversight of the OmniAmerican Bank's
human resources function. The Compensation Committee has a formal charter that describes the
Committee's scope of authority and its duties.
The Compensation Committee consists of the following directors: Ms. Anthony (Chair), Ms.
Anderson, Ms. Callan, Mr. Herring and Mr. Sammons, Jr., all of whom are "independent" within the
meaning of Rule 5605 of the Nasdaq Stock Market.
Role of Executives in Committee Activities
. The executive officers who serve as a resource to
the Compensation Committee are the President and Chief Executive Officer, the Senior Executive Vice
President and Chief Financial Officer and the Executive Vice President Human Resources. The
President and Chief Executive Officer and the Executive Vice President Human Resources provide the
Compensation Committee with input regarding OmniAmerican Bank's employee compensation philosophy,
process, and compensation decisions for employees, including other Named Executive Officers. In
addition to providing factual information such as company-wide performance on relevant measures,
these executives articulate management's views on current compensation programs and processes,
recommend relevant performance measures to be used for future evaluations, and otherwise
120
Table of Contents
supply information to assist the Compensation Committee. At the request of the Compensation
Committee, the Executive Vice President Human Resources communicates directly with third-party
consultants, primarily to assist the Compensation Committee in evaluating relevant survey data and
to evaluate the estimated financial impact regarding any proposed changes to the various components
of compensation. The President and Chief Executive Officer also provides information about
individual performance assessments for the other Named Executive Officers, and, along with the
Executive Vice President Human Resources, expresses to the Compensation Committee his views on the
appropriate levels of compensation for the other Named Executive Officers for the ensuing year.
Executives participate in Compensation Committee activities purely in an informational and
advisory capacity and have no vote on Compensation Committee matters. Neither the President and
Chief Executive Officer nor the Senior Executive Vice President and Chief Financial Officer attend
those portions of Compensation Committee meetings during which their performance is evaluated or
their compensation is being determined. However, the Executive Vice President Human Resources
generally attends all portions of the Compensation Committee meeting during which compensation
matters are discussed. No executive officer other than the President and Chief Executive Officer
and Executive Vice President Human Resources attends those portions of Compensation Committee
meetings during which the performance of the Named Executive Officers is evaluated or their
compensation is being determined.
Use of Consultants
. The Compensation Committee periodically engages independent compensation
consultants to assist it in the compensation process for Named Executive Officers. The
consultants, who are retained by and report to the Compensation Committee, work with the Executive
Vice President Human Resources in performing services for the Compensation Committee. In addition,
the President and Chief Executive Officer, Senior Executive Vice President and Chief Financial
Officer, and Executive Vice President Human Resources typically are requested to provide
information and feedback. The consultants provide expertise and information about competitive
trends in the employment marketplace, including established and emerging compensation practices at
other companies. The consultants also provide survey data, and assist in assembling relevant
comparison groups for various purposes and establishing benchmarks for base salary and cash
incentives from the survey and comparison group data. The Compensation Committee engaged the firm
of Clark Consulting to serve as its independent compensation consultant in 2007 to assist the
Committee in determining the base salary and cash incentive targets for OmniAmerican Bank's
executive officers for the 2007 calendar year. A decision was made to forego changes in base
salary for senior vice presidents and above in January 2008 as a part of our planning to control
expenses of OmniAmerican Bank in the recessionary environment. Base salaries were evaluated and
adjusted for senior executive officers and above, including the Named Executive Officers (other
than our President and Chief Executive Officer), in July 2008. For the 2009 calendar year,
OmniAmerican Bank retained The Whitney Smith Company as independent compensation consultants to
assist the Compensation Committee in determining appropriate base salary for OmniAmerican Bank's
President and Chief Executive Officer's mid-year increase.
Compensation Objectives
. The overall objectives of OmniAmerican Bank's compensation programs
are to recruit and retain excellent management, officers and staff in critical positions, to
motivate and reward employees and officers (including the Named Executive Officers) for
performance, and to provide competitive compensation to attract talent to the organization. The
methods used to achieve these goals for Named Executive Officers are strongly influenced by the
compensation and employment practices of OmniAmerican Bank's competitors within the financial
services industry, and elsewhere in the marketplace. We also consider each Named Executive
Officer's individual performance and contribution in achieving corporate goals.
121
Table of Contents
Our compensation program is designed to reward the Named Executive Officers based on their
level of assigned management responsibilities, individual experience and performance levels, and
knowledge of our organization. The creation of long-term value is highly dependent on the
development and effective execution of a sound business strategy by our executive officers. Other
considerations influencing the design of our executive compensation program are:
•
We value experience in the financial services industry that promotes the safe and
sound operation of OmniAmerican Bank;
•
We value executives with sufficient experience in our markets relating to the needs
of our customers, products and investments in various phases of the economic cycle;
•
We operate in interest rate and credit markets that are often volatile. We value
disciplined decision-making that respects our business plan but adapts to change; and
•
We value the retention and development of incumbent executives who meet or exceed
performance objectives. Recruiting executives can be expensive, unpredictable, and
have a disruptive effect on our operations.
Components of Compensation
. Compensation in 2008 consisted primarily of base salary, annual
cash incentive awards based upon a cash incentive plan that was approved mid-year, broad-based
benefits generally available to all full-time employees, and perquisites available only to certain
Named Executive Officers.
Our 2008 compensation program for our Named Executive Officers consisted of the following key
elements:
•
base salary, which is designed to provide a reasonable level of predictable income
commensurate with market standards for the executive's position;
•
non-equity incentive compensation; and
•
modest retention bonuses for strategically selected key managers designed to provide
continuity and stability of leadership.
As noted above, we chose to forego increases to base salary for our senior vice presidents and
above in January 2008; however, we re-evaluated salaries mid-year and implemented increases for our
senior vice presidents and above, including our Named Executive Officers other than our President
and Chief Executive Officer, commencing in July 2008. We increased the base salary of our
President and Chief Executive Officer in September 2008.
In mid 2008, OmniAmerican Bank implemented an incentive compensation program for our executive
officers, including the Named Executive Officers, other than the President and Chief Executive
Officer. The incentive compensation program is based on the satisfaction of certain performance
criteria defined specifically for each officer. Further measurements were defined in the first
quarter of 2009 for the 2009 fiscal year and, on a going forward basis, incentive targets and
criteria will be established prior to or in the first quarter of each succeeding year. Under the
program, Named Executive Officers are entitled to an incentive bonus based on a predetermined
percentage of their base salary if they meet certain performance targets, which may change from
year to year. For 2008, the maximum bonus for our
122
Table of Contents
Named Executive Officers, other than our President and Chief Executive Officer, was approximately
7.5% of base salary, up to $15,000. Levels of achievement were set at threshold and target, with
the bonus level determined by the level of achievement of the performance criteria by the
applicable individual.
Following the Office of Thrift Supervision's formal and informal regulatory actions, we
offered certain of our senior management retention bonuses to provide continuity and stability of
leadership in key operational areas. These bonuses were paid in January 2009 and June 2009.
We also provide to our Named Executive Officers certain broad-based benefits available to all
qualifying employees of OmniAmerican Bank, as well as fringe benefits and perquisites, and
retirement and other termination benefits not generally available to all qualifying employees of
OmniAmerican Bank.
The following summarizes the significant broad-based benefits in which the Named Executive
Officers were eligible to participate in during 2008:
•
a defined contribution 401(k) profit-sharing plan;
•
medical coverage (all employees share between 15% to 66% of the cost, depending on
their elections);
•
group term life insurance and accidental death and dismemberment (AD&D) policies;
•
long term disability insurance coverage;
•
health care and dependent care flexible spending accounts; and
•
several employee-paid supplemental insurance benefits available to full-time
employees, including supplemental life insurance (coverage for spouses and children
also offered); supplemental short-term disability; AFLAC/cancer; personal accident;
personal recovery; intensive care; hospital care, long term care; and Hyatt pre-paid
legal coverage.
The Named Executive Officers also are eligible for an executive long-term disability plan,
with a maximum monthly benefit of $2,500. The benefit is only available to our senior vice
presidents and above. Ms. Adams is presently the only Named Executive Officer participating in
this benefit.
OmniAmerican Bank provides our President and Chief Executive Officer with perquisites not
generally available to its other Named Executive Officers. OmniAmerican Bank incurs the expense of
one country club membership for Mr. Carter as well as memberships in other social and professional
organizations and clubs in order to facilitate business development for OmniAmerican Bank. In lieu
of a monthly automobile allowance, Mr. Carter has use of an automobile (including all operating
expenses) owned by OmniAmerican Bank for business and personal use. Personal use of the automobile
is reported as taxable income to Mr. Carter. In addition, we reimburse Mr. Carter for one-half of
his premium cost on a life insurance policy with a death benefit of $1 million, as well as for the
cost of medical, dental and vision coverage and short and long-term disability coverage. We also
provide Mr. Carter with long-term care insurance and pay the cost of his annual health
examinations.
Our compensation program has not materially changed in 2009. For 2009, we continue to measure
short-term incentive compensation by identifying corporate strategic key incentive goals and
123
Table of Contents
individual goals. In addition, we have generally increased base salary by approximately 3% to
6.25%, in order to conform with cost of living adjustments and to recognize performance, where
applicable. However, based upon the results of the Whitney Smith compensation survey and
comparison of banks in our peer group, we increased the base salary of our President and Chief
Executive Officer to $450,000 from $367,500, in recognition of his leadership and efforts. We felt
it was appropriate to increase his base salary to a level commensurate with the salary of similarly
situated executives compensated at the 75th percentile of financial institutions with approximately
$1 billion in assets.
In addition to the components of executive compensation described above, Mr. Carter has an
employment agreement with OmniAmerican Bank. See "—Employment Agreements" for a description of
this agreement and for information about potential payments upon termination of employment with
OmniAmerican Bank. In connection with the offering, OmniAmerican Bank proposes to enter into a new
employment agreement with Mr. Carter that would replace the existing agreement and would be more
appropriate for the President and Chief Executive Officer of a subsidiary of a publicly traded
company. The employment agreement is designed to give OmniAmerican Bank the ability to retain the
services of the designated executive while reducing, to the extent possible, unnecessary
disruptions to OmniAmerican Bank's operations. The agreement is for a three-year period, will be
reviewed and renewed annually by the Compensation Committee of the board of directors, and will
provide for salary and bonus payments, as well as certain additional post-employment benefits,
primarily life insurance benefits and under certain conditions, health benefits. The employment
agreement has been negotiated directly with and recommended for board approval by, the Compensation
Committee. The Compensation Committee believes such agreement is consistent with industry
practices and desirable for retaining executive talent.
We will also enter into a change in control agreement with each of our senior executive
vice-presidents, Ms. Deborah B. Wilkinson, our Senior Executive Vice President and Chief Financial
Officer, Ms. Terry Almon, our Senior Executive Vice President and Chief Operating Officer, and Ms.
Anne Holland, our Senior Executive Vice President and Chief Lending Officer. See "—Change in
Control Agreement" for a description of these agreements and for information about potential
payments upon termination of employment with OmniAmerican Bank.
Analyzing the Components of Compensation
. Currently, the Compensation Committee analyzes the
level and relative mix of each of the principal components of compensation for Named Executive
Officers. The President and Chief Executive Officer and the Executive Vice President Human
Resources also make recommendations to the Committee relating to compensation to be paid to the
other Named Executive Officers Based on this analysis, the Compensation Committee makes annual
recommendations to the independent members of the board of directors about each Named Executive
Officer's compensation.
The Compensation Committee reviews the other components of executive compensation (broad-based
benefits and executive perquisites), but does not necessarily recommend changes to those components
on an annual basis. Changes to the level or types of benefits within these categories, including
considerations relating to the addition or elimination of benefits and plan design changes, are
made by the Compensation Committee on an aggregate basis with respect to the group of employees
entitled to those benefits, and not with reference to a particular Named Executive Officer's
compensation. Decisions about these components of compensation are made without reference to the
Named Executive Officers' salary and annual cash incentives, as they involve issues of more general
application and often include consideration of trends in the industry or in the employment
marketplace.
124
Table of Contents
The Compensation Committee seeks to create what it believes is the best mix of base salary and
annual cash incentives in delivering the Named Executive Officers' total cash compensation. These
components are evaluated in relation to market-based, benchmark data derived from information
reported in publicly-available proxy statements or from market survey data.
The Compensation Committee recommends for board approval the base salary and annual incentive
cash award components for each Named Executive Officer, including the President and Chief Executive
Officer. Base salary changes are made with respect to Named Executive Officers mid-year, in July.
Such changes typically remain in effect for a 12-month period. For July 2009, base salary changes
were made primarily based upon assessment of individual performance, and to a lesser extent changes
in employee responsibility. With respect to the President and Chief Executive Officer, the
Compensation Committee determined that it would be appropriate to increase the President and Chief
Executive Officer's base salary to a level that is in the 75th percentile of persons holding a
comparable title in financial institutions of a similar size.
The process of assembling target total cash compensation for the Named Executive Officers is
forward-looking in nature. The at-risk annual incentive cash award component is based on the
expectation that target levels of performance will be achieved over the following year. Actual
performance over the applicable measurement period may exceed or fall short of the targets
resulting in the Named Executive Officer receiving an annual incentive cash award that is above or
below the initial targeted level.
The annual incentive cash awards granted in 2008 were not taken into account by the
Compensation Committee in the process of setting compensation targets for the 2009. The Committee
believes that doing so would be inconsistent with the underlying reasons for the use of at-risk
compensation. If current year awards were increased to make up for below-target performance in
prior years or decreased to account for above-target performance in prior years, the Committee
would be diluting or eliminating the link between performance and reward.
The objective of the compensation-setting process is to establish the appropriate level and
mix of total compensation for each Named Executive Officer. The Compensation Committee believes
that the accounting treatment of any given element of total cash compensation is a relevant
consideration in the design and compensation-setting process and considers the effect, as
applicable, when determining total cash compensation.
The Compensation Committee considers, but does not give undue weight to, the tax treatment of
each component of compensation. Under Section 162(m) of the Internal Revenue Code, annual
compensation paid to certain Named Executive Officers of publicly traded companies is not
deductible if it exceeds $1 million unless it qualifies as "performance-based compensation" as
defined in the Internal Revenue Code and related tax regulations. Base salary is not a form of
performance-based compensation. Many fringe benefits also do not qualify as performance-based
compensation. Annual incentive cash awards may qualify as a form of performance-based compensation
under the income tax regulations. In 2009 and for prior years, we have not been subject to tax
deduction limitations under Section 162(m).
Stock Ownership Guidelines
. Directors and Named Executive Officers have expressed their
intentions to participate in the stock offering and, at this time, we have not deemed it necessary
to establish any formal policies or guidelines addressing expected levels of stock ownership by the
directors or Named Executive Officers.
125
Table of Contents
Exceptions to Procedures
. The Compensation Committee may from time to time recommend to the
full board of directors that they approve the payment of special cash compensation to one or more
Named Executive Officers in addition to payments approved during the normal annual
compensation-setting cycle. The Committee may make such a recommendation if it believes it would
be appropriate to reward one or more Named Executive Officers in recognition of contributions to a
particular project, or in response to competitive and other factors that were not addressed during
the normal annual compensation-setting cycle.
The Committee will make off-cycle compensation decisions and recommendations whenever a
current employee is promoted to executive officer status, or an executive officer is hired. The
Committee may depart from the compensation guidelines it would normally follow for executives in
the case of outside hires.
Committee Actions During 2008 and 2009 Affecting 2009 Compensation
. As previously noted, a
decision was made to forego changes in base salary for our senior vice presidents and above in
January 2008 as part of our desire to control expenses of OmniAmerican Bank in the recessionary
environment. We re-evaluated this position in July 2008 and provided increases in base salary
consistent with the marketplace at that time for our senior vice presidents and above, including
our Named Executive Officers other than our President and Chief Executive Officer. We increased
the base salary of our President and Chief Executive Officer by five percent to $367,500 in
September 2008. In addition, we offered limited retention bonuses to certain key officers,
including Ms. Jane L. Adams, our Executive Vice President and Chief Risk Officer, and Mr. Tony A.
Lippert, formerly our Executive Vice President and Chief Information Officer. The Compensation
Committee again reviewed base salaries of senior vice presidents and above in June 2009 and made
certain market-based adjustments, effective in July 2009. In addition, commencing in 2008, we
implemented an incentive bonus program. Under the incentive bonus program, our Named Executive
Officers other than our President and Chief Executive Officer, would be entitled to incentive
bonuses upon the achievement of certain corporate and individual goals, which the Compensation
Committee established with the assistance of the President and Chief Executive Officer and the
Executive Vice President Human Resources. For 2009, we have included our President and Chief
Executive Officer in the incentive bonus program.
Annual Compensation-Chief Executive Officer
. As noted above, the Compensation Committee
recommends, and the board of directors approves, the base salary of its senior executive officers,
including Mr. Carter, on a mid-year basis. Details regarding base salary and annual incentive cash
awards are included in the detailed compensation tables following this section.
Following the death in 2007 of OmniAmerican Bank's then President and Chief Executive Officer,
OmniAmerican Bank implemented an extensive executive search and hired Tim Carter as its President
and Chief Executive Officer in June 2007. In the offer letter to Mr. Carter, OmniAmerican Bank
offered a base salary of $350,000 and a bonus potential of up to 30%, as well as certain welfare
benefits, including life, health, dental, short and long-term disability, long-term care insurance
for Mr. Carter and his wife, and additional perquisites, such as an annual physical.
In September 2008, the Compensation Committee increased Mr. Carter's base salary by five
percent, to $367,500. This increase was made shortly after his completion of his first year of
employment with OmniAmerican Bank and was established based on the recent financial performance of
OmniAmerican Bank, the estimated value of Mr. Carter's services in the marketplace, and the
Committee's view of Mr. Carter's critical role in the future success of OmniAmerican Bank. In
addition, in consideration of his performance during the 2008 calendar year, the Compensation
Committee
126
Table of Contents
recommended for board approval and the board of directors approved a bonus of 30% of Mr. Carter's
year-end base salary for the 2008 year. This bonus was paid to Mr. Carter in July 2009.
All Compensation Committee actions taken with respect to Mr. Carter's compensation were
presented as recommendations for approval by the full board of directors. The Committee's
recommendations regarding Mr. Carter's July 2008 to June 2009 base salary were approved by the full
board of directors in June 2008. The Committee's recommendations regarding Mr. Carter's base
salary for the period from July 2009 to June 2010 were approved by the full board of directors in
June 2009.
During the 2009 calendar year, the Compensation Committee retained The Whitney Smith Company
to provide recommendations with respect to the base salary and cash incentive target for Mr.
Carter's mid-year salary adjustment. The Whitney Smith Company provided market survey data
regarding CEO compensation for similarly sized financial institutions. The Executive Vice
President Human Resources reviewed the base salary and bonus information compiled by The Whitney
Smith Company, and then formulated a recommendation for the base salary and annual incentive cash
award components for the President and Chief Executive Officer for 2009. Due to Mr. Carter's
positive impact on the organization, base salary for Mr. Carter was targeted at approximately the
75th percentile of base salaries for executive officers in the same position at financial
institutions with assets of approximately one billion dollars.
Based upon this review, Mr. Carter's base salary for the period from July 2009 to June 2010
was established at $450,000.
Annual Compensation- Other Named Executive Officers
. As noted above, as part of our cost
containment efforts, no increases were made in the base salaries of any of our Named Executive
Officers in January 2008. Base salaries were evaluated and adjusted for the senior vice presidents
and above, including our Named Executive Officers (other than the President and Chief Executive
Officer) in July 2008.
In July 2009, the Compensation Committee recommended, and the full the board of directors
approved, the total cash components of annual compensation for all the Named Executive Officers.
Details regarding base salary and annual incentive cash awards made to the Named Executive Officers
are included in the detailed compensation tables following this section. The Committee evaluated
the overall level of total cash compensation for each Named Executive Officer (other than the Chief
Executive Officer) after considering the recent performance of OmniAmerican Bank and the role of
each Named Executive Officer, the criticality of each Named Executive Officer to the future success
of OmniAmerican Bank in attaining its goals and their experience, contribution and knowledge of our
organization. In addition, the Compensation Committee reviewed information provided to it by our
Executive Vice President Human Resources.
After establishing the target value for each Named Executive Officer's overall total cash
compensation, the Committee made detailed determinations for each element of that package in order
to arrive at the desired overall result:
•
Base Salary
: The Committee first set the 2009 mid-year base salary increases for
each Named Executive Officer, within target dollar ranges contemplated by internal
guidelines. Salary increases for the Named Executive Officers represented increases
ranging from 3% to 6.25%, compared to base salaries for the 2008-2009 period. The
mid-year 2009 base salary increases for the Named Executive Officer was approved by the
full board in June 2009, effective July 1, 2009.
127
Table of Contents
In July 2009, the Committee established the base salary of each of our Named Executive
Officers at $203,000 (for Ms. Wilkinson), $201,571 (for Ms. Adams) and $193,088 (for Mr. Havran),
respectively. The Committee considered the mix of compensation components related to OmniAmerican
Bank's short and long-term strategic plans and the Named Executive Officers' roles, experience,
responsibilities and knowledge of the organization.
Prospective Benefit Plans
. The board of directors has approved the establishment of an
employee stock ownership plan in connection with the stock offering. The employee stock ownership
plan will be a tax-qualified, broad-based employee benefit program. All Named Executive Officers,
including the Chief Executive Officer, will be eligible to receive benefits under this program. In
addition, OmniAmerican Bancorp, Inc. intends to establish an equity incentive plan officers and
directors no sooner than six months following our offering.
See "—Tax Qualified Benefit Plans" and "Benefits to be Considered Following Completion of the
Stock Offering" for additional information about the employee stock ownership plan and the
additional equity-based benefit plans.
128
Table of Contents
Executive Officer Compensation
Summary Compensation Table.
The table below summarizes the total compensation paid to or
earned by our President and Chief Executive Officer Tim Carter, our Senior Executive Vice President
and Chief Financial Officer Deborah B. Wilkinson, our Senior Vice President and Chief Credit
Officer Jane L. Adams, our Executive Vice President and Chief Information Officer Tony A. Lippert
and our Executive Vice President of Mortgage Lending Robert Havran for the year ended December 31,
2008. We refer to these individuals as "Named Executive Officers."
Summary Compensation table for the Year Ended December 31, 2008
Change in Pension
Value and
Nonqualified
Non-Equity
Deferred
All Other
Name and Principal
Incentive Plan
Compensation
Compensation
Position
Year
Salary
(1)
Bonus
Compensation
Earnings
(3)
Total
Tim Carter
2008
$
357,115
$
110,250
$
—
—
$
57,674
$
525,039
President and Chief
Executive Officer
Deborah B. Wilkinson
2008
205,180
—
14,000
—
10,634
229,814
Senior Executive Vice
President and Chief
Financial Officer
Jane L. Adams
2008
220,133
10,000
(2)
13,000
—
11,612
254,745
Senior Vice President
and Chief Risk Officer
Tony A. Lippert(4)
2008
195,899
25,000
13,500
—
10,225
244,624
Executive Vice President
and Chief Information
Officer
Robert Havran
2008
197,137
70,034
156,432
(5)
—
9,857
433,460
Executive Vice President,
Mortgage Lending
(1)
2008 salary information includes salary deferral contributions to the OmniAmerican Bank
401(k) Plan of $11,500 for Mr. Carter, $10,634 for Ms. Wilkinson, $11,007 for Ms. Adams,
$9,410 for Mr. Lippert and $9,857 for Mr. Havran.
(2)
Represents retention bonus.
(3)
The amount shown in this table represents the break-down of the benefits and perquisites
provided to the named executive officers by OmniAmerican Bank. The amounts reflect what we
have paid for, or reimbursed, the applicable Named Executive Officer for various benefits and
perquisites which the bank provides.
(4)
Mr. Lippert's employment with OmniAmerican Bank was terminated in August 2009.
(5)
Incentive Plan for the Executive Vice President, Mortgage Lending provides Mr. Havran a bonus
equal to 5% of the net income earned by the Mortgage Services Group before taxes, as reflected
on the monthly income statement.
129
Table of Contents
Mr. Carter
Ms. Wilkinson
Ms. Adams
Mr. Lippert
Mr. Havran
Employer 401(k) Matching
Contribution
$
11,500
$
10,634
$
11,007
$
9,410
$
9,857
Personal Use of Auto
1,882
—
—
—
—
Executive Physical Examination
3,166
—
—
—
—
Executive Life Insurance
5,514
—
—
—
—
Club Memberships
10,252
—
—
—
—
Long Term Care Insurance
5,573
—
—
—
—
Reimbursements/Payments:
Medical
14,532
—
—
—
—
Dental/Vision
564
—
—
—
—
Short Term Disability
1,080
—
—
—
—
Long Term Disability
3,611
—
605
815
—
Total
$
57,674
$
10,634
$
11,612
$
10,225
$
9,857
Employment Agreements.
OmniAmerican Bank entered into an employment agreement with Mr.
Carter, effective May 30, 2007. The agreement has an initial term of two years. Unless notice of
non-renewal is provided, the agreement renews annually commencing on the second anniversary of the
effective date so that the remaining term is one year. The agreement provides for payment of base
salary, which will be reviewed at least annually. Effective July 1, 2009, Mr. Carter's base salary
was increased to $450,000. In addition to base salary, Mr. Carter is entitled to receive an annual
incentive bonus in an amount determined by the board of directors in its sole discretion and to
participate in other employee pension benefit and fringe benefit plans applicable to executive
employees. In July 2009, Mr. Carter received a discretionary bonus of $110,250 based on his
performance for the 2008 calendar year. Mr. Carter will be reimbursed for business expenses
incurred, including reimbursement for use of an automobile and fees for memberships in a country
club and other social and professional clubs and organizations.
Mr. Carter is entitled to severance payments and benefits in the event of termination of
employment under specified circumstances, including his termination of employment for reasons other
than cause, disability, or death, or in the event Mr. Carter resigns during the term of the
agreement for any of the following reasons:
(1)
other than as a result of written direction from the Office of Thrift
Supervision, a material change in Mr. Carter's duties that are in effect as of the
effective date of the agreement that result in Executive's having significantly less
authority and/or responsibility without his consent;
(2)
the removal or failure to reappoint Mr. Carter as President and Chief Executive
Officer;
(3)
a reduction of Mr. Carter's base salary by an amount greater than five percent
of his current base salary;
(4)
failure to provide Mr. Carter with substantially the same fringe benefits
(including paid vacations) that were provided to him as of the effective date of the
agreement (other than a reduction generally applicable to more than five employees or
to senior executive officers);
130
Table of Contents
(5)
a relocation of Mr. Carter's principal place of employment by more than 50
miles from Forth Worth, Texas (without his consent).
In the event of Mr. Carter's involuntary termination or resignation from employment following
the occurrence of one of the circumstances identified above, Mr. Carter will be entitled to a
severance payment equal to one times his base salary, which will be payable in 12 equal monthly
installments. The severance payment will commence within 15 days of Mr. Carter's date of
termination, provided, however, if Mr. Carter is a "specified employee," as defined in Section 409A
of the Internal Revenue Code, then the payment will commence on the first day of the seventh
following Mr. Carter's date of termination. If Mr. Carter's employment is terminated at any time
for cause, he would have no right to compensation or other benefits for any period after his date
of termination. Upon Mr. Carter's termination due to death or incapacity, Mr. Carter, or his
beneficiary, will receive his base salary through the end of the month during which his termination
occurred, in addition to any unused vacation pay.
During the term of the employment agreement and for 12 months following the expiration or
termination of the employment agreement, Mr. Carter agrees not to provide services to any financial
institution in Tarrant, Dallas, Denton, Johnson and Hood Counties in the State of Texas and any
county adjacent to such counties.
The employment agreement also provides that in the event any severance payments or benefits
constitute an "excess parachute payment" under Section 280G of the Internal Revenue Code, such
benefits will be reduced accordingly to avoid penalties.
In connection with the conversion and stock offering, OmniAmerican Bank intends to enter into
a new employment agreement with Mr. Carter that will supersede and replace Mr. Carter's existing
employment agreement. The agreement has an initial term of three years. Unless notice of
non-renewal is provided, the agreement renews annually so that the remaining term is three years.
The agreement provides for payment of base salary, which will be reviewed at least annually, and
which may be increased, but not decreased (except for a decrease not in excess of any decrease that
is applicable generally to all executive officers, as defined at 12 U.S.C. § 215.2(e)). In
addition to base salary, Mr. Carter is entitled to participate in the bonus programs and other
employee pension benefit and fringe benefit plans applicable to executive employees, and will be
reimbursed for business expenses incurred, including fees for memberships in one country club and
certain other professional and social clubs and organizations. In addition, Mr. Carter will
receive an automobile for his business and personal use under the agreement or will be reimbursed
for use of his personal automobile.
In the event of Mr. Carter's involuntary termination of employment for reasons other than
cause, disability or death, or in the event Mr. Carter resigns during the term of the agreement for
"good reason," including such a termination or resignation following a change in control of OmniAmerican Bancorp or OmniAmerican Bank, Mr. Carter will be entitled to a severance payment equal to
three times the sum of his base salary and average rate of bonus awarded to him during the prior
three years payable in a single cash lump sum distribution; provided, however, that if termination
is following a change in control the severance payment will be equal to three times the sum of base
salary and highest level of bonus paid during the year or any of the three preceding years. In
addition, Mr. Carter will have the right to purchase such continued health care coverage for
himself and his family as is available to employees of OmniAmerican Bank under federal and Texas
state health care continuation laws for the maximum period permitted by law. OmniAmerican Bank
will reimburse him for the premiums through the end of the health care continuation period provided
by law and thereafter will assist Mr. Carter in purchasing individual coverage for the remainder of
a period of 36 months by paying up to $5,000 per month for such coverage. In addition,
OmniAmerican Bank will reimburse Mr. Carter for a period of three years
131
Table of Contents
following termination of employment for the cost of life insurance coverage substantially
comparable to the coverage maintained by OmniAmerican Bank for him prior to his termination. With
respect to the policy owned by Mr. Carter for which OmniAmerican Bank pays one-half of the premium,
OmniAmerican Bank will continue to make such payments for 36 months following his termination. For
purposes of this agreement, circumstances that constitute "good reason" to resign and receive such
payments and benefits are substantially similar to the circumstances that are listed in Mr.
Carter's existing employment agreement.
In addition, should Mr. Carter become disabled, OmniAmerican Bank is obligated to reimburse
Mr. Carter for 36 months for the cost of continued life insurance coverage substantially comparable
to the coverage maintained for Mr. Carter prior to his disability, provided, however that with
respect to the policy owned by Mr. Carter for which the bank pays one-half of the premium,
OmniAmerican Bank will continue the same co-pay arrangement for three years after his termination
due to disability. In addition, OmniAmerican Bank will reimburse Mr. Carter for the cost of
continued health care coverage for the maximum period of time such coverage is available under
federal and Texas state health care continuation laws (not to exceed three years).
In the event of Mr. Carter's death while employed, his family will be entitled to continue
health care coverage under federal and state health care continuation laws, and OmniAmerican Bank
will reimburse them for the cost of such coverage for the first twelve months.
Upon termination of employment due to retirement (as defined therein), Mr. Carter would only
be entitled to his benefits under any retirement plan of OmniAmerican Bank and other plans to which
Mr. Carter is a party. In the event that Mr. Carter's employment is terminated for cause, Mr.
Carter would have no right to receive compensation or other benefits for any period after his
termination.
Upon termination of employment, other than in connection with a change in control, Mr. Carter
agrees not to compete with OmniAmerican Bancorp or OmniAmerican Bank for two years following his
termination, within 25 miles of the locations in which OmniAmerican Bancorp or OmniAmerican Bank
has business operations or has filed an application for regulatory approval to establish an office.
Change in Control Agreements
. Following the conversion, OmniAmerican Bank intends to enter
into change in control agreements with Deborah Wilkinson, Senior Executive Vice President and Chief
Financial Officer, Terry Almon, Senior Executive Vice President and Chief Operating Officer and
Anne Holland, Senior Executive Vice President and Chief Lending Officer. The term of the
agreements is for two years, renewable for an additional year on each anniversary date of the
agreements, such that the remaining term of the agreements will always be for two years unless the
board of directors determines not to renew the agreement after performing a comprehensive
performance appraisal of executive.
In the event of a change in control of OmniAmerican Bancorp or OmniAmerican Bank followed by
the executive's voluntary termination for "good reason" or involuntary termination, other than for
cause, the executive will be entitled to a severance payment. "Good reason" is defined as follows:
(1)
failure to appoint or reappoint executive to his executive position;
(2)
a material change in the executive's functions, duties or responsibilities,
which change would cause the executive's position to become one of lesser
responsibility, importance or scope;
132
Table of Contents
(3)
a liquidation or dissolution of OmniAmerican Bank other than liquidations or
dissolutions that are caused by reorganizations that do not affect the status of the
executive;
(4)
a material reduction in base salary;
(5)
material reduction in the aggregate fringe benefits provided to executive;
(6)
a relocation of executive's principal place of employment by more than 50 miles
from its location as of the date of the agreement.
In the event of a change in control followed by the executive's involuntary termination other
than for cause or resignation from employment for "good reason," the executive will be entitled to
a severance payment equal to two times the sum of the executive's base salary in effect as of the
termination date, plus highest rate of bonus earned by the executive during either the calendar
year in which the termination occurs or the two calendar years immediately preceding the year in
which the termination occurs. In addition, the executive will be entitled to continued health
insurance coverage for executive and executive's family as is customarily available to employees of
the Bank and as required under federal and Texas health care continuation laws, and such coverage
will be paid for or reimbursed by the Bank for two years following termination of employment or the
maximum period of such coverage under the health care continuation law, whichever is less. Any
cash severance payment will be made in a lump sum within 30 days following the executive's
termination date. The agreements provide that in the event the severance payments would include an
"excess parachute payment" under Section 280G of the Internal Revenue Code, such benefits will be
reduced accordingly to avoid penalties.
Company Performance and Incentive Plan Awards
. Prior to 2008, our bonus structure was purely
discretionary and subjective. Beginning in 2008, and at the request and direction of our new
President and Chief Executive Officer, OmniAmerican Bank implemented a non-equity incentive plan in
accordance with which cash bonuses would be paid based on satisfaction of quantitative performance
criteria. For 2008, the quantitative performance criteria were approved mid-year and included
corporate goals and individual goals for each of our Named Executive Officers, other than our
President and Chief Executive Officer or our Executive Vice President, Mortgage Lending. For 2008,
the maximum bonus that any of our Named Executive Officers could achieve under this plan was
approximately 7.5% of base salary, with a maximum bonus of $15,000. Successful achievement of the
corporate level goals accounted for 60% of the bonus, while achievement of individual goals
accounted for 40% of the overall bonus for each Named Executive Officer. The corporate goals had
five specific indicators, including: (i) financial performance; (ii) performance management,
including turnover/retention and leadership/communications; (iii) achieving our strategic business
plan; (iv) customer satisfaction; and (v) regulatory compliance. Each indicator had two to three
sub-categories of elements that must be achieved to successfully perform in that category. The
weight ascribed to any particular indicator ranged from 0% to 20% with an aggregate weight of 60%.
Individual goals varied and were tailored to the job responsibilities of each officer. Each
of our Named Executive Officer's had four to five indicators that must be achieved in order to
receive the maximum potential bonus. For example, the indicators for our Chief Financial Officer
included: (i) asset/liability management; (ii) financial and regulatory reporting; (iii) analysis,
including feasibility analysis for new projects and products and analysis and implementation of
cost savings initiatives; and (iv) facilities management, including strategic planning for branch
locations. Our Chief Risk Officer's individual goals included: (i) tracking and compliance with
the areas of improvement itemized in certain regulatory actions issued by the Office of Thrift
Supervision in May 2007; (ii) compliance with Bank Secrecy Act findings; (iii) developing risk
management policies and procedures; (iv) developing and
133
Table of Contents
implementing an identity theft red flag program; and (iv) developing policies and procedures for a
vendor management program. Our Chief Information Officer's individual goal's included: (i)
management goals, including strengthening information security controls and information technology
security functions; (ii) fulfilling all commitments under certain regulatory action issued by the
Office of Thrift Supervision; (iii) revising the information technology steering committee's
charter and incorporating process improvements into the steering committee; (iv) completing
construction of our disaster recovery facility; and (v) formalizing customer satisfaction metrics.
The weight ascribed to each of the Named Executive Officer's individual goals ranged from 5% to 18%
of the total bonus. For 2008, each of the Named Executive Officers was generally successful in
achieving above the threshold level of performance and achieved close to the overall target level
of performance.
For the 2009 calendar year, our incentive compensation plan requires that OmniAmerican Bank
have a threshold level of net earnings before any cash bonuses are paid due to the satisfaction of
individual or corporate goals.
The following table sets forth for the year ended December 31, 2008 certain information as to
grants of plan-based awards for the named executive officers:
Grants of Plan-Based Awards For the Fiscal Year Ended 2008
Estimated future payouts under
non-equity incentive plan awards
Name
Grant date
Threshold
Target
Deborah B. Wilkinson
1/1/2008
$
6,300
$
15,000
Jane L. Adams
1/1/2008
6,475
15,000
Tony A. Lippert
1/1/2008
6,750
15,000
Incentive Compensation Plan for President, Mortgage Services Group
.
In addition to the
above-named incentive plan, we have adopted a plan solely for the benefit of Robert Havran,
Executive Vice President, Mortgage Lending and the President of our Mortgage Services Group, a
department of OmniAmerican Bank. Under this incentive plan, Mr. Havran is entitled to a bonus of
up to five percent of the departmental net income, before taxes, as reported on the monthly income
statement. The bonus is calculated on the twelve month period ending December 31 of each year and
will be paid on or before January 31 of the immediately succeeding year. This plan is reviewed on
an annual basis and is subject to change. In addition, the plan can be terminated upon
notification to Mr. Havran no later than 30 days prior to the beginning of the plan year. For the
2009 plan year, the maximum bonus available under the plan was limited to $156,000.
Potential Payments to Named Executive Officers
The following table sets forth estimates of the amounts that would be payable to the listed
individuals in the event of their termination of employment under their employment or change in
control agreements on December 31, 2008 in designated circumstances. The table does not include
vested or accrued benefits under qualified benefit plans that are disclosed elsewhere in this
prospectus. The table also does not provide information on the amounts to which Mr. Carter (or his
beneficiary) would be entitled on his death under individual life insurance or disability policies
for which we pay or reimburse Mr. Carter for part or all of the premium. The table assumes that
the provisions of Mr. Carter's employment agreement and Ms. Wilkinson's change in control agreement
that we intend to enter into in connection with the conversion and offering were in effect at
December 31, 2008. The payments under Mr. Carter's proposed employment agreement would be greater
than the payments that would have been
134
Table of Contents
required under Mr. Carter's existing agreement that was in effect at December 31, 2008 but
which will be superseded by the new employment agreement. Similarly, Ms. Wilkinson did not have a
change in control agreement in place at December 31, 2008. The estimates shown are highly
dependent on a variety of factors, including but not limited to: the date of termination; interest
rates; federal, state and local tax rates; and compensation history. Actual payments due could
vary substantially from the estimates shown. We consider each termination scenario listed below to
be exclusive of all other scenarios and do not expect that any of our executive officers would be
eligible to collect the benefits shown under more than one termination scenario.
Mr. Carter
Ms. Wilkinson
Disability
Life Insurance
$
94,500
$
—
Medical, dental and other health benefits
107,446
—
Death
Medical, dental and other health benefits
15,350
—
Discharge Without Cause or Resignation
With Good Reason — No Change in Control
Salary (lump sum)
$
1,102,500
$
—
Bonus (lump sum)
330,750
—
Medical, dental and other health benefits
107,446
—
Life insurance contribution
94,500
—
Discharge Without Cause or Resignation
With Good Reason — Change in Control
Salary (lump sum)
$
1,102,500
$
406,000
Bonus (lump sum)
330,750
28,000
Medical, dental and other health benefits
107,446
20,117
Life insurance contributions
94,500
—
Tax Qualified Benefit Plans
4
01(k)
Plan.
OmniAmerican Bank maintains the OmniAmerican 401(k) Profit Sharing Plan, a
tax-qualified defined contribution retirement plan, for all employees of OmniAmerican who have
satisfied the 401(k) Plan's eligibility requirements. All eligible employees can begin
participation in the 401(k) Plan on the earliest date that coincides with or next follows the date
the employee attains age 21. A participant may contribute up to 100% of his or her compensation to
the 401(k) Plan on a pre-tax basis, subject to the limitations imposed by the Internal Revenue
Code. For 2009, the salary deferral contribution limit is $16,500, provided, however, that a
participant over age 50 may contribute an additional $5,500 to the 401(k) Plan. A participant is
always 100% vested in his or her salary deferral contributions. In addition to salary deferral
contributions, the 401(k) Plan provides that OmniAmerican Bank will make matching contributions up
to 4% of a participant's salary for the year. A participant will vest in his or her matching
contributions over a 6-year period at the rate of 20% per year, commencing in the second year. A
participant also becomes 100% vested in his or her matching contributions upon the participant's
death, disability or attainment of age 65 while employed with OmniAmerican Bank. Generally, unless
a participant elects otherwise, the participant's benefit under the 401(k) Plan will be payable in
the form of a lump sum payment within 60 days after the latest of attainment of age 65, the
10
th
anniversary of participation in the plan or termination of employment.
Each participant has an individual account under the 401(k) Plan and may direct the investment
of his or her account among a variety of investment options or vehicles available. In connection
with the conversion, the 401(k) Plan will be amended to add another investment alternative, the
OmniAmerican Bancorp Stock Fund. The stock fund permits a participant to invest his or her 401(k)
Plan funds in OmniAmerican Bancorp common stock. An independent trustee will purchase the common
stock in the
135
Table of Contents
offering on behalf of plan participants, to the extent that shares are available. A participant
will have the right to direct the trustee regarding the voting of shares purchased for his or her
plan account.
Defined Benefit Plan
. OmniAmerican Bank maintains the OmniAmerican Bank Defined Benefit Plan,
a tax-qualified defined benefit plan. Employees of OmniAmerican Bank who are age 21 or older and
have completed six months of employment are eligible to participate in the plan, provided, however,
the plan was amended to freeze participation to new employees commencing on December 31, 2006.
Employees who became eligible to participate prior to December 31, 2006 will continue to accrue a
benefit under the plan. A participant becomes vested in his or her retirement benefit over a 7-year
period at the rate of 20% per year, commencing in the third year. Participants also become 100%
vested in their retirement benefits upon the participants' death, disability, or attainment of age
65 while employed with OmniAmerican Bank.
The plan was amended so that commencing on December 31, 2006, each participant will no longer
accrue any additional benefits plan. Therefore, upon termination of employment on or after
attaining age 65, a participant will be entitled to his or her accrued benefit as of December 31,
2006.
A participant who terminates employment prior to age 65 will be entitled to an early
retirement benefit, provided that the participant has completed 10 years of employment. The early
retirement benefit will be equal to the participant's accrued benefit as of December 31, 2006,
reduced by 5/9 percent for each complete calendar month and 5/18 percent for each complete calendar
month in excess of 60 months that the participant's termination date precedes the date on which the
participant would have attained age 65. Payments of benefits under the plan are made in the form
of a qualified joint and survivor life annuity if the participant has a spouse, or a straight life
annuity for a participant who does not have a spouse, unless one of the optional forms of
distribution has been selected. The optional forms of distribution under the plan include various
annuities or a lump sum payment option.
In the event the participant dies while in active service, the participant's beneficiary will
be entitled to a qualified preretirement survivor annuity equal to the monthly benefit that would
have been payable to a beneficiary if the participant retired and received his or her benefit in
the form of a qualified joint and survivor annuity and immediately died thereafter, unless the
participant or the beneficiary waived the qualified preretirement survivor annuity by electing to
be paid a lump sum death benefit.
The following table sets forth the actuarial present value of each executive's accumulated
benefit under our pension benefit plan, along with each executive's number of years of credited
service under the plan. No payments were made under the plan in 2008.
Present Value of
Payments
Number of Years
Accumulated
During Last
Name and Principal Position
Plan Name
(1)
Credited Service
Benefit
Fiscal Year
Deborah B. Wilkinson
OmniAmerican Bank
3
$
35,334
$
—
Senior Executive Vice
President and Chief
Financial Officer
Defined Benefit Plan
Jane L. Adams
OmniAmerican Bank
8
61,731
—
Senior Vice President and
Chief Risk Officer
Defined Benefit Plan
Tony A. Lippert
OmniAmerican Bank
3
14,426
—
Executive Vice President
and Chief Information Officer
Defined Benefit Plan
(1)
OmniAmerican Bank Defined Benefit Plan was frozen as of December 31, 2006. Years of credited
service reflects all years of service.
136
Table of Contents
Stock Based Benefit Plans
Employee Stock Ownership Plan.
Effective January 1, 2010, OmniAmerican Bank adopted an
employee stock ownership plan for eligible employees. Eligible employees who have attained age 21
and were employed by us as of January 1, 2010 will begin participation in the employee stock
ownership plan on the later of the effective date of the employee stock ownership plan or upon the
first entry date commencing on or after the eligible employee's completion of 1,000 hours of
service during a continuous 12-month period.
The employee stock ownership plan trustee is expected to purchase, on behalf of the employee
stock ownership plan, 8% of the total number of shares of OmniAmerican Bancorp, Inc. common stock
issued in the offering. We anticipate that the employee stock ownership plan will fund its stock
purchase with a loan from OmniAmerican Bancorp, Inc. equal to the aggregate purchase price of the
common stock. The loan will be repaid principally through OmniAmerican Bank's contribution to the
employee stock ownership plan and dividends payable on common stock held by the employee stock
ownership plan over the anticipated 25-year term of the loan. The interest rate for the employee
stock ownership plan loan is expected to be an adjustable-rate equal to the prime rate, as
published in The Wall Street Journal, on the closing date of the offering. Thereafter the interest
rate will adjust annually and will be the prime rate on the first business day of the calendar
year, retroactive to January 1 of such year. See "Pro Forma Data."
The trustee will hold the shares purchased by the employee stock ownership plan in an
unallocated suspense account, and shares will be released from the suspense account on a pro-rata
basis as we repay the loan. The trustee will allocate the shares released among participants on
the basis of each participant's proportional share of compensation relative to all participants.
Participants will become 100% vested upon the completion of three years of service. Participants
who were employed by OmniAmerican Bank immediately prior to the offering will receive credit for
vesting purposes for years of service prior to adoption of the employee stock ownership plan.
Participants also will become fully vested automatically upon normal retirement, death or
disability, a change in control, or termination of the employee stock ownership plan. Generally,
participants will receive distributions from the employee stock ownership plan upon separation from
service. The employee stock ownership plan reallocates any unvested shares forfeited upon
termination of employment among the remaining participants.
The employee stock ownership plan permits participants to direct the trustee as to how to vote
the shares of common stock allocated to their accounts. The trustee votes unallocated shares and
allocated shares for which participants do not provide instructions on any matter in the same ratio
as those shares for which participants provide instructions, subject to fulfillment of the
trustee's fiduciary responsibilities.
Under applicable accounting requirements, OmniAmerican Bank will record a compensation expense
for the employee stock ownership plan at the fair market value of the shares as they are committed
to be released from the unallocated suspense account to participants' accounts. The compensation
expense resulting from the release of the common stock from the suspense account and allocation to
plan participants will result in a corresponding reduction in OmniAmerican Bancorp, Inc.'s
earnings.
Benefits to be Considered Following Completion of the Stock Offering
Following the stock offering, we intend to adopt a new stock-based incentive plan that will
provide for grants of stock options and restricted common stock awards. In accordance with
applicable
137
Table of Contents
regulations, we anticipate that the plan will authorize a number of stock options and a
number of shares of restricted stock, not to exceed 10% and 4%, respectively, of the shares issued in the
offering. These limitations will not apply if the plan is implemented more than one year after the
conversion.
The stock-based incentive plan will not be established sooner than six months after the stock
offering and, if adopted within one year after the stock offering, would require the approval by
stockholders owning a majority of the outstanding shares of OmniAmerican Bancorp, Inc. common stock
eligible to be cast. If the stock-based incentive plan is established after one year after the
stock offering, it would require the approval of our stockholders by a majority of votes cast.
The following additional restrictions would apply to our stock-based incentive plan only if
the plan is adopted within one year after the stock offering:
•
non-employee directors in the aggregate may not receive more than 30% of the options
and restricted stock awards authorized under the plan;
•
any non-employee director may not receive more than 5% of the options and restricted
stock awards authorized under the plan;
•
any officer or employee may not receive more than 25% of the options and restricted
stock awards authorized under the plan;
•
the options and restricted stock awards may not vest more rapidly than 20% per year,
beginning on the first anniversary of stockholder approval of the plan; and
•
accelerated vesting is not permitted except for death, disability or upon a change
in control of OmniAmerican Bank or OmniAmerican Bancorp, Inc.
These restrictions do not apply to plans adopted after one year following the completion of the
stock offering.
We have not yet determined whether we will present the stock-based incentive plan for
stockholder approval within one year following the completion of the conversion or whether we will
present this plan for stockholder approval more than one year after the completion of the
conversion. In the event the Office of Thrift Supervision changes its regulations or policies
regarding stock-based incentive plans, including any regulations or policies restricting the size
of awards and vesting of benefits as described above, the restrictions described above may not be
applicable.
We may obtain the shares needed for our stock-based benefit plans by issuing additional shares
of common stock from authorized but unissued shares or through stock repurchases.
Transactions with Certain Related Persons
The Sarbanes-Oxley Act of 2002 generally prohibits us from making loans to our executive
officers and directors, but it contains a specific exemption from such prohibition for loans made
by OmniAmerican Bank to our executive officers and directors in compliance with federal banking
regulations. At June 30, 2009, all of our loans to directors and executive officers were made in
the ordinary course of business, were made on substantially the same terms, including interest
rates and collateral, as those prevailing at the time for comparable loans with persons not related to OmniAmerican
138
Table of Contents
Bank, and did not involve more than the normal risk of collectability or present
other unfavorable features.
In addition, loans made to a director or executive officer must be approved in advance by a
majority of the disinterested members of the board of directors. The aggregate amount of our loans
to our executive officers and directors and their related entities was $2.4 million at June 30,
2009. As of June 30, 2009, these loans were performing according to their original terms and were
made in compliance with federal banking regulations.
SUBSCRIPTIONS BY DIRECTORS AND EXECUTIVE OFFICERS
The following table sets forth information regarding intended common stock subscriptions by
each of the directors and executive officers of OmniAmerican Bank and their associates, and by all
directors and executive officers as a group. However, there can be no assurance that any
individual director or executive officer, or the directors and executive officers as a group, will
purchase any specific number of shares of our common stock. In the event the individual maximum
purchase limitation is increased, persons subscribing for the maximum amount may increase their
purchase order. Directors and executive officers will purchase shares of common stock at the same
$10.00 purchase price per share and on the same terms as other purchasers in the offering. This
table excludes shares of common stock to be purchased by the employee stock ownership plan, as well
as any stock awards or stock option grants that may be made no earlier than six months after the
completion of the offering. The directors and officers have indicated their intention to subscribe
in the offering for an aggregate of 175,000 shares of common stock (for a total subscription amount
of $1,750,000), which is equal to 2.3% of the shares of common stock to be sold in the offering at
the minimum of the offering range. The shares being acquired by the directors, executive officers
and their associates are being acquired for investment purposes, and not with a view towards
resale.
Percent at
Aggregate
Minimum of
Name and Title
Number of Shares
Purchase Price
Offering Range
Wayne P. Burchfield, Jr., Chairman of the Board
6,000
$
60,000
*
Elaine Anderson, Vice Chairman of the Board
20,000
200,000
*
Tim Carter, President, Chief Executive Officer
and Director
20,000
200,000
*
Joan Anthony, Director
5,000
50,000
*
James Herring, Director
10,000
100,000
*
Norm Carroll, Director
4,000
40,000
*
Patti Callan, Director
10,000
100,000
*
Pat Conley, Director
6,500
65,000
*
John Sammons, Jr. , Director
25,000
250,000
*
Deborah B. Wilkinson, Senior Executive Vice
President and Chief Financial Officer
7,500
75,000
*
Terry Almon, Senior Executive Vice President
and Chief Operating Officer
10,000
100,000
*
Anne Holland, , Senior Executive Vice
President and Chief Lending Officer
30,000
300,000
*
Jane L. Adams, Executive Vice President and
Chief Risk Officer
3,000
30,000
*
Wendy Gary, Executive Vice President of
Consumer Lending
750
7,500
*
Robert Havran, Executive Vice President of
Mortgage Lending
15,000
150,000
*
139
Table of Contents
Percent at
Aggregate
Minimum of
Name and Title
Number of Shares
Purchase Price
Offering Range
T.L Arnold, Jr., Executive Vice President and
Chief Credit Officer
2,000
20,000
*
Maria Jones, Executive Vice President of Human
Resources and Training
250
2,500
*
All directors and executive officers as a
group (17 persons)
175,000
$
1,750,000
2.3
%
*
Less than 1%.
THE CONVERSION; PLAN OF DISTRIBUTION
The board of directors of OmniAmerican Bank has approved the plan of conversion. The plan of
conversion must also be approved by OmniAmerican Bank's members. A special meeting of members has
been called for this purpose. The Office of Thrift Supervision has conditionally approved the plan
of conversion; however, such approval does not constitute a recommendation or endorsement of the
plan of conversion by that agency.
General
The board of directors of OmniAmerican Bank approved the plan of conversion on June 23, 2009.
Pursuant to the plan of conversion, OmniAmerican Bank will convert from the mutual form of
organization to the fully stock form and we will sell shares of common stock to the public in our
offering. In the conversion, we will organize a new Maryland stock holding company named
OmniAmerican Bancorp, Inc. When the conversion is completed, all of the capital stock of
OmniAmerican Bank will be owned by OmniAmerican Bancorp, Inc., and all of the common stock of
OmniAmerican Bancorp, Inc. will be owned by public stockholders.
We intend to retain between $74.0 million and $100.7 million of the net proceeds of the
offering, or $116.0 million if the offering range is increased by 15%, and to contribute the
balance of the net proceeds to OmniAmerican Bank. The conversion will be consummated only upon the
issuance of at least 7,650,000 shares of our common stock offered pursuant to the plan of
conversion.
The plan of conversion provides that we will offer shares of common stock for sale in the
subscription offering to eligible account holders, our tax-qualified employee benefit plans,
including our employee stock ownership plan and 401(k) plan, supplemental eligible account holders
and other members. If all shares are not subscribed for in the subscription offering, we may, in
our discretion, offer common stock for sale in a community offering to members of the general
public, with a preference given to natural persons residing in the Texas counties of Collin,
Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise. In
addition, all shares of common stock not purchased in the subscription offering and community
offering may be offered for sale to the general public in a syndicated community offering to be
managed by Keefe, Bruyette & Woods, Inc., acting as our agent.
We have the right to accept or reject, in whole or in part, any orders to purchase shares of
the common stock received in the community or syndicated community offering. The community
offering or syndicated community, if any, may begin at the same time as, during, or after the
subscription offering, and must be completed within 45 days after the completion of the
subscription offering unless otherwise extended by us with the approval of the Office of Thrift
Supervision. See "—Community Offering."
We determined the number of shares of common stock to be offered in the offering based upon an
independent valuation of the estimated consolidated pro forma market value of OmniAmerican Bancorp,
Inc. All shares of common stock to be sold in the offering will be sold at $10.00 per share.
Investors will
140
Table of Contents
not be charged a commission to purchase shares of common stock. The independent
valuation will be updated and the final number of the shares of common stock to be issued in the offering will
be determined at the completion of the offering. See "—Determination of Share Price and Number of
Shares to be Issued" for more information as to the determination of the estimated pro forma market
value of the common stock.
The following is a brief summary of the conversion. We recommend reading the plan of
conversion in its entirety for more information. A copy of the plan of conversion is available for
inspection at each branch office of OmniAmerican Bank and at the Western Regional Office and the
Washington, D.C. Office of the Office of Thrift Supervision. The plan of conversion is also filed
as an exhibit to OmniAmerican Bank's application to convert from mutual to stock form of which this
prospectus is a part, copies of which may be obtained from the Office of Thrift Supervision. See
"Where You Can Find Additional Information."
Reasons for the Conversion
Our primary reasons for converting and raising additional capital through the offering are:
•
to increase our capital levels to support future growth;
•
to have greater flexibility to structure and finance the expansion of our
operations, including potential acquisitions of other financial institutions, although
we have no current arrangements or agreements with respect to any such acquisitions;
•
to have a broader platform through the holding company structure to offer products
and services that will expand our banking relationships with our customers;
•
to provide better capital management tools, including the ability to pay dividends
and to repurchase shares of our common stock, subject to market conditions; and
•
to attract and retain qualified personnel by establishing stock-based benefit plans
for management and employees.
In the stock holding company structure, we will have greater flexibility in structuring
mergers and acquisitions. Our current mutual structure prevents us from offering shares of our
common stock as consideration for a merger or acquisition. Potential sellers often want stock for
at least part of the acquisition consideration. Our new stock holding company structure will
enable us to offer stock or cash consideration, or a combination thereof, and will therefore
enhance our ability to compete with other bidders when acquisition opportunities arise.
We have no current arrangements or agreements to acquire other banks, thrifts, financial
service companies or branch offices. However, we have had, and intend to continue to have,
discussions with local financial institutions to determine whether they would be interested in
exploring the possibility of our acquiring them after the offering is completed, and we have
sufficient capital resources to fund an acquisition. In addition, we have participated in, and
intend to continue to participate in, sales processes initiated on behalf of local financial
institutions that have made a decision to explore the possibility of a sale. We have also
explored, and intend to continue to explore, the possibility of acquiring financial service
companies. There can be no assurance that we will be able to consummate any acquisitions or
establish any new branches.
141
Table of Contents
We believe that the additional capital raised in the offering may enable us to take advantage
of business opportunities that may not otherwise be available to us. We are not subject to a
directive or a recommendation from the Office of Thrift Supervision to raise capital.
Approvals Required
The affirmative vote of a majority of the total eligible votes of members of OmniAmerican Bank
at the special meeting of members is required to approve the plan of conversion. The plan of
conversion also must be approved by the Office of Thrift Supervision, which has given its
conditional approval to the plan of conversion.
A special meeting of members to consider and vote upon the plan of conversion has been set for
[meeting date].
Effects of Conversion on Depositors, Borrowers and Members
Continuity
.
While the conversion is being accomplished, our normal business of accepting
deposits and making loans will continue without interruption. We will continue to be a federally
chartered savings bank and will continue to be regulated by the Office of Thrift Supervision. After
the conversion, we will continue to offer existing services to depositors, borrowers and other
customers. The directors serving OmniAmerican Bank at the time of the conversion will be the
directors of OmniAmerican Bank and of OmniAmerican Bancorp, Inc., a Maryland corporation, after the
conversion.
Effect on Deposit Accounts
.
Pursuant to the plan of conversion, each depositor of OmniAmerican
Bank at the time of the conversion will automatically continue as a depositor after the conversion,
and the deposit balance, interest rate and other terms of such deposit accounts will not change as
a result of the conversion. Each such account will be insured by the Federal Deposit Insurance
Corporation to the same extent as before the conversion. Depositors will continue to hold their
existing certificates, passbooks and other evidences of their accounts.
Effect on Loans
.
No loan outstanding from OmniAmerican Bank will be affected by the
conversion, and the amount, interest rate, maturity and security for each loan will remain as it
was contractually fixed prior to the conversion.
Effect on Voting Rights of Members
.
At present, all of our depositors are members of, and
have voting rights in, OmniAmerican Bank as to all matters requiring membership action. Upon
completion of the conversion, depositors will cease to be members of OmniAmerican Bank and will no
longer have voting rights. Upon completion of the conversion, all voting rights in OmniAmerican
Bank will be vested in OmniAmerican Bancorp, Inc. as the sole stockholder of OmniAmerican Bank.
The stockholders of OmniAmerican Bancorp, Inc. will possess exclusive voting rights with respect to
OmniAmerican Bancorp, Inc. common stock.
Tax Effects
.
We will receive an opinion of counsel or tax advisor with regard to federal and
state income tax consequences of the conversion to the effect that the conversion will not be
taxable for federal or state income tax purposes to OmniAmerican Bank or its members. See
"—Material Income Tax Consequences."
Effect on Liquidation Rights
.
Each depositor in OmniAmerican Bank has both a deposit account
in OmniAmerican Bank and a pro rata ownership interest in the net worth of OmniAmerican Bank based
upon the deposit balance in his or her account. This ownership interest is tied to the depositor's
account and has no tangible market value separate from the deposit account. This interest may only
be realized in
142
Table of Contents
the event of a complete liquidation of OmniAmerican Bank. Any depositor who opens a deposit
account obtains a pro rata ownership interest in OmniAmerican Bank without any additional payment
beyond the amount of the deposit. A depositor who reduces or closes his or her account receives a
portion or all, respectively, of the balance in the deposit account but nothing for his or her
ownership interest in the net worth of OmniAmerican Bank, which is lost to the extent that the
balance in the account is reduced or closed.
Consequently, depositors in a mutual savings bank normally have no way of realizing the value
of their ownership interest, which has realizable value only in the unlikely event that the
association is completely liquidated. If this occurs, the depositors of record at that time, as
owners, would share pro rata in any residual surplus and reserves of OmniAmerican Bank after other
claims, including claims of depositors to the amounts of their deposits, are paid.
In the unlikely event that OmniAmerican Bank were to liquidate after the conversion, all
claims of creditors, including those of depositors, also would be paid first, followed by
distribution of the "liquidation account" to depositors as of March 31, 2008 and [supplemental
date] who continue to maintain their deposit accounts as of the date of liquidation, with any
assets remaining thereafter distributed to OmniAmerican Bancorp, Inc. as the holder of OmniAmerican
Bank's capital stock. Pursuant to the rules and regulations of the Office of Thrift Supervision, a
post-conversion merger, consolidation, sale of bulk assets or similar combination or transaction
with another insured savings institution would not be considered a liquidation and, in such a
transaction, the liquidation account would be assumed by the surviving institution. See
"—Liquidation Rights."
Determination of Share Price and Number of Shares to be Issued
The plan of conversion and federal regulations require that the aggregate purchase price of
the common stock sold in the offering be based on the appraised pro forma market value of the
common stock, as determined by an independent valuation. We have retained RP Financial, LC. to
prepare an independent valuation appraisal. For its services in preparing the initial valuation,
RP Financial, LC. will receive a fee of $60,000, and will be reimbursed for its expenses. RP
Financial, LC. will receive an additional fee of $5,000 for each update to the valuation appraisal.
We have agreed to indemnify RP Financial, LC. and its employees and affiliates against specified
losses, including any losses in connection with claims under the federal securities laws, arising
out of its services as independent appraiser, except where such liability results from its
negligence or bad faith.
The independent valuation appraisal considered the pro forma impact of the offering.
Consistent with the Office of Thrift Supervision appraisal guidelines, the appraisal applied three
primary methodologies: the pro forma price-to-book value approach applied to both reported book
value and tangible book value; the pro forma price-to-earnings approach applied to reported and
core earnings; and the pro forma price-to-assets approach. The market value ratios applied in the
three methodologies were based upon the current market valuations of the peer group companies
identified by RP Financial, LC., subject to valuation adjustments applied by RP Financial, LC. to
account for differences between us and our peer group.
The independent valuation was prepared by RP Financial, LC. in reliance upon the information
contained in this prospectus, including our financial statements. RP Financial, LC. also considered
the following factors, among others:
•
our present and projected results and financial condition;
143
Table of Contents
•
the economic and demographic conditions in our existing market area;
•
certain historical, financial and other information relating to us;
•
a comparative evaluation of our operating and financial characteristics with those
of other similarly situated publicly traded savings institutions;
•
the impact of the conversion and the offering on our equity and earnings potential;
•
our potential to pay cash dividends; and
•
the trading market for securities of comparable institutions and general conditions
in the market for such securities.
Included in the independent valuation were certain assumptions as to our pro forma earnings
after the conversion that were utilized in determining the appraised value. These assumptions
included estimated expenses, an assumed after-tax rate of return on the net offering proceeds and
purchases in the open market of 4% of the common stock issued in the offering by the stock-based
benefit plan at the $10.00 purchase price. See "Pro Forma Data" for additional information
concerning these assumptions. The use of different assumptions may yield different results.
The independent valuation states that as of August 28, 2009, the estimated pro forma market
value of OmniAmerican Bancorp, Inc. ranged from $76.5 million to $103.5 million, with a midpoint of
$90.0 million. Our board of directors decided to offer the shares of common stock for a price of
$10.00 per share primarily because it is the price most commonly used in mutual-to-stock
conversions of financial institutions. The number of shares offered will be equal to the aggregate
offering price of the shares divided by the price per share. Based on the valuation range and the
$10.00 price per share, the minimum of the offering range will be 7,650,000 shares, the midpoint of
the offering range will be 9,000,000 shares and the maximum of the offering range will be
10,350,000 shares, or 11,902,500 shares if the maximum amount is adjusted because of demand for
shares or changes in market conditions.
The following table presents a summary of selected pricing ratios for OmniAmerican Bancorp,
Inc. and our peer group companies identified by RP Financial, LC. Pro forma price-to- earnings
multiple is based on earnings for the 12 months ended June 30, 2009, and pro forma price-to-book
value and price-to-tangible book value ratios are based on equity as of June 30, 2009. Compared to
the median pricing of the peer group, our pro forma pricing ratios at the maximum of the offering
range indicated a premium of 5,888.31% on a price-to-earnings basis, a premium of 1.5% on a
price-to-book basis and a discount of 20.1% on a price-to-tangible book basis. The pricing ratios
result from our generally having higher levels of equity but lower earnings than the companies in
the peer group on a pro forma basis. Our board of directors, in reviewing and approving the
valuation, considered the range of price-to-core earnings multiples and the range of price-to-book
value ratios and price-to-tangible book value ratios at the different amounts of shares to be sold
in the offering.
144
Table of Contents
Pro forma
Pro forma
Pro forma
price-to-book
price-to-tangible
price-to- earnings multiple
value ratio
book value ratio
OmniAmerican Bancorp, Inc.
(1)
Maximum, as adjusted
6,471.36x
62.00
%
62.00
%
Maximum
804.23x
58.00
%
58.00
%
Minimum
238.67x
49.33
%
49.33
%
Valuation of peer group companies using
stock prices as of August 28, 2009
Averages
17.70x
66.09
%
74.69
%
Medians
13.43x
57.15
%
72.55
%
(1)
Based on earnings for the twelve months ended June 30, 2009 and book value as of June 30,
2009.
Our board of directors reviewed the independent valuation and, in particular, considered the
following:
•
our financial condition and results of operations;
•
comparison of our financial performance ratios to those of other financial
institutions of similar size; and
•
market conditions generally and, in particular, for financial institutions.
All of these factors are set forth in the independent valuation. Our board of directors also
reviewed the methodology and the assumptions used by RP Financial, LC. in preparing the independent
valuation and believes that such assumptions were reasonable. The offering range may be amended
with the approval of the Office of Thrift Supervision, if required, as a result of subsequent
developments in our financial condition or market conditions generally. In the event the
independent valuation is updated to amend our pro forma market value to less than $76.5 million or
more than $119.0 million, the appraisal will be filed with the Securities and Exchange Commission
by a post-effective amendment to our registration statement.
The independent valuation is not intended, and must not be construed, as a recommendation of
any kind as to the advisability of purchasing shares of our common stock. RP Financial, LC. did
not independently verify our financial statements and other information that we provided to them,
nor did RP Financial, LC. independently value our assets or liabilities. The independent valuation
considers OmniAmerican Bank as a going concern and should not be considered as an indication of the
liquidation value of OmniAmerican Bank. Moreover, because the valuation is necessarily based upon
estimates and projections of a number of matters, all of which may change from time to time, no
assurance can be given that persons purchasing our common stock in the offering will thereafter be
able to sell their shares at prices at or above the $10.00 offering price per share.
Following commencement of the subscription offering, the maximum of the valuation range may be
increased by up to 15%, or up to $119.0 million, without resoliciting subscribers, which would
result in a corresponding increase of up to 15% in the maximum of the offering range to up to
11,902,500 shares, to reflect changes in the market and financial conditions or demand for the
shares. We will not decrease the minimum of the valuation range and the minimum of the offering
range without a resolicitation of subscribers. The subscription price of $10.00 per share will
remain fixed. See "—Limitations on Common Stock Purchases" as to the method of distribution and
allocation of additional shares that may be issued in the event of an increase in the offering
range to fill unfilled orders in the offering.
145
Table of Contents
If the update to the independent valuation at the conclusion of the offering results in an
increase in the maximum of the valuation range to more than $119.0 million and a corresponding
increase in the offering range to more than 11,902,500 shares, or a decrease in the minimum of the
valuation range to less than $76.5 million and a corresponding decrease in the offering range to
fewer than 7,650,000 shares, then we may promptly return with interest at our current passbook
savings rate of interest all funds previously delivered to us to purchase shares of common stock
and cancel deposit account withdrawal authorizations, and, after consulting with the Office of
Thrift Supervision, we may terminate the plan of conversion. Alternatively, we may hold a new
offering, establish a new offering range, extend the offering period and commence a resolicitation
of subscribers or take other actions as permitted by the Office of Thrift Supervision in order to
complete the conversion and the offering. In the event that a resolicitation is commenced, we will
notify subscribers of the extension of time and of the rights of subscribers to place a new stock
order for a specified period of time. If a person does not respond, we will cancel his or her
stock order and return his or her subscription funds, with interest, and cancel any authorization
to withdraw funds from deposit accounts for the purchase of shares of common stock. Any
resolicitation following the conclusion of the subscription and community offerings would not
exceed 45 days unless further extended by the Office of Thrift Supervision for periods of up to 90
days.
An increase in the number of shares to be issued in the offering would decrease both a
subscriber's ownership interest and our pro forma earnings and stockholders' equity on a per share
basis while increasing pro forma earnings and stockholders' equity on an aggregate basis. A
decrease in the number of shares to be issued in the offering would increase both a subscriber's
ownership interest and our pro forma earnings and stockholders' equity on a per share basis, while
decreasing pro forma earnings and stockholders' equity on an aggregate basis. For a presentation of
the effects of these changes, see "Pro Forma Data."
Copies of the independent valuation appraisal report of RP Financial, LC. and the detailed
memorandum setting forth the method and assumptions used in the appraisal report are available for
inspection at our main office and as specified under "Where You Can Find Additional Information."
Subscription Offering and Subscription Rights
In accordance with the plan of conversion, rights to subscribe for shares of common stock in
the subscription offering have been granted in the following descending order of priority. The
filling of all subscriptions that we receive will depend on the availability of common stock after
satisfaction of all subscriptions of all persons having prior rights in the subscription offering
and to the maximum, minimum and overall purchase limitations set forth in the plan of conversion
and as described below under "—Limitations on Common Stock Purchases."
Priority 1: Eligible Account Holders
.
Each depositor with aggregate deposit account balances
of $50.00 or more (a "Qualifying Deposit") on March 31, 2008 (an "Eligible Account Holder") will
receive, without payment therefor, nontransferable subscription rights to purchase, subject to the
overall purchase limitations, up to the greater of 30,000 shares of our common stock, 0.10% of the
total number of shares of common stock issued in the offering, or 15 times the number of
subscription shares offered multiplied by a fraction of which the numerator is the aggregate
Qualifying Deposit account balances of the Eligible Account Holder and the denominator is the
aggregate Qualifying Deposit account balances of all Eligible Account Holders, subject to the
overall purchase limitations. See "—Limitations on Common Stock Purchases." If there are not
sufficient shares available to satisfy all subscriptions, shares will first be allocated so as to
permit each Eligible Account Holder to purchase a number of shares sufficient to make his or her
total allocation equal to the lesser of 100 shares or the number of shares for which he or she
subscribed. Thereafter, unallocated shares will be allocated to each Eligible Account Holder whose
146
Table of Contents
subscription remains unfilled in the proportion that the amount of his or her Qualifying
Deposit bears to the total amount of Qualifying Deposits of all subscribing Eligible Account
Holders whose subscriptions remain unfilled. If an amount so allocated exceeds the amount
subscribed for by any one or more Eligible Account Holders, the excess shall be reallocated (one or
more times as necessary) among those Eligible Account Holders whose subscriptions are not fully
satisfied until all available shares have been allocated.
To ensure proper allocation of shares of our common stock, each Eligible Account Holder must
list on his or her stock order and certification form all deposit accounts in which he or she has
an ownership interest on March 31, 2008. In the event of oversubscription, failure to list an
account could result in fewer shares being allocated than if all accounts had been disclosed. In
the event of an oversubscription, the subscription rights of Eligible Account Holders who are also
our directors or executive officers or their associates will be subordinated to the subscription
rights of other Eligible Account Holders to the extent attributable to increased deposits during
the year preceding March 31, 2008.
Priority 2: Tax-Qualified Plans
.
Our tax-qualified employee benefit plans, including our
employee stock ownership plan and 401(k) plan, will receive, without payment therefor,
nontransferable subscription rights to purchase in the aggregate up to 10% of the shares of common
stock sold in the offering.
Priority 3: Supplemental Eligible Account Holders
.
To the extent that there are sufficient
shares of common stock remaining after satisfaction of subscriptions by Eligible Account Holders
and our tax-qualified employee benefit plans, each depositor with a Qualifying Deposit on
[supplemental date] who is not an Eligible Account Holder ("Supplemental Eligible Account Holder")
will receive, without payment therefor, nontransferable subscription rights to purchase up to the
greater of 30,000 shares of common stock, 0.10% of the total number of shares of common stock
issued in the offering, or 15 times the number of subscription shares offered multiplied by a
fraction of which the numerator is the aggregate Qualifying Deposit account balances of the
Supplemental Eligible Account Holder and the denominator is the aggregate Qualifying Deposit
account balances of all Supplemental Eligible Account Holders, subject to the overall purchase
limitations. See "—Limitations on Common Stock Purchases." If there are not sufficient shares
available to satisfy all subscriptions, shares will be allocated so as to permit each Supplemental
Eligible Account Holder to purchase a number of shares sufficient to make his or her total
allocation equal to the lesser of 100 shares of common stock or the number of shares for which he
or she subscribed. Thereafter, unallocated shares will be allocated to each Supplemental Eligible
Account Holder whose subscription remains unfilled in the proportion that the amount of his or her
Qualifying Deposit bears to the total amount of Qualifying Deposits of all Supplemental Eligible
Account Holders whose subscriptions remain unfilled. If an amount so allocated exceeds the amount
subscribed for by any one or more Supplemental Eligible Account Holders, the excess shall be
reallocated (one or more times as necessary) among those Supplemental Eligible Account Holders
whose subscriptions are not fully satisfied until all available shares have been allocated.
To ensure proper allocation of common stock, each Supplemental Eligible Account Holder must
list on the stock order and certification form all deposit accounts in which he or she has an
ownership interest at [supplemental date]. In the event of oversubscription, failure to list an
account could result in fewer shares being allocated than if all accounts had been disclosed.
Priority 4: Other Members
.
To the extent that there are shares of common stock remaining after
satisfaction of subscriptions by Eligible Account Holders, our tax-qualified employee benefit plans
and Supplemental Eligible Account Holders, each depositor on the voting record date of [other
member date] who is not an Eligible Account Holder or Supplemental Eligible Account Holder ("Other
Members") will
147
Table of Contents
receive, without payment therefor, nontransferable subscription rights to purchase up to the
greater of 30,000 shares of common stock or 0.10% of the total number of shares of common stock
issued in the offering, subject to the overall purchase limitations. See "—Limitations on Common
Stock Purchases." If there are not sufficient shares available to satisfy all subscriptions,
available shares will be allocated so as to permit each Supplemental Eligible Account Holder to
purchase a number of shares sufficient to make his or her total allocation equal to the lesser of
100 shares of common stock or the number of shares for which he or she subscribed. Thereafter,
unallocated shares will be allocated to each Other Member whose subscription remains unfilled in
the proportion that the amount of his or her subscription bears to the total amount of
subscriptions of all Other Members whose subscriptions remain unfilled.
Expiration Date
. The Subscription Offering will expire at 12:00 noon, local time, on
[expiration date], unless extended by us for up to 45 days or such additional periods with the
approval of the Office of Thrift Supervision, if necessary. Subscription rights will expire
whether or not each eligible depositor can be located. We may decide to extend the expiration date
of the subscription offering for any reason, whether or not subscriptions have been received for
shares at the minimum, midpoint or maximum of the offering range. Subscription rights that have not
been exercised prior to the expiration date will become void.
We will not execute orders until we have received orders to purchase at least the minimum
number of shares of common stock. If we have not received orders to purchase at least 7,650,000
shares within 45 days after the expiration date and the Office of Thrift Supervision has not
consented to an extension, all funds delivered to us to purchase shares of common stock in the
offering will be returned promptly to the subscribers with interest at our current passbook savings
rate and all deposit account withdrawal authorizations will be canceled. If an extension beyond
[extension date] is granted by the Office of Thrift Supervision, we will resolicit subscribers,
giving them an opportunity to change or cancel their orders. We will notify subscribers of the
extension of time and of the rights of subscribers to place a new stock order for a specified
period of time. If a subscriber does not respond, we will cancel his or her stock order and return
his or her subscription funds, with interest, and cancel any authorization to withdraw funds from
deposit accounts for the purchase of shares of common stock. Extensions may not go beyond [final
date], which is two years after the special meeting of our members to vote on the conversion.
Community Offering
To the extent that shares of common stock remain available for purchase after satisfaction of
all subscriptions of the Eligible Account Holders, our tax-qualified employee benefit plans,
Supplemental Eligible Account Holders and Other Members, we may offer shares pursuant to the plan
of conversion to members of the general public in a community offering. Shares may be offered with
a preference to natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton,
Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise.
Subscribers in the community offering may purchase up to 30,000 shares of common stock,
subject to the overall purchase limitations. See "—Limitations on Common Stock Purchases."
The
opportunity to purchase shares of common stock in the community offering category is subject to our
right, in our sole discretion, to accept or reject any such orders in whole or in part either at
the time of receipt of an order or as soon as practicable following the expiration date of the
offering.
If we do not have sufficient shares of common stock available to fill the orders of natural
persons residing in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood,
Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, we will allocate the available shares among
those persons in a
148
Table of Contents
manner that permits each of them, to the extent possible, to purchase the lesser of 100
shares, or the number of shares subscribed for by such person. Thereafter, unallocated shares will
be allocated among natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton,
Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, whose orders remain
unsatisfied on an equal number of shares basis per order. If, after the allocation of shares to
natural persons residing in the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood,
Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise, we do not have sufficient shares of common
stock available to fill the orders of other members of the general public, we will allocate the
available shares among those persons in a manner that permits each of them, to the extent possible,
to purchase the lesser of 100 shares, or the number of shares subscribed for by such person.
Thereafter, unallocated shares will be allocated among members of the general public whose orders
remain unsatisfied will be filled up to a maximum of 2% of the shares sold in the offering, and
thereafter any remaining shares will be allocated on an equal number of shares basis per order.
The term "residing" or "resident" as used in this prospectus means any person who occupies a
dwelling within the Texas counties of Collin, Dallas, Delta, Denton, Ellis, Hunt, Hood, Kaufman,
Johnson, Rockwall, Parker, Tarrant and Wise, has a present intent to remain within the community
for a period of time and manifests the genuineness of that intent by establishing an ongoing
physical presence within the community, together with an indication that this presence within the
community is something other than merely transitory in nature. We may utilize deposit or loan
records or other evidence provided to us to decide whether a person is a resident. In all cases,
however, the determination shall be in our sole discretion.
Expiration Date.
The community offering may begin at the same time as, during or after the
subscription offering. It is currently expected to terminate at the same time as the subscription
offering, although it must terminate no more than 45 days following the subscription offering. We
may decide to extend the community offering for any reason and are not required to give purchasers
notice of any such extension unless such period extends beyond [extension date]. If an extension
beyond [extension date] is granted by the Office of Thrift Supervision, we will resolicit persons
whose orders we accept in the community offering, giving them an opportunity to change or cancel
their orders. If a person does not respond, we will cancel his or her stock order and return
purchase funds, with interest, and cancel any authorization to withdraw funds from deposit accounts
for the purchase of shares of common stock. These extensions may not go beyond [final date], which
is two years after the special meeting of our members to vote on the conversion.
Syndicated Community Offering
The plan of conversion provides that, if necessary, all shares of common stock not purchased
in the subscription offering and community offering may be offered for sale to the general public
in a syndicated community offering to be managed by Keefe, Bruyette & Woods, Inc., acting as our
agent. In such capacity, Keefe, Bruyette & Woods, Inc. may form a syndicate of other
broker-dealers. Neither Keefe, Bruyette & Woods, Inc. nor any registered broker-dealer will have
any obligation to take or purchase any shares of the common stock in the syndicated community
offering; however, Keefe, Bruyette & Woods, Inc. has agreed to use its best efforts in the sale of
shares in any syndicated community offering. The syndicated community offering would terminate no
later than [extension date], unless extended by us, with approval of the Office of Thrift
Supervision. See "—Community Offering" above for a discussion of rights of persons who place
orders in the syndicated community offering in the event an extension is granted.
149
Table of Contents
The opportunity to order shares of common stock in the syndicated community offering is
subject to our right to reject orders, in whole or in part, either at the time of receipt of an
order or as soon as practicable following the expiration date of the offering. If your order is
rejected in part, you will not have the right to cancel the remainder of your order. Purchasers in
the syndicated community offering are eligible to purchase up to 30,000 shares of common stock,
subject to the overall purchase limitations. See "—Limitations on Common Stock Purchases."
Unless the Office of Thrift Supervision permits otherwise, accepted orders for OmniAmerican
Bancorp, Inc. common stock in the syndicated community offering will first be filled up to a
maximum of two percent (2%) of the shares sold in the offering, and thereafter any remaining shares
will be allocated on an equal number of shares basis per order until all shares have been
allocated. We may begin the syndicated community offering at any time following the commencement of
the subscription offering.
If we are unable to find purchasers from the general public for all unsubscribed shares, we
will make other purchase arrangements, if feasible. Other purchase arrangements must be approved
by the Office of Thrift Supervision. If other purchase arrangements cannot be made, we may do any
of the following: terminate the offering and promptly return all funds; set a new offering range,
notify all subscribers and give them the opportunity to confirm, cancel or change their orders; or
take such other actions as may be permitted by the Office of Thrift Supervision.
Limitations on Common Stock Purchases
The plan of conversion includes the following limitations on the number of shares of common
stock that may be purchased in the offering:
•
No person or entity together with any associate or group of persons acting in
concert may purchase more than 50,000 shares of common stock in the offering, except
that our tax-qualified employee benefit plans, including our employee stock ownership
plan and 401(k) plan, may purchase in the aggregate up to 10% of the shares of common
stock issued in the offering (including shares issued in the event of an increase in
the offering range of up to 15%);
•
The maximum number of shares of common stock that may be purchased in all categories
of the offering by our executive officers and directors and their associates, in the
aggregate, may not exceed 25% of the shares issued in the offering;
•
The minimum purchase by each person purchasing shares in the offering is 25 shares,
to the extent those shares are available; and
•
The maximum number of shares of common stock that may be subscribed for or purchased
in the offering by any person or entity together with any associate or group of persons
acting in concert, may not exceed 5.0% of the outstanding shares of our common stock at
the completion of the offering (excluding our ESOP and 401(k) Plan).
Depending upon market or financial conditions, our board of directors, with the approval of
the Office of Thrift Supervision and without further approval of our members, may decrease or
increase the purchase limitations. If a purchase limitation is increased, subscribers in the
subscription offering who ordered the maximum amount will be, and, in our sole discretion, some
other large subscribers may be, given the opportunity to increase their subscriptions up to the
then-applicable limit. The effect of this type of resolicitation would be an increase in the
number of shares of common stock owned by subscribers who choose to increase their subscriptions.
150
Table of Contents
In the event of an increase in the offering range of up to 15% of the total number of shares
of common stock offered in the offering, shares will be allocated in the following order of
priority in accordance with the plan of conversion:
(1)
to fill our tax-qualified employee benefit plans' subscriptions for up to 10%
of the total number of shares of common stock issued in the offering;
(2)
in the event that there is an oversubscription at the Eligible Account Holder,
Supplemental Eligible Account Holder or Other Member levels, to fill unfulfilled
subscriptions of these subscribers according to their respective priorities; and
(3)
to fill unfulfilled subscriptions in the community offering, with preference
given first to natural persons residing in the Texas counties of Collin, Dallas, Delta,
Denton, Ellis, Hunt, Hood, Kaufman, Johnson, Rockwall, Parker, Tarrant and Wise.
The term "associate" of a person means:
(1)
any corporation or organization, other than OmniAmerican Bank, OmniAmerican
Bancorp, Inc. or a majority-owned subsidiary of these entities, of which the person is
a senior officer, partner or 10% beneficial stockholder;
(2)
any trust or other estate in which the person has a substantial beneficial
interest or serves as a trustee or in a fiduciary capacity, excluding any employee
stock benefit plan in which the person has a substantial beneficial interest or serves
as trustee or in a fiduciary capacity; and
(3)
any blood or marriage relative of the person, who either lives in the same home
as the person or who is a director or officer of OmniAmerican Bank or OmniAmerican
Bancorp, Inc.
The term "acting in concert" means:
(1)
knowing participation in a joint activity or interdependent conscious parallel
action towards a common goal whether or not pursuant to an express agreement; or
(2)
a combination or pooling of voting or other interests in the securities of an
issuer for a common purpose pursuant to any contract, understanding, relationship,
agreement or other arrangement, whether written or otherwise.
A person or company that acts in concert with another person or company ("other party") shall
also be deemed to be acting in concert with any person or company who is also acting in concert
with that other party, except that any tax-qualified employee stock benefit plan will not be deemed
to be acting in concert with its trustee or a person who serves in a similar capacity solely for
the purpose of determining whether common stock held by the trustee and common stock held by the
employee stock benefit plan will be aggregated.
Our directors are not treated as associates of each other solely because of their membership
on the board of directors. We have the right to determine whether prospective purchasers are
associates or acting in concert. Shares of common stock purchased in the offering will be freely
transferable except for shares purchased by our executive officers and directors and except as
described below. Any purchases made by any associate of OmniAmerican Bank or OmniAmerican Bancorp,
Inc. for the explicit purpose of meeting
151
Table of Contents
the minimum number of shares of common stock required to be sold in order to complete the
offering shall be made for investment purposes only and not with a view toward redistribution. In
addition, under the guidelines of the Financial Industry Regulatory Authority, members of the
Financial Industry Regulatory Authority and their associates are subject to certain restrictions on
transfer of securities purchased in accordance with subscription rights and to certain reporting
requirements upon purchase of these securities. For a further discussion of limitations on
purchases of shares of our common stock at the time of conversion and thereafter, see "—Certain
Restrictions on Purchase or Transfer of Our Shares After Conversion" and "Restrictions on
Acquisition of OmniAmerican Bancorp, Inc."
Marketing and Distribution; Compensation
Offering materials have been initially distributed to certain persons by mail, with additional
copies made available through our Stock Information Center.
We have engaged Keefe, Bruyette & Woods, Inc., a broker-dealer registered with the Financial
Industry Regulatory Authority, as a financial advisor in connection with the offering of our common
stock. In its role as financial advisor, Keefe, Bruyette & Woods, Inc., will:
•
provide advice on the financial and securities market implications of the plan of
conversion and related corporate documents, including our business plan;
•
assist in structuring our stock offering, including developing and assisting in
implementing a market strategy for the stock offering;
•
review all offering documents, including this prospectus, stock order forms and
related offering materials (we are responsible for the preparation and filing of such
documents);
•
assist us in preparing for and scheduling meetings with potential investors and
broker-dealers, as necessary;
•
assist us in analyzing proposals from outside vendors retained in connection with
the stock offering, including printers, transfer agents and appraisal firms;
•
assist us in the drafting and distribution of press releases as required or
appropriate in connection with the stock offering
•
meet with the board of directors and management to discuss any of these services;
and
•
provide such other financial advisory and investment banking services in connection
with the stock offering as may be agreed upon by Keefe, Bruyette & Woods, Inc. and us.
For these services, Keefe, Bruyette & Woods, Inc. will receive a management fee of $50,000,
payable in four consecutive monthly installments commencing July 2009, and a success fee of 1.25%
of the aggregate dollar amount of the common stock sold in the subscription offering and community
offering, each if the conversion is consummated, excluding shares purchased by our directors,
officers and employees and members of their immediate families, our employee stock ownership plan
and our tax-qualified or stock-based compensation or similar plans (except individual retirement
accounts). The management fee will be credited against the fee payable upon the consummation of
the conversion.
152
Table of Contents
The plan of conversion provides that, if necessary, all shares of common stock not purchased
in the subscription offering and community offering may be offered for sale to the general public
in a syndicated community offering to be managed by Keefe, Bruyette & Woods, Inc. In such
capacity, Keefe, Bruyette & Woods, Inc. may form a syndicate of other broker-dealers. Neither
Keefe, Bruyette & Woods, Inc. nor any registered broker-dealer will have any obligation to take or
purchase any shares of common stock in the syndicated community offering; however, Keefe, Bruyette
& Woods, Inc. has agreed to use its best efforts in the sale of shares in any syndicated community
offering. If there is a syndicated community offering, Keefe, Bruyette & Woods, Inc. will receive
a management fee not to exceed 5.5% of the aggregate dollar amount of the common stock sold in the
syndicated community offering. This fee will include the success fees earned by Keefe, Bruyette &
Woods, Inc. in connection with the subscription and community offerings set forth above. Of this
amount, Keefe, Bruyette & Woods, Inc. will pass on to selected broker-dealers, who assist in the
syndicated community offering, an amount competitive with gross underwriting discounts charged at
such time for comparable amounts of stock sold at a comparable price per share in a similar market
environment.
We also will reimburse Keefe, Bruyette & Woods, Inc. for its reasonable out-of-pocket expenses
associated with its marketing effort up. In addition, we will reimburse Keefe, Bruyette & Woods,
Inc. for fees and expenses of its counsel not to exceed $60,000. If the plan of conversion is
terminated or if Keefe, Bruyette & Woods, Inc.'s engagement is terminated in accordance with the
provisions of the agreement, Keefe, Bruyette & Woods, Inc. will only receive reimbursement of its
reasonable out-of-pocket expenses and the portion of the management fee payable and will return any
amounts paid or advanced by us in excess of these amounts. We will indemnify Keefe, Bruyette &
Woods, Inc. against liabilities and expenses (including legal fees) related to or arising out of
Keefe, Bruyette & Woods, Inc.'s engagement as our financial advisor and performance of services as
our financial advisor.
We have also engaged Keefe, Bruyette & Woods, Inc. to act as our conversion agent in
connection with the stock offering. In its role as conversion agent, Keefe, Bruyette & Woods, Inc.
will, among other things:
•
consolidate accounts and develop a central file;
•
prepare proxy forms and proxy materials;
•
tabulate proxies and ballots;
•
act as inspector of election at the special meeting of members;
•
assist us in establishing and managing the Stock Information Center;
•
assist our financial printer with labeling of stock offering materials;
•
process stock order forms and certification forms and produce daily reports and
analysis;
•
assist our transfer agent with the generation and mailing of stock certificates;
•
advise us on interest and refund calculations; and
•
create tax forms for interest reporting.
153
Table of Contents
For these services, Keefe, Bruyette & Woods, Inc. will receive a fee of $100,000, and we have
made an advance payment of $25,000 to Keefe, Bruyette & Woods, Inc. with respect to this fee. We
also will reimburse Keefe, Bruyette & Woods, Inc. for its reasonable out-of-pocket expenses
associated with its acting as conversion agent. If the plan of conversion is terminated or if
Keefe, Bruyette & Woods, Inc.'s engagement is terminated in accordance with the provisions of the
agreement, Keefe, Bruyette & Woods, Inc. will be entitled to the advance payment and also receive
reimbursement of its reasonable out-of-pocket expenses. We will indemnify Keefe, Bruyette & Woods,
Inc. against liabilities and expenses (including legal fees) related to or arising out of Keefe,
Bruyette & Woods, Inc.'s engagement as our conversion agent and performance of services as our
conversion agent.
Our directors and executive officers may participate in the solicitation of offers to purchase
common stock. These persons will be reimbursed for their reasonable out-of-pocket expenses incurred
in connection with the solicitation. Other trained employees of OmniAmerican Bank or its affiliates
may assist in the offering in ministerial capacities, providing clerical work in effecting a sales
transaction or answering questions of a ministerial nature. No offers or sales may be made by
tellers or at the teller counters. All sales activity will be conducted in a segregated or
separately identifiable area of our main office facility apart from the area accessible to the
general public. Other questions of prospective purchasers will be directed to executive officers
or registered representatives of Keefe, Bruyette & Woods, Inc. Our other employees have been
instructed not to solicit offers to purchase shares of common stock or provide advice regarding the
purchase of common stock. We will rely on Rule 3a4-1 under the Securities Exchange Act of 1934, as
amended, and sales of common stock will be conducted within the requirements of Rule 3a4-1, so as
to permit officers, directors and employees to participate in the sale of common stock. None of our
officers, directors or employees will be compensated in connection with their participation in the
offering by the payment of commissions or other remuneration based either directly or indirectly on
the transactions in the shares of common stock.
The offering will comply with the requirements of Rule 10b-9 under the Securities Exchange Act
of 1934.
Procedure for Purchasing Shares
Expiration Date
.
The offering will expire at 12:00 noon, local time, on [expiration date],
unless we extend it for up to 45 days. This extension may be approved by us, in our sole
discretion, without further approval or additional notice to purchasers in the offering. Any
extension of the subscription and/or community offering beyond [extension date] would require the
Office of Thrift Supervision's approval. If an extension beyond [extension date] is granted by the
Office of Thrift Supervision, we will resolicit subscribers/persons who place orders, giving them
an opportunity to change or cancel their orders. We will notify these persons of the extension of
time and of the rights to place a new stock order for a specified period of time. If a person does
not respond, we will cancel his or her stock order and return his or her subscription funds, with
interest, and cancel any authorization to withdraw funds from deposit accounts for the purchase of
shares of common stock. If we have not received orders to purchase the minimum number of shares
offered in the offering by the expiration date or any extension thereof, we may terminate the
offering and promptly refund all funds received for shares of common stock. If the number of
shares offered is reduced below the minimum of the offering range, or increased above the adjusted
maximum of the offering range, subscribers may be resolicited with the approval of the Office of
Thrift Supervision.
To ensure that each purchaser receives a prospectus at least 48 hours before [expiration
date], the expiration date of the offering, in accordance with Rule 15c2-8 of the Securities
Exchange Act of 1934, as amended, no prospectus will be mailed any later than five days prior to
the expiration date or hand
154
Table of Contents
delivered any later than two days prior to the expiration date. Execution of an order form
will confirm receipt of delivery in accordance with Rule 15c2-8. Order forms will be distributed
only with a prospectus. Subscription funds will be maintained in a segregated account at
OmniAmerican Bank or at another insured depository institution and will earn interest at our
current passbook savings rate from the date of receipt.
We reserve the right in our sole discretion to terminate the offering at any time and for any
reason, in which case we will cancel any deposit account withdrawal orders and promptly return all
funds delivered to us, with interest at our current passbook savings rate from the date of receipt.
We have the right to reject any order submitted in the offering by a person who we believe is
making false representations or who we otherwise believe, either alone or acting in concert with
others, is violating, evading, circumventing, or intends to violate, evade or circumvent the terms
and conditions of the plan of conversion.
Use of Order Forms
.
In order to purchase shares of common stock in the subscription offering
and community offering, you must complete an order form and remit full payment. We will not be
required to accept incomplete order forms, unsigned order forms, orders submitted on photocopied or
facsimiled order forms. We must receive all order forms prior to 12:00 noon, local time, on
[expiration date]. We are not required to accept order forms that are not received by that time,
are executed defectively or are received without full payment or without appropriate withdrawal
instructions. A postmark prior to [expiration date] will not entitle you to purchase shares of
common stock unless we receive the envelope by [expiration date]. We are not required to notify
subscribers of incomplete or improperly executed order forms. We have the right to permit the
correction of incomplete or improperly executed order forms or waive immaterial irregularities. We
do not represent, however, that we will do so and we have no affirmative duty to notify any
prospective subscriber of any such defects. You may submit your order form and payment by mail
using the return envelope provided, by bringing your order form to our Stock Information Center or
to any branch office or by overnight delivery to the indicated address on the order form. Once
tendered, an order form cannot be modified or revoked without our consent. We reserve the absolute
right, in our sole discretion, to reject orders received in the community offering, in whole or in
part, at the time of receipt or at any time prior to completion of the offering. If you are
ordering shares, you must represent that you are purchasing shares for your own account and that
you have no agreement or understanding with any person for the sale or transfer of the shares. Our
interpretation of the terms and conditions of the plan of conversion and of the acceptability of
the order forms will be final, subject to the authority of the Office of Thrift Supervision.
By signing the order form, you will be acknowledging that the common stock is not a deposit or
savings account and is not federally insured or otherwise guaranteed by OmniAmerican Bank or the
federal government, and that you received a copy of this prospectus. However, signing the order
form will not result in you waiving your rights under the Securities Act of 1933 or the Securities
Exchange Act of 1934.
Payment for Shares
.
Payment for all shares of common stock will be required to accompany all
completed order forms for the purchase to be valid. Payment for shares may be made by:
(1)
personal check, bank check or money order, payable to OmniAmerican Bank; or
(2)
authorization of withdrawal from OmniAmerican Bank deposit accounts designated
on the order form.
155
Table of Contents
Appropriate means for designating withdrawals from deposit accounts at OmniAmerican Bank are
provided in the order forms. The funds designated must be available in the account(s) at the time
the order form is received. A hold will be placed on these funds, making them unavailable to the
depositor. Funds authorized for withdrawal will continue to earn interest within the account at the
contract rate until the offering is completed, at which time the designated withdrawal will be
made. Interest penalties for early withdrawal applicable to certificate accounts will not apply to
withdrawals authorized for the purchase of shares of common stock; however, if a withdrawal results
in a certificate account with a balance less than the applicable minimum balance requirement, the
certificate will be canceled at the time of withdrawal without penalty and the remaining balance
will be transferred to a savings account and earn interest at our current passbook savings rate
subsequent to the withdrawal. In the case of payments made by check or money order, these funds
must be available in the account(s) and will be immediately cashed and placed in a segregated
account at OmniAmerican Bank and/or another insured depository institution and will earn interest
at our current passbook savings rate from the date payment is received until the offering is
completed or terminated.
You may not use a check drawn on an OmniAmerican Bank line of credit, and we will not accept
third-party checks (a check written by someone other than you) payable to you and endorsed over to
OmniAmerican Bank. If you request that we place a hold on your checking account for the
subscription amount, we reserve the right to interpret that as your authorization to treat those
funds as if we had received a check for the designated amount, and we will immediately withdraw the
amount from your checking account. Once we receive your executed order form, it may not be
modified, amended or rescinded without our consent, unless the offering is not completed by the
expiration date, in which event purchasers may be given the opportunity to increase, decrease or
rescind their orders for a specified period of time.
If you are interested in using your individual retirement account funds to purchase shares of
common stock, you must do so through a self-directed individual retirement account such as a
brokerage firm individual retirement account. By regulation, OmniAmerican Bank's individual
retirement accounts are not self-directed, so they cannot be invested in shares of our common
stock. Therefore, if you wish to use your funds that are currently in an OmniAmerican Bank
individual retirement account, you may not designate on the order form that you wish funds to be
withdrawn from the account for the purchase of common stock. The funds you wish to use for the
purchase of common stock will have to be transferred to a brokerage account. It may take several
weeks to transfer your OmniAmerican Bank individual retirement account to an independent trustee,
so please allow yourself sufficient time to take this action. There will be no early withdrawal or
Internal Revenue Service interest penalties for these transfers. Depositors interested in using
funds in an individual retirement account or any other retirement account to purchase shares of
common stock should contact our Stock Information Center as soon as possible, preferably at least
two weeks prior to the end of the offering period, because processing such transactions takes
additional time, and whether such funds can be used may depend on limitations imposed by the
institutions where such funds are currently held. We cannot guarantee that you will be able to use
such funds.
We will have the right, in our sole discretion, to permit institutional investors to submit
irrevocable orders together with the legally binding commitment for payment and to thereafter pay
for the shares of common stock for which they subscribe in the syndicated community offering at any
time prior to the completion of the offering. This payment may be made by wire transfer.
Our employee stock ownership plan will not be required to pay for any shares purchased in the
offering until consummation of the offering, provided there is a loan commitment from an unrelated
156
Table of Contents
financial institution or OmniAmerican Bancorp, Inc. to lend to the employee stock ownership
plan the necessary amount to fund the purchase.
Regulations prohibit OmniAmerican Bank from knowingly lending funds or extending credit to any
persons to purchase shares of common stock in the offering.
Delivery of Stock Certificates
.
Certificates representing shares of common stock issued in the
offering and OmniAmerican Bank checks representing any applicable refund and/or interest paid on
subscriptions made by check or money order will be mailed to the persons entitled thereto at the
certificate registration address noted on the order form, as soon as practicable following
consummation of the offering and receipt of all necessary regulatory approvals. Any certificates
returned as undeliverable will be held by the transfer agent until claimed by persons legally
entitled thereto or otherwise disposed of in accordance with applicable law.
Until certificates for
the shares of common stock are available and delivered to purchasers, purchasers may not be able to
sell the shares of common stock that they ordered, even though the common stock will have begun
trading.
Other Restrictions
.
Notwithstanding any other provision of the plan of conversion, no person
is entitled to purchase any shares of common stock to the extent the purchase would be illegal
under any federal or state law or regulation, including state "blue sky" regulations, or would
violate regulations or policies of the Financial Industry Regulatory Authority, particularly those
regarding free riding and withholding. We may ask for an acceptable legal opinion from any
purchaser as to the legality of his or her purchase and we may refuse to honor any purchase order
if an opinion is not timely furnished. In addition, we are not required to offer shares of common
stock to any person who resides in a foreign country.
Restrictions on Transfer of Subscription Rights and Shares
Office of Thrift Supervision regulations prohibit any person with subscription rights,
including the Eligible Account Holders, Supplemental Eligible Account Holders and Other Members,
from transferring or entering into any agreement or understanding to transfer the legal or
beneficial ownership of the subscription rights issued under the plan of conversion or the shares
of common stock to be issued upon their exercise. These rights may be exercised only by the person
to whom they are granted and only for his or her account. Each person exercising subscription
rights will be required to certify that he or she is purchasing shares solely for his or her own
account and that he or she has no agreement or understanding regarding the sale or transfer of such
shares. The regulations also prohibit any person from offering or making an announcement of an
offer or intent to make an offer to purchase subscription rights or shares of common stock to be
issued upon their exercise prior to completion of the offering.
We intend to pursue any and all legal and equitable remedies in the event we become aware of
the transfer of subscription rights, and we will not honor orders that we believe involve the
transfer of subscription rights.
Stock Information Center
If you have any questions regarding the offering, please call our Stock Information Center at
[stock info #], or visit the Stock Information Center located at 1320 South University Drive, Suite
900, Fort Worth, Texas, Monday through Friday between 9:00 a.m. and 4:00 p.m., local time. The
Stock Information Center will be closed weekends and bank holidays.
157
Table of Contents
Liquidation Rights
In the unlikely event of a complete liquidation of OmniAmerican Bank prior to the conversion,
all claims of creditors of OmniAmerican Bank, including those of depositors of OmniAmerican Bank
(to the extent of their deposit balances), would be paid first. Then, if there were any assets of
OmniAmerican Bank remaining, members of OmniAmerican Bank would receive those remaining assets, pro
rata, based upon the deposit balances in their deposit account in OmniAmerican Bank immediately
prior to liquidation. In the unlikely event that OmniAmerican Bank were to liquidate after the
conversion, all claims of creditors, including those of depositors, would be paid first, followed
by distribution of the "liquidation account" to certain depositors, with any assets remaining
thereafter distributed to OmniAmerican Bancorp, Inc. as the holder of OmniAmerican Bank capital
stock. Pursuant to the rules and regulations of the Office of Thrift Supervision, a post-conversion
merger, consolidation, sale of bulk assets or similar combination or transaction with another
insured savings institution would not be considered a liquidation and, in these types of
transactions, the liquidation account would be assumed by the surviving institution.
The plan of conversion provides for the establishment, upon the completion of the conversion,
of a special "liquidation account" for the benefit of Eligible Account Holders and Supplemental
Eligible Account Holders in an amount equal to the total equity of OmniAmerican Bank as of the date
of its latest balance sheet contained in this prospectus.
The purpose of the liquidation account is to provide Eligible Account Holders and Supplemental
Eligible Account Holders who maintain their deposit accounts with OmniAmerican Bank after the
conversion with a liquidation interest in the unlikely event of the complete liquidation of
OmniAmerican Bank after the conversion. Each Eligible Account Holder and Supplemental Eligible
Account Holder that continues to maintain his or her deposit account at OmniAmerican Bank, would be
entitled, on a complete liquidation of OmniAmerican Bank after the conversion, to an interest in
the liquidation account prior to any payment to the stockholders of OmniAmerican Bancorp, Inc.
Each Eligible Account Holder and Supplemental Eligible Account Holder would have an initial
interest in the liquidation account for each deposit account, including savings accounts,
transaction accounts such as negotiable order of withdrawal accounts, money market deposit
accounts, and certificates of deposit, with a balance of $50 or more held in OmniAmerican Bank on
March 31, 2008 and [supplemental date], respectively. Each Eligible Account Holder and
Supplemental Eligible Account Holder would have a pro rata interest in the total liquidation
account for each such deposit account, based on the proportion that the balance of each such
deposit account on March 31, 2008 and [supplemental date], respectively, bears to the balance of
all deposit accounts in OmniAmerican Bank on such dates.
If, however, on any December 31 annual closing date commencing on or after the effective date
of the conversion, the amount in any such deposit account is less than the amount in the deposit
account on March 31, 2008 and [supplemental date], as applicable, or any other annual closing date,
then the interest in the liquidation account relating to such deposit account would be reduced from
time to time by the proportion of any such reduction, and such interest will cease to exist if such
deposit account is closed. In addition, no interest in the liquidation account would ever be
increased despite any subsequent increase in the related deposit account. Payment pursuant to
liquidation rights of Eligible Account Holders and Supplemental Eligible Account Holders would be
separate and apart from the payment of any insured deposit accounts to such depositor. Any assets
remaining after the above liquidation rights of Eligible Account Holders and Supplemental Eligible
Account Holders are satisfied would be distributed to OmniAmerican Bancorp, Inc., as the sole
stockholder of OmniAmerican Bank.
158
Table of Contents
Material Income Tax Consequences
Consummation of the conversion is subject to the prior receipt of an opinion of counsel or tax
advisor with respect to federal and state income taxation that the conversion will not be a taxable
transaction to OmniAmerican Bank, OmniAmerican Bancorp, Inc., Eligible Account Holders,
Supplemental Eligible Account Holders and Other Members. Unlike private letter rulings, opinions
of counsel or tax advisors are not binding on the Internal Revenue Service or any state taxing
authority, and such authorities may disagree with such opinions. In the event of such disagreement,
there can be no assurance that OmniAmerican Bank or OmniAmerican Bancorp, Inc. would prevail in a
judicial proceeding.
OmniAmerican Bank and OmniAmerican Bancorp, Inc. have received an opinion of counsel, Luse
Gorman Pomerenk & Schick, P.C., regarding all of the material federal income tax consequences of
the conversion, which includes the following:
1.
The conversion of OmniAmerican Bank to a federally chartered stock savings bank
will qualify as a tax-free reorganization within the meaning of Section 368(a)(1)(F) of
the Internal Revenue Code.
2.
OmniAmerican Bank will not recognize any gain or loss upon the receipt of money
from OmniAmerican Bancorp, Inc. in exchange for shares of common stock of OmniAmerican
Bank.
3.
The basis and holding period of the assets received by OmniAmerican Bank, in
stock form, from OmniAmerican Bank, in mutual form, will be the same as the basis and
holding period in such assets immediately before the conversion.
4.
No gain or loss will be recognized by account holders of OmniAmerican Bank,
including Eligible Account Holders, Supplemental Eligible Account Holders and Other
Members, upon the issuance to them of withdrawable deposit accounts in the OmniAmerican
Bank, in stock form, in the same dollar amount and under the same terms as held at
OmniAmerican Bank, in mutual form. In addition, Eligible Account Holders, Supplemental
Eligible Account Holders and Other Members will not recognize gain or loss upon receipt
of an interest in a liquidation account in OmniAmerican Bank in exchange for their
deemed ownership interests in OmniAmerican Bank.
5.
The basis of the account holders deposit accounts in OmniAmerican Bank, in
stock form, will be the same as the basis of their deposit accounts in OmniAmerican
Bank, in mutual form. The basis of the Eligible Account Holders, Supplemental Eligible
Account Holders and Other Members interests in the liquidation account will be zero,
which is the cost of such interest to such persons.
6.
It is more likely than not that the nontransferable subscription rights have no
value, based on the fact that these rights are acquired by the recipients without cost,
are nontransferable and of short duration, and afford the recipients the right only to
purchase the common stock at a price equal to its estimated fair market value, which
will be the same price as the subscription price for the shares of common stock in the
offering. Accordingly, no gain or loss will be recognized by Eligible Account Holders,
Supplemental Eligible Account Holders or Other Members upon distribution to them of
nontransferable subscription rights to purchase shares of OmniAmerican Bancorp, Inc.
159
Table of Contents
common stock, provided that the amount to be paid for OmniAmerican Bancorp, Inc.
common stock is equal to the fair market value of OmniAmerican Bancorp, Inc. common
stock.
7.
The basis of the shares of OmniAmerican Bancorp, Inc. common stock purchased in
the offering will be the purchase price. The holding period of the OmniAmerican
Bancorp, Inc. common stock purchased pursuant to the exercise of nontransferable
subscription rights will commence on the date on which the right to acquire such stock
was exercised.
8.
No gain or loss will be recognized by OmniAmerican Bancorp, Inc. on the receipt
of money in exchange for shares of OmniAmerican Bancorp, Inc. common stock sold in the
offering.
In the view of RP Financial, LC. (which is acting as independent appraiser of the value of the
shares of OmniAmerican Bancorp, Inc. common stock in connection with the conversion), the
subscription rights do not have any value for the reasons set forth above. RP Financial, LC.'s
view is not binding on the Internal Revenue Service. If the subscription rights granted to
Eligible Account Holders, Supplemental Eligible Account Holders and Other Members are deemed to
have an ascertainable value, receipt of these rights could result in taxable gain to those Eligible
Account Holders, Supplemental Eligible Account Holders and Other Members who exercise the
subscription rights in an amount equal to their value, and OmniAmerican Bancorp, Inc. could
recognize gain on a distribution. Eligible Account Holders, Supplemental Eligible Account Holders
and Other Members are encouraged to consult with their own tax advisors as to the tax consequences
in the event that subscription rights are deemed to have an ascertainable value.
The Internal Revenue Service has announced that it will not issue private letter rulings with
respect to the issue of whether nontransferable rights have value. Unlike private letter rulings,
an opinion of counsel or the view of an independent appraiser is not binding on the Internal
Revenue Service and the Internal Revenue Service could disagree with the conclusions reached
therein. Depending on the conclusion or conclusions with which the Internal Revenue Service
disagrees, the Internal Revenue Service may take the position that the transaction is taxable to
any one or more of OmniAmerican Bank, the members of OmniAmerican Bank, OmniAmerican Bancorp, Inc.
and the Eligible Account Holders, Supplemental Eligible Account Holders and Other Members who
exercise their subscription rights. In the event of a disagreement, there can be no assurance that
OmniAmerican Bancorp, Inc. or OmniAmerican Bank would prevail in a judicial or administrative
proceeding.
The federal tax opinion has been filed with the Securities and Exchange Commission as an
exhibit to OmniAmerican Bancorp, Inc.'s registration statement. Advice regarding the Texas state
income tax consequences consistent with the federal tax opinion has been issued by McGladrey &
Pullen, LLP, tax advisors to OmniAmerican Bank and OmniAmerican Bancorp, Inc.
Restrictions on Purchase or Transfer of Our Shares after Conversion
The shares being acquired by the directors, executive officers and their associates are being
acquired for investment purposes, and not with a view towards resale. All shares of common stock
purchased in the offering by a director or an executive officer of OmniAmerican Bank generally may
not be sold for a period of one year following the closing of the conversion, except in the event
of the death of the director or executive officer. Each certificate for restricted shares will bear
a legend giving notice of this restriction on transfer, and instructions will be issued to the
effect that any transfer within this time period of any certificate or record ownership of the
shares other than as provided above is a violation of
160
Table of Contents
the restriction. Any shares of common stock issued at a later date as a stock dividend, stock
split or otherwise with respect to the restricted stock will be similarly restricted. The directors
and executive officers of OmniAmerican Bancorp, Inc. also will be restricted by the insider trading
rules promulgated pursuant to the Securities Exchange Act of 1934.
Purchases of shares of our common stock by any of our directors, executive officers and their
associates, during the three-year period following the closing of the conversion may be made only
through a broker or dealer registered with the Securities and Exchange Commission, except with the
prior written approval of the Office of Thrift Supervision. This restriction does not apply,
however, to negotiated transactions involving more than 1% of our outstanding common stock, to
purchases of our common stock to fund stock options by one or more stock-based benefit plans or to
any of our tax-qualified employee stock benefit plans or nontax-qualified employee stock benefit
plans, including any stock-based benefit plans.
Office of Thrift Supervision regulations prohibit OmniAmerican Bancorp, Inc. from repurchasing
its shares of common stock during the first year following conversion unless compelling business
reasons exist for such repurchases. After one year, the Office of Thrift Supervision does not
impose any repurchase restrictions.
RESTRICTIONS ON ACQUISITION OF OMNIAMERICAN BANCORP, INC.
Although the board of directors of OmniAmerican Bancorp, Inc. is not aware of any effort that
might be made to obtain control of OmniAmerican Bancorp, Inc. after the conversion, the board of
directors believes that it is appropriate to include certain provisions as part of OmniAmerican
Bancorp, Inc.'s articles of incorporation to protect the interests of OmniAmerican Bancorp, Inc.
and its stockholders from takeovers which our board of directors might conclude are not in the best
interests of OmniAmerican Bank, OmniAmerican Bancorp, Inc. or OmniAmerican Bancorp, Inc.'s
stockholders.
OmniAmerican Bancorp, Inc.'s Articles of Incorporation and Bylaws
The following discussion is a general summary of the material provisions of OmniAmerican
Bancorp, Inc.'s articles of incorporation and bylaws, OmniAmerican Bank's charter and bylaws,
Maryland corporate law and certain other regulatory provisions that may be deemed to have an
"anti-takeover" effect. The following description of certain of these provisions is necessarily
general and, with respect to provisions contained in OmniAmerican Bancorp, Inc.'s articles of
incorporation and bylaws and OmniAmerican Bank's stock charter and bylaws, reference should be made
in each case to the document in question, each of which is part of OmniAmerican Bank's application
for conversion with the Office of Thrift Supervision and OmniAmerican Bancorp, Inc.'s registration
statement filed with the Securities and Exchange Commission. See "Where You Can Find Additional
Information."
OmniAmerican Bancorp, Inc.'s Articles of Incorporation and Bylaws
OmniAmerican Bancorp, Inc.'s articles of incorporation and bylaws contain a number of
provisions relating to corporate governance and rights of stockholders that might discourage future
takeover attempts. As a result, stockholders who might desire to participate in such transactions
may not have an opportunity to do so. In addition, these provisions will also render the removal of
the board of directors or management of OmniAmerican Bancorp, Inc. more difficult.
Directors
.
The board of directors will be divided into three classes. The members of each
class will be elected for a term of three years and only one class of directors will be elected
annually. Thus, it
161
Table of Contents
would take at least two annual elections to replace a majority of our directors. The bylaws
establish qualifications for board members, including restrictions on affiliations with competitors
of OmniAmerican Bank and prior legal or regulatory violations. Further, the bylaws impose notice
and information requirements in connection with the nomination by stockholders of candidates for
election to the board of directors or the proposal by stockholders of business to be acted upon at
an annual meeting of stockholders. Such notice and information requirements are applicable to all
stockholder business proposals and nominations, and are in addition to any requirements under the
federal securities laws.
Evaluation of Offers.
The articles of incorporation of OmniAmerican Bancorp, Inc. provide
that its board of directors, when evaluating a transaction that would or may involve a change in
control of OmniAmerican Bancorp, Inc. (whether by purchases of its securities, merger,
consolidation, share exchange, dissolution, liquidation, sale of all or substantially all of its
assets, proxy solicitation or otherwise), may, in connection with the exercise of its business
judgment in determining what is in the best interests of OmniAmerican Bancorp, Inc. and its
stockholders and in making any recommendation to the stockholders, give due consideration to all
relevant factors, including, but not limited to:
•
the economic effect, both immediate and long-term, upon OmniAmerican Bancorp, Inc.'s
stockholders, including stockholders, if any, who do not participate in the
transaction;
•
the social and economic effect on the present and future employees, creditors and
customers of, and others dealing with, OmniAmerican Bancorp, Inc. and its subsidiaries
and on the communities in which OmniAmerican Bancorp, Inc. and its subsidiaries operate
or are located;
•
whether the proposal is acceptable based on the historical, current or projected
future operating results or financial condition of OmniAmerican Bancorp, Inc.;
•
whether a more favorable price could be obtained for OmniAmerican Bancorp, Inc.'s
stock or other securities in the future;
•
the reputation and business practices of the other entity to be involved in the
transaction and its management and affiliates as they would affect the employees of
OmniAmerican Bancorp, Inc. and its subsidiaries;
•
the future value of the stock or any other securities of OmniAmerican Bancorp, Inc.
or the other entity to be involved in the proposed transaction;
•
any antitrust or other legal and regulatory issues that are raised by the proposal;
•
the business and historical, current or expected future financial condition or
operating results of the other entity to be involved in the transaction, including, but
not limited to, debt service and other existing financial obligations, financial
obligations to be incurred in connection with the proposed transaction, and other
likely financial obligations of the other entity to be involved in the proposed
transaction; and
•
the ability of OmniAmerican Bancorp, Inc. to fulfill its objectives as a financial
institution holding company and on the ability of its subsidiary financial
institution(s) to fulfill the objectives of a federally insured financial institution
under applicable statutes and regulations.
162
Table of Contents
If the board of directors determines that any proposed transaction should be rejected, it may
take any lawful action to defeat such transaction.
Restrictions on Call of Special Meetings
.
The bylaws provide that special meetings of
stockholders can be called by only the President, a majority of the total number of directors that
OmniAmerican Bancorp, Inc. would have if there were no vacancies on the board of directors (the
"whole board"), or the Secretary upon the written request of stockholders entitled to cast at least
a majority of all votes entitled to vote at the meeting.
Prohibition of Cumulative Voting
.
The articles of incorporation prohibit cumulative voting
for the election of directors.
Limitation of Voting Rights
.
The articles of incorporation provide that in no event will any
person who beneficially owns more than 10% of the then-outstanding shares of common stock, be
entitled or permitted to vote any of the shares of common stock held in excess of the 10% limit;
provided that such 10% limit shall not apply if a majority of the unaffiliated directors approve
the acquisition of shares in excess of the 10% limit prior to such acquisition.
Restrictions on Removing Directors from Office
.
The articles of incorporation provide that
directors may be removed only for cause, and only by the affirmative vote of the holders of at
least 80% of the voting power of all of our then-outstanding capital stock entitled to vote
generally in the election of directors (after giving effect to the limitation on voting rights
discussed above in "—Limitation of Voting Rights"), voting together as a single class.
Authorized but Unissued Shares
. After the conversion, OmniAmerican Bancorp, Inc. will have
authorized but unissued shares of common and preferred stock. See "Description of Capital Stock."
The articles of incorporation authorize 50,000,000 shares of serial preferred stock. OmniAmerican
Bancorp, Inc. is authorized to issue preferred stock from time to time in one or more series
subject to applicable provisions of law, and the board of directors is authorized to fix the
preferences, conversion and other rights, voting powers, restrictions, limitations as to dividends,
qualifications and terms and conditions of redemption of such shares. In addition, the articles of
incorporation provide that a majority of the whole board may, without action by the stockholders,
amend the articles of incorporation to increase or decrease the aggregate number of shares of stock
of any class or series that OmniAmerican Bancorp, Inc. has the authority to issue. In the event of
a proposed merger, tender offer or other attempt to gain control of OmniAmerican Bancorp, Inc. that
the board of directors does not approve, it would be possible for the board of directors to
authorize the issuance of a series of preferred stock with rights and preferences that would impede
the completion of the transaction. An effect of the possible issuance of preferred stock therefore
may be to deter a future attempt to gain control of OmniAmerican Bancorp, Inc. The board of
directors has no present plan or understanding to issue any preferred stock.
Amendments to Articles of Incorporation and Bylaws.
Except as provided under "— Authorized
but Unissued Shares," above, regarding the amendment of the articles of incorporation by the board
of directors to increase or decrease the number of shares authorized for issuance, or as otherwise
allowed by law, any amendment to the articles of incorporation must be approved by our board of
directors and also by a majority of the outstanding shares of our voting stock; provided, however,
that approval by at least 80% of the outstanding voting stock is generally required to amend the
following provisions:
(i)
The limitation on voting rights of persons who directly or indirectly
beneficially own more than 10% of the outstanding shares of common stock;
163
Table of Contents
(ii)
The division of the board of directors into three staggered classes;
(iii)
The ability of the board of directors to fill vacancies on the board;
(iv)
The requirement that at least 80% of stockholders must vote to remove
directors, and can only remove directors for cause;
(v)
The ability of the board of directors to amend and repeal the bylaws;
(vi)
The ability of the board of directors to evaluate a variety of factors in
evaluating offers to purchase or otherwise acquire OmniAmerican Bancorp, Inc.;
(vii)
The authority of the board of directors to provide for the issuance of
preferred stock;
(viii)
The validity and effectiveness of any action lawfully authorized by the affirmative
vote of the holders of a majority of the total number of outstanding shares of common
stock;
(ix)
The number of stockholders constituting a quorum or required for stockholder
consent;
(x)
The indemnification of current and former directors and officers, as well as
employees and other agents, by OmniAmerican Bancorp, Inc.; and
(xi)
The limitation of liability of officers and directors to OmniAmerican Bancorp,
Inc. for money damages.
(xii)
The provision of the articles of incorporation requiring approval of at least
80% of the outstanding voting stock to amend the provisions of the articles of
incorporation provided in (i) through (xi) of this list.
The articles of incorporation also provide that the bylaws may be amended by the affirmative
vote of a majority of our directors or by the stockholders by the affirmative vote of at least 80%
of the total votes eligible to be voted at a duly constituted meeting of stockholders. Any
amendment of this supermajority requirement for amendment of the bylaws would also require the
approval of 80% of the outstanding voting stock.
Maryland Corporate Law
Under Maryland law, "business combinations" between a Maryland corporation and an interested
stockholder or an affiliate of an interested stockholder are prohibited for five years after the
most recent date on which the interested stockholder becomes an interested stockholder. These
business combinations include a merger, consolidation, statutory share exchange or, in
circumstances specified in the statute, certain transfers of assets, certain stock issuances and
transfers, liquidation plans and reclassifications involving interested stockholders and their
affiliates or issuance or reclassification of equity securities. Maryland law defines an interested
stockholder as: (i) any person who beneficially owns 10% or more of the voting power of a
corporation's voting stock after the date on which the corporation had 100 or more beneficial
owners of its stock; or (ii) an affiliate or associate of the corporation at any time after the
date on which the corporation had 100 or more beneficial owners of its stock who, within the
two-year period prior to the date in question, was the beneficial owner of 10% or more of the
voting power of the then-outstanding voting stock of the corporation. A person is not an interested
stockholder under the statute if the board of directors approved in advance the transaction by
which the person otherwise would have become an interested stockholder. However, in approving a
transaction, the board of directors may
164
Table of Contents
provide that its approval is subject to compliance, at or after the time of approval, with any
terms and conditions determined by the board.
After the five-year prohibition, any business combination between the Maryland corporation and
an interested stockholder generally must be recommended by the board of directors of the
corporation and approved by the affirmative vote of at least: (i) 80% of the votes entitled to be
cast by holders of outstanding shares of voting stock of the corporation and (ii) two-thirds of the
votes entitled to be cast by holders of voting stock of the corporation other than shares held by
the interested stockholder with whom or with whose affiliate the business combination is to be
effected or held by an affiliate or associate of the interested stockholder. These super-majority
vote requirements do not apply if the corporation's common stockholders receive a minimum price, as
defined under Maryland law, for their shares in the form of cash or other consideration in the same
form as previously paid by the interested stockholder for its shares.
Conversion Regulations
Office of Thrift Supervision regulations prohibit any person from making an offer, announcing
an intent to make an offer or participating in any other arrangement to purchase stock or acquiring
stock or subscription rights in a converting institution or its holding company from another person
prior to completion of its conversion. Further, without the prior written approval of the Office of
Thrift Supervision, no person may make an offer or announcement of an offer to purchase shares or
actually acquire shares of a converted institution or its holding company for a period of three
years from the date of the completion of the conversion if, upon the completion of such offer,
announcement or acquisition, the person would become the beneficial owner of more than 10% of the
outstanding stock of the institution or its holding company. The Office of Thrift Supervision has
defined "person" to include any individual, group acting in concert, corporation, partnership,
association, joint stock company, trust, unincorporated organization or similar company, a
syndicate or any other group formed for the purpose of acquiring, holding or disposing of
securities of an insured institution. However, offers made exclusively to a bank or its holding
company, or an underwriter or member of a selling group acting on the converting institution's or
its holding company's behalf for resale to the general public are excepted. The regulation also
provides civil penalties for willful violation or assistance in any such violation of the
regulation by any person connected with the management of the converting institution or its holding
company or who controls more than 10% of the outstanding shares or voting rights of a converted
institution or its holding company.
Change in Control Regulations
Under the Change in Bank Control Act, no person may acquire control of an insured federal
savings bank or its parent holding company unless the Office of Thrift Supervision has been given
60 days' prior written notice and has not issued a notice disapproving the proposed acquisition. In
addition, Office of Thrift Supervision regulations provide that no company may acquire control of a
savings bank without the prior approval of the Office of Thrift Supervision. Any company that
acquires such control becomes a "savings and loan holding company" subject to registration,
examination and regulation by the Office of Thrift Supervision.
Control, as defined under federal law, means ownership, control of or holding irrevocable
proxies representing more than 25% of any class of voting stock, control in any manner of the
election of a majority of the institution's directors, or a determination by the Office of Thrift
Supervision that the acquirer has the power to direct, or directly or indirectly to exercise a
controlling influence over, the management or policies of the institution. Acquisition of more than
10% of any class of a savings bank's voting stock, if the acquirer is also subject to any one of
eight "control factors," constitutes a rebuttable
165
Table of Contents
determination of control under the regulations. Such control factors include the acquirer
being one of the two largest stockholders. The determination of control may be rebutted by
submission to the Office of Thrift Supervision, prior to the acquisition of stock or the occurrence
of any other circumstances giving rise to such determination, of a statement setting forth facts
and circumstances which would support a finding that no control relationship will exist and
containing certain undertakings. The regulations provide that persons or companies that acquire
beneficial ownership exceeding 10% or more of any class of a savings bank's stock who do not intend
to participate in or seek to exercise control over a savings bank's management or policies may
qualify for a safe harbor by filing with the Office of Thrift Supervision a certification form that
states, among other things, that the holder is not in control of such institution, is not subject
to a rebuttable determination of control and will take no action which would result in a
determination or rebuttable determination of control without prior notice to or approval of the
Office of Thrift Supervision, as applicable. There are also rebuttable presumptions in the
regulations concerning whether a group "acting in concert" exists, including presumed action in
concert among members of an "immediate family."
The Office of Thrift Supervision may prohibit an acquisition of control if it finds, among
other things, that:
•
the acquisition would result in a monopoly or substantially lessen competition;
•
the financial condition of the acquiring person might jeopardize the financial
stability of the institution;
•
the competence, experience or integrity of the acquiring person indicates that it
would not be in the interest of the depositors or the public to permit the acquisition
of control by such person; or
•
the acquisition would have an adverse effect on the Deposit Insurance Fund.
DESCRIPTION OF CAPITAL STOCK
General
At the effective date, OmniAmerican Bancorp, Inc. will be authorized to issue 100,000,000
shares of common stock, par value of $0.01 per share, and 50,000,000 shares of preferred stock, par
value $0.01 per share. OmniAmerican Bancorp, Inc. currently expects to issue in the offering up to
11,902,500 shares of common stock. OmniAmerican Bancorp, Inc. will not issue shares of preferred
stock in the conversion. Each share of OmniAmerican Bancorp, Inc. common stock will have the same
relative rights as, and will be identical in all respects to, each other share of common stock.
Upon payment of the subscription price for the common stock, in accordance with the plan of
conversion, all of the shares of common stock will be duly authorized, fully paid and
nonassessable.
The shares of common stock of OmniAmerican Bancorp, Inc. will represent nonwithdrawable
capital, will not be an account of an insurable type, and will not be insured by the Federal
Deposit Insurance Corporation or any other government agency.
Common Stock
Dividends
.
OmniAmerican Bancorp, Inc. can pay dividends on its common stock if, after giving
effect to the distribution, it would be able to pay its indebtedness as the indebtedness comes due
in the
166
Table of Contents
usual course of business and its total assets exceed the sum of its liabilities and the amount
needed, if OmniAmerican Bancorp, Inc. were to be dissolved at the time of the distribution, to
satisfy the preferential rights upon dissolution of any holders of capital stock who have a
preference in the event of dissolution. The holders of common stock of OmniAmerican Bancorp, Inc.
will be entitled to receive and share equally in dividends as may be declared by our board of
directors out of funds legally available therefor. If OmniAmerican Bancorp, Inc. issues shares of
preferred stock, the holders thereof may have a priority over the holders of the common stock with
respect to dividends.
Voting Rights
.
Upon consummation of the conversion, the holders of common stock of
OmniAmerican Bancorp, Inc. will have exclusive voting rights in OmniAmerican Bancorp, Inc. They
will elect OmniAmerican Bancorp, Inc.'s board of directors and act on other matters as are required
to be presented to them under Maryland law or as are otherwise presented to them by the board of
directors. Generally, each holder of common stock will be entitled to one vote per share and will
not have any right to cumulate votes in the election of directors. Any person who beneficially
owns more than 10% of the then-outstanding shares of OmniAmerican Bancorp, Inc.'s common stock,
however, will not be entitled or permitted to vote any shares of common stock held in excess of the
10% limit. If OmniAmerican Bancorp, Inc. issues shares of preferred stock, holders of the
preferred stock may also possess voting rights. Certain matters require an 80% stockholder vote.
As a federal stock savings bank, corporate powers and control of OmniAmerican Bank are vested
in its board of directors, who elect the officers of OmniAmerican Bank and who fill any vacancies
on the board of directors. Voting rights of OmniAmerican Bank are vested exclusively in the owners
of the shares of capital stock of OmniAmerican Bank, which will be OmniAmerican Bancorp, Inc., and
voted at the direction of OmniAmerican Bancorp, Inc.'s board of directors. Consequently, the
holders of the common stock of OmniAmerican Bancorp, Inc. will not have direct control of
OmniAmerican Bank.
Liquidation
.
In the event of any liquidation, dissolution or winding up of OmniAmerican Bank,
OmniAmerican Bancorp, Inc., as the holder of 100% of OmniAmerican Bank's capital stock, would be
entitled to receive all assets of OmniAmerican Bank available for distribution, after payment or
provision for payment of all debts and liabilities of OmniAmerican Bank, including all deposit
accounts and accrued interest thereon, and after distribution of the balance in the liquidation
account to Eligible Account Holders and Supplemental Eligible Account Holders. In the event of
liquidation, dissolution or winding up of OmniAmerican Bancorp, Inc., the holders of its common
stock would be entitled to receive, after payment or provision for payment of all its debts and
liabilities, all of the assets of OmniAmerican Bancorp, Inc. available for distribution. If
preferred stock is issued, the holders thereof may have a priority over the holders of the common
stock in the event of liquidation or dissolution.
Preemptive Rights
.
Holders of the common stock of OmniAmerican Bancorp, Inc. will not be
entitled to preemptive rights with respect to any shares that may be issued, unless such preemptive
rights are approved by the board of directors. The common stock is not subject to redemption.
Preferred Stock
None of the shares of OmniAmerican Bancorp, Inc.'s authorized preferred stock will be issued
as part of the offering or the conversion. Preferred stock may be issued with preferences and
designations as our board of directors may from time to time determine. Our board of directors may,
without stockholder approval, issue shares of preferred stock with voting, dividend, liquidation
and conversion rights that could dilute the voting strength of the holders of the common stock and
may assist management in impeding an unfriendly takeover or attempted change in control.
167
Table of Contents
TRANSFER AGENT
The transfer agent and registrar for OmniAmerican Bancorp, Inc.'s common stock
is
________________.
EXPERTS
The financial statements of OmniAmerican Bank as of December 31, 2008 and 2007, and for each
of the years in the three-year period ended December 31, 2008, have been included herein and in the
registration statement in reliance upon the report of McGladrey & Pullen, LLP, independent
registered public accounting firm, appearing elsewhere herein, and upon the authority of said firm
as experts in accounting and auditing.
RP Financial, LC. has consented to the publication herein of the summary of its report to
OmniAmerican Bancorp, Inc. setting forth its opinion as to the estimated pro forma market value of
the shares of common stock upon completion of the conversion and offering and its letter with
respect to subscription rights.
LEGAL AND TAX MATTERS
Luse Gorman Pomerenk & Schick, P.C., Washington, D.C., counsel to OmniAmerican Bancorp, Inc.
and OmniAmerican Bank, will issue to OmniAmerican Bancorp, Inc. its opinions regarding the legality
of the common stock and the federal income tax consequences of the conversion. Luse Gorman
Pomerenk & Schick, P.C. has consented to the references in this prospectus to its opinions.
Certain legal matters will be passed
upon for Keefe, Bruyette and Woods, Inc. by Malizia Spidi & Fisch, P.C., Washington, D.C.
WHERE YOU CAN FIND ADDITIONAL INFORMATION
OmniAmerican Bancorp, Inc. has filed with the Securities and Exchange Commission a
registration statement under the Securities Act of 1933 with respect to the shares of common stock
offered hereby. As permitted by the rules and regulations of the Securities and Exchange
Commission, this prospectus does not contain all the information set forth in the registration
statement. Such information, including the appraisal report which is an exhibit to the
registration statement, can be examined without charge at the public reference facilities of the
Securities and Exchange Commission located at 100 F Street, N.E., Washington, D.C. 20549, and
copies of such material can be obtained from the Securities and Exchange Commission at prescribed
rates. The Securities and Exchange Commission telephone number is 1-800-SEC-0330. In addition,
the Securities and Exchange Commission maintains a web site (http://www.sec.gov) that contains
reports, proxy and information statements and other information regarding registrants that file
electronically with the Securities and Exchange Commission, including OmniAmerican Bancorp, Inc.
The statements contained in this prospectus as to the contents of any contract or other document
filed as an exhibit to the registration statement are, of necessity, brief descriptions of the
material terms of, and should be read in conjunction with, such contract or document.
OmniAmerican Bank has filed with the Office of Thrift Supervision an Application on Form AC
with respect to the conversion. This prospectus omits certain information contained in the
application. The application may be examined at the principal office of the Office of Thrift
Supervision, 1700 G Street, N.W., Washington, D.C. 20552, and at the Western Regional Office of the
Office of Thrift
168
Table of Contents
Supervision, located at 225 East John Carpenter Freeway, Suite 500, Irving, Texas 75062. Our
plan of conversion is available, upon request, at each of our branch offices.
In connection with the offering, OmniAmerican Bancorp, Inc. will register its common stock
under
Section 12(b)
of the Securities Exchange Act of 1934 and, upon such registration,
OmniAmerican Bancorp, Inc. and the holders of its common stock will become subject to the proxy
solicitation rules, reporting requirements and restrictions on common stock purchases and sales by
directors, officers and greater than 10% stockholders, the annual and periodic reporting and
certain other requirements of the Securities Exchange Act of 1934. Under the plan of conversion,
OmniAmerican Bancorp, Inc. has undertaken that it will not terminate such registration for a period
of at least three years following the offering.
169
INDEX TO FINANCIAL STATEMENTS OF
OMNIAMERICAN BANK
Report of Independent Registered Public Accounting Firm
F-2
Balance Sheets at June 30, 2009 (unaudited) and December 31, 2008 and 2007
F-3
Statements of Operations for the six months ended June 30, 2009 and 2008 (unaudited) and the years
ended December 31, 2008, 2007 and 2006
F-4
Statements of Changes in Equity Capital for the six months ended June 30, 2009 (unaudited)
and the years ended December 31, 2008, 2007 and 2006
F-5
Statements of Cash Flows for the six months ended June 30, 2009 and 2008 (unaudited) and the years
ended December 31, 2008, 2007 and 2006
F-6
Notes to Financial Statements
F-7
***
Separate financial statements for OmniAmerican Bancorp, Inc. have not been included in this
prospectus because OmniAmerican Bancorp, Inc. has not engaged in any significant activities, has no
significant assets, and has no contingent liabilities, revenue or expenses.
All financial statement schedules have been omitted as the required information either is not
applicable or is included in the financial statements or related notes.
F-1
Table of Contents
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Board of Directors
OmniAmerican Bank
Fort Worth, Texas
We have audited the accompanying balance sheets of OmniAmerican Bank ("the
Company") as of December 31,
2008 and 2007, and the related consolidated statements of operations, changes in equity capital, and cash flows for
each of the three years in the period ended December 31, 2008. These consolidated financial statements are the
responsibility of the Company's management. Our responsibility is to express an opinion on these consolidated
financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board
(United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position
of OmniAmerican Bank as of December 31, 2008 and 2007, and the results of its operations and its cash flows for
each of the three years in the period ended December 31, 2008 in conformity with U.S. generally accepted
accounting principles.
Dallas, Texas
March 23, 2009
McGladrey & Pullen, LLP is a member firm of RSM International,
an affiliation of separate and independent legal entities.
F-2
Table of Contents
OmniAmerican Bank
Balance Sheets
(In thousands)
December 31,
June 30, 2009
2008
2007
(unaudited)
ASSETS
Cash and due from financial institutions
$
14,181
$
17,242
$
15,853
Short-term interest-earning deposits in other
financial institutions
39,015
24,000
3,183
Total cash and cash equivalents
53,196
41,242
19,036
Investments:
Securities available for sale (Amortized cost of
$181,214 on June 30, 2009, $228,249 on December
31, 2008 and $243,603 on December 31, 2007)
183,993
230,304
244,585
Other
7,287
10,014
10,065
Loans held for sale
425
160
253
Loans, net of deferred fees and discounts
733,922
724,044
714,485
Less allowance for loan losses
(8,822
)
(8,270
)
(7,386
)
Loans, net
725,100
715,774
707,099
Premises and equipment, net
52,572
54,176
53,187
Accrued interest receivable
3,502
3,921
3,883
Deferred tax asset, net
7,942
8,406
8,720
Other assets
4,289
3,917
4,193
Total assets
$
1,038,306
$
1,067,914
$
1,051,021
LIABILITIES AND EQUITY CAPITAL
Deposits:
Noninterest-bearing
$
69,357
$
67,483
$
69,879
Interest-bearing
690,474
672,363
660,016
Total deposits
759,831
739,846
729,895
Federal Home Loan Bank advances
117,900
169,900
156,900
Other secured borrowings
58,000
58,664
66,156
Accrued expenses and other liabilities
12,309
10,175
9,348
Total liabilities
948,040
978,585
962,299
Commitments and contingencies
—
—
—
Equity capital:
Retained earnings
90,359
89,900
89,256
Accumulated other comprehensive loss
(93
)
(571
)
(534
)
Total equity capital
90,266
89,329
88,722
Total liabilities and equity capital
$
1,038,306
$
1,067,914
$
1,051,021
See Notes to Financial Statements.
F-3
Table of Contents
OmniAmerican Bank
Statements of Operations
(In thousands)
Six
Months Ended
June 30,
Year Ended December 31,
2009
2008
2008
2007
2006
(unaudited)
Interest income:
Loans, including fees
$
22,795
$
22,140
$
45,111
$
44,016
$
43,125
Securities — taxable
4,780
6,680
12,536
10,899
8,885
Securities — nontaxable
76
—
49
—
—
Total interest income
27,651
28,820
57,696
54,915
52,010
Interest expense:
Deposits
7,095
9,805
18,105
22,724
16,444
Borrowed funds
4,068
4,916
9,572
6,964
9,077
Total interest expense
11,163
14,721
27,677
29,688
25,521
Net interest income
16,488
14,099
30,019
25,227
26,489
Provision for loan losses
2,400
1,875
3,825
3,650
6,113
Net interest income after provision for loan
losses
14,088
12,224
26,194
21,577
20,376
Noninterest income:
Service charges and other fees
5,367
6,366
12,650
15,316
15,467
Net gains on sales of securities available for sale
1,104
—
121
—
—
Net gains on sales of loans
991
226
1,175
223
44
Net (losses) gains on sales of fixed assets
(5
)
1
7
—
(11
)
Commissions
431
584
1,166
1,020
1,209
Other income
474
1,080
1,150
1,010
616
Total noninterest income
8,362
8,257
16,269
17,569
17,325
Noninterest expense:
Salaries and benefits
10,501
8,443
19,261
20,977
22,617
Operations
7,094
6,633
12,712
12,379
12,787
Occupancy
1,879
2,268
4,104
4,094
4,135
Professional and outside services
1,589
2,319
4,281
3,560
3,829
Loan servicing
193
125
276
489
305
Marketing
246
186
443
934
2,284
Total noninterest expense
21,502
19,974
41,077
42,433
45,957
Income (loss) before income tax expense (benefit)
948
507
1,386
(3,287
)
(8,256
)
Income tax expense (benefit)
489
286
742
(1,115
)
(7,332
)
Net income (loss)
$
459
$
221
$
644
$
(2,172
)
$
(924
)
Pro forma income statement data:
Less tax benefit — change in tax status
—
—
—
—
4,541
Pro forma net income (loss)
$
459
$
221
$
644
$
(2,172
)
$
(5,465
)
See Notes to Financial Statements.
F-4
Table of Contents
OmniAmerican Bank
Statements of Changes in Equity Capital
(In thousands)
Accumulated
Other
Total
Retained
Comprehensive
Equity
Earnings
Income (Loss)
Capital
Balances at January 1, 2006
$
92,352
$
(4,634
)
$
87,718
Comprehensive income:
Net loss
(924
)
—
(924
)
Change in fair value of securities available for sale, net of
income tax effect of $(1,036)
—
2,623
2,623
Change in unrealized loss on pension plan, net of income
tax effect of $286
—
(556
)
(556
)
Total comprehensive income
1,143
Balances at December 31, 2006
91,428
(2,567
)
88,861
Comprehensive income:
Net loss
(2,172
)
—
(2,172
)
Change in fair value of securities available for sale, net of
income tax effect of $(1,370)
—
2,659
2,659
Change in unrealized loss on pension plan, net of income
tax effect of $322
—
(626
)
(626
)
Total comprehensive loss
(139
)
Balances at December 31, 2007
89,256
(534
)
88,722
Comprehensive income:
Net income
644
—
644
Change in fair value of securities available for sale, net of
reclassification to earnings of $(121) and
income tax effect of $(365)
—
708
708
Change in unrealized loss on pension plan, net of income
tax effect of $384
—
(745
)
(745
)
Total comprehensive income
607
Balances at December 31, 2008
89,900
(571
)
89,329
Six months ended June 30, 2009 (unaudited)
Comprehensive income:
Net income
459
—
459
Change in fair value of securities available for sale, net of
reclassification to earnings of $(1,104) and
income tax effect of $(246)
—
478
478
Total comprehensive income
937
Balances at June 30, 2009 (unaudited)
$
90,359
$
(93
)
$
90,266
See Notes to Financial Statements.
F-5
Table of Contents
OmniAmerican Bank
Statements of Cash Flows
(In thousands)
Six
Months Ended
June 30,
Year Ended December 31,
2009
2008
2008
2007
2006
(unaudited)
Cash flows from operating activities:
Net income (loss)
$
459
$
221
$
644
$
(2,172
)
$
(924
)
Adjustments to reconcile net income (loss) to net cash provided
by operating activities:
Depreciation and amortization
2,768
2,445
5,079
4,937
5,636
Provision for loan losses
2,400
1,875
3,825
3,650
6,113
Amortization of net premium on investments
207
271
448
459
1,007
Net gain on sale of securities available for sale
(1,104
)
—
(121
)
—
—
Net gain on sales of loans
(991
)
(226
)
(1,175
)
(223
)
(44
)
Net loss (gain) on disposition of premises and equipment
5
(1
)
(7
)
—
11
Net loss on write-down of other real estate owned
—
—
—
—
222
Net (gain) loss on sale of other real estate owned
—
—
(3
)
65
—
Federal Home Loan Bank stock dividends
(13
)
(135
)
(220
)
(320
)
(525
)
Decrease (increase) in cash surrender value of life insurance
—
—
—
824
(99
)
Changes in operating assets and liabilities:
Loans held for sale
(265
)
(738
)
93
666
(919
)
Accrued interest receivable
419
239
(38
)
(517
)
(284
)
Other assets
(92
)
(917
)
(520
)
394
(3,990
)
Accrued interest payable and other liabilities
2,134
588
829
(446
)
(1,108
)
Net cash provided by operating activities
5,927
3,622
8,834
7,317
5,096
Cash flows from investing activities:
Securities available for sale:
Purchases
(18,104
)
(38,560
)
(73,612
)
(123,451
)
(1,303
)
Proceeds from sales
36,806
—
40,809
—
—
Proceeds from maturities, calls and principal repayments
29,230
29,016
47,830
33,341
34,509
Loans purchased
(14,914
)
(48,669
)
(78,044
)
(37,720
)
(12,973
)
Proceeds from sales of loans
50,616
13,546
72,834
13,659
18,265
Purchases of other investments
(10
)
(1,201
)
(1,518
)
(3,189
)
(325
)
Redemptions of other investments
2,751
262
1,789
3,158
8,010
Net (increase) decrease in loans
(46,500
)
108
(6,284
)
41,873
58,945
Purchases of premises and equipment
(1,171
)
(2,090
)
(6,123
)
(3,444
)
(3,269
)
Net decrease in National Credit Union Share Insurance Fund deposit
—
—
—
—
6,387
Proceeds from sales of premises and equipment
2
28
61
1
213
Proceeds from sales of other real estate owned
—
—
171
443
—
Net cash provided by (used in) investing activities
38,706
(47,560
)
(2,087
)
(75,329
)
108,459
Cash flows from financing activities:
Net increase (decrease) in deposits
19,985
18,314
9,951
(64,257
)
105,095
Net (decrease) increase in Federal Home Loan Bank advances
(52,000
)
25,000
13,000
28,000
(124,579
)
Net (decrease) increase in other secured borrowings
(664
)
(1,808
)
(7,492
)
24,988
(36,628
)
Net cash (used in) provided by financing activities
(32,679
)
41,506
15,459
(11,269
)
(56,112
)
Net increase (decrease) in cash and cash equivalents
11,954
(2,432
)
22,206
(79,281
)
57,443
Cash and cash equivalents, beginning of period
41,242
19,036
19,036
98,317
40,874
Cash and cash equivalents, end of period
$
53,196
$
16,604
$
41,242
$
19,036
$
98,317
Supplemental cash flow information:
Interest paid
$
16,815
$
14,878
$
27,672
$
28,996
$
25,457
Non-cash transactions:
Premises transferred to other real estate owned
$
—
$
—
$
—
$
—
$
665
Loans transferred to other real estate owned
$
63
$
168
$
168
$
508
$
—
Loans transferred to foreclosed assets
$
2,612
$
951
$
1,682
$
1,264
$
289
See Notes to Financial Statements.
F-6
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 1 — Organization and Nature of Operations
OmniAmerican Bank ("OmniAmerican", the "Company" or the "Bank") is a federally-chartered mutual
savings bank headquartered in Fort Worth, Texas. The Bank provides a variety of banking and
financial services to individuals and business customers located in a market area which includes
North Central Texas. The Bank's operations are conducted primarily through its executive office in
Fort Worth, Texas and 16 branches located in the Dallas/Fort Worth Metroplex and Hood County.
OmniAmerican converted to a federal mutual savings bank on January 1, 2006. The Bank previously
operated as a Texas state-chartered credit union organized under the provisions of the Texas Credit
Union Act.
NOTE 2 — Summary of Significant Accounting and Reporting Policies
Interim Financial Statements
The financial statements of the Bank at June 30, 2009, and for the six months ended June 30, 2009
and 2008 have been prepared in conformity with accounting principles generally accepted in the
United States of America for interim financial information and predominant practices followed by
the financial services industry; and are unaudited. However, in management's opinion, the interim
data as of June 30, 2009 and for the six months ended June 30, 2009 and 2008 includes all
adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the
results of the interim periods. The results of operations for the interim periods are not
necessarily indicative of the results of operations to be expected for the full year.
Principles of Consolidation
The financial statements include the accounts of OmniAmerican Bank and, for the years ended
December 31, 2007 and 2006, its wholly-owned subsidiary, OmniAmerican Inc. OmniAmerican Inc.
became inactive in 2008. All significant intercompany balances and transactions have been
eliminated in consolidation.
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted
in the United States of America requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during
the reporting periods. Actual results could differ materially from those estimates. The allowance
for loan losses, realization of deferred tax assets and fair values of financial instruments are particularly
subject to change.
F-7
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Cash and Cash Equivalents
Cash and cash equivalents consist of cash on hand, amounts due from banks and investments with
maturities of three months or less at date of purchase. Net cash flows are reported for loan and
deposit transactions and, in 2006, the National Credit Union Share Insurance Fund deposit.
The Company maintains funds on deposit at correspondent banks which at times exceed the federally
insured limits. The Company's management monitors the balance in these accounts and periodically
assesses the financial condition of correspondent banks.
Investment Securities
Investments that the Company intends to hold for an indefinite period of time, but not necessarily
to maturity, are classified as available-for-sale and are carried at fair value. Unrealized gains
and losses on investments classified as available-for-sale have been accounted for as accumulated
other comprehensive income (loss).
Gains and losses on the sale of available-for-sale securities are determined using the
specific-identification method. Amortization of premiums and discounts are recognized in interest
income over the period to maturity. For debt securities the Company intends to sell prior to
recovery or for which it is more-likely-than not that the Company will have to sell prior to
recovery, impairment losses are considered other-than-temporary and the entire difference between
the security's cost and its fair value are recorded in earnings. For debt securities the Company
does not intend to sell or for which it is more-likely-than not that the Company will not have to
sell prior to recovery, the Company recognizes a credit loss component of an other-than-temporary
impairment in earnings and the remaining portion of the impairment loss in other comprehensive
income. The credit loss component of an other-than-temporary impairment is determined based upon
the Company's estimate of the present value of the cash flows expected to be collected.
The Company, as a member of the Federal Home Loan Bank (FHLB) system, is required to maintain an
investment in capital stock of the FHLB in an amount between 0.05% and 0.30% of its assets plus
between 3.50% and 5.00% of advances outstanding. No ready market exists for the FHLB stock, and it
has no quoted market value; however, the stock is redeemable upon proper notice given to the FHLB.
The investment in FHLB stock is carried at cost and included in other investments in the balance
sheets.
Membership Capital Accounts at Corporate Credit Unions
The Company had membership capital accounts at corporate credit unions as of December 31, 2008 and
December 31, 2007. The accounts were uninsured deposits that could be redeemed with a three-year
notice. Such amounts are included in other investments in the balance sheets.
F-8
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Loans Held for Sale
Loans originated and intended for sale in the secondary market are carried at the lower of cost or
estimated fair value in the aggregate. Net unrealized losses, if any, are recognized through a
valuation allowance by charges to income. Sales in the secondary market are recognized when full
acceptance and funding has been received. Gains and losses on sales of loans are recorded as the
difference between the sales price and the carrying value of the loan sold.
Loans
Loans that management intends to hold for the foreseeable future or until maturity or payoff are
reported at the amount of unpaid principal, net of an allowance for loan losses and deferred loan
fees and costs. Interest on loans is recognized over the terms of the loans and is calculated
using the simple interest method on principal amounts outstanding. Loan fees and certain direct
loan origination costs are deferred, and the net fee or cost is recognized as an adjustment to
interest income using the interest method over the contractual lives of the related loans. For
loans that pay-off prior to their contractual maturity, any remaining unamortized loan fees or
costs are recognized.
The accrual of interest on loans is discontinued when management believes that the borrower's
financial condition is such that collection of interest is doubtful. The Company's policy is
generally to discontinue accrual of interest when the loan becomes 90 days delinquent. All
interest accrued but not collected for loans that are placed on non-accrual status or charged off
is reversed against interest income. Interest income on these loans is subsequently recognized on
the cash basis until all the principal and interest amounts contractually due are brought current
and future payments are reasonably assured, in which case the loan is returned to accrual status.
Allowance for Loan Losses
The allowance for loan losses is maintained at a level that, in management's judgment, is adequate
to cover probable credit losses inherent in the loan portfolio at the balance sheet date. The
allowance for loan losses is established as losses are estimated to have occurred through a
provision for loan losses charged to earnings. Loan losses are charged against the allowance when
management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if
any, are credited to the allowance.
The allowance for loan losses is evaluated on a regular basis by management and is based upon
management's periodic review of the collectibility of the loans in light of historical experience,
the nature and volume of the loan portfolio, adverse situations that may affect the borrower's
ability to repay, estimated value of any underlying collateral and prevailing economic conditions.
This evaluation is inherently subjective as it requires estimates that are susceptible to significant
revision as more information becomes available.
The allowance consists of specific and general components. The specific component relates to loans
that are classified as doubtful, substandard or special mention. For such loans that are also
classified
F-9
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
as impaired, an allowance is established when the discounted cash flows (or collateral value or
observable market price) of the impaired loan is lower than the carrying value of that loan. The
general component covers non-classified loans and is based on the historical loss experience
adjusted for qualitative factors.
A loan is considered impaired when, based on current information and events, it is probable that
the Company will be unable to collect the scheduled payments of principal or interest when due
according to the contractual terms of the loan agreement. Factors considered by management in
determining impairment include payment status, collateral value and the probability of collecting
scheduled principal and interest payments when due. Loans that experience insignificant payment
delays and payment shortfalls generally are not classified as impaired. Management determines the
significance of payment delays and payment shortfalls on a case-by-case basis, taking into
consideration all of the circumstances surrounding the loan and the borrower, and the amount of the
shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan
basis for commercial loans by either the present value of expected future cash flows discounted at
the loan's effective interest rate, the loan's obtainable market price or the fair value of the
collateral if the loan is collateral dependent.
Large groups of smaller balance homogeneous loans are collectively evaluated for impairment.
Accordingly, the Company does not separately review individual consumer and residential mortgage
loans for impairment, unless such loans are the subject of a restructuring agreement.
Premises and Equipment
Land is carried at cost. Depreciable premises and equipment are stated at cost less accumulated
depreciation and amortization. Depreciation expense is computed on the straight-line method based
upon the estimated useful lives of the assets ranging from 3 to 40 years. Maintenance and repairs
are charged to noninterest expense. Renewals and betterments are added to the asset accounts and
depreciated over the periods benefited. Depreciable assets sold or retired are removed from the
asset and related accumulated depreciation accounts and any resulting gain or loss is reflected in
the income and expense accounts. The cost of leasehold improvements is amortized using the
straight-line method over the lesser of the useful lives of the assets or the terms of the related
leases.
Other Real Estate Owned
Other real estate owned is recorded at the lower of cost or fair value less estimated costs to sell
the property at the date of transfer to other real estate owned. The fair value of other real
estate is determined through independent third-party appraisals. At the time a loan is transferred
to other real estate owned, any carrying amount in excess of the fair value less estimated costs to
sell the property is charged off to the allowance for loan losses. Subsequently, should the fair
value of an asset, less the estimated costs to sell, decline to less than the carrying amount of
the asset, the deficiency is recognized in the period in which it becomes known and is included in
noninterest expense. Net operating expenses of properties are also included in noninterest
expense. Other real estate owned is included in other assets in the accompanying balance sheets.
Gains and losses realized from sales of other real estate owned are recorded in noninterest income.
F-10
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Foreclosed Assets
Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially
recorded at fair value at the date of foreclosure, establishing a new cost basis. Subsequent to
foreclosure, valuations are periodically performed by management and the assets are carried at the
lower of carrying amount or fair value less costs to sell. Foreclosed assets are included in other
assets in the accompanying balance sheets. Revenues and expenses from operations and changes in
the valuation allowance are included in operations expense.
Transfers of Financial Assets
Transfers of financial assets are accounted for as sales when control over the assets has been
surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have
been isolated from the Company, (2) the transferee obtains the right (free of conditions that
constrain it from taking advantage of the right) to pledge or exchange the transferred assets, and
(3) the Company does not maintain effective control over the transferred assets through an
agreement to repurchase them before their maturity.
Income Taxes
The Company accounts for income taxes using the asset and liability method of accounting for income
taxes as prescribed in SFAS No. 109, "Accounting for Income Taxes." Under this method, deferred
tax assets and liabilities are recognized for the future tax consequences attributable to
differences between the financial statement carrying amounts of existing assets and liabilities and
their respective tax bases and net operating loss carryforwards. If currently available
information raises doubt as to the realization of the deferred tax assets, a valuation allowance is
established. Deferred tax assets and liabilities are measured using enacted tax rates expected to
apply to taxable income in the years in which those temporary differences are expected to be
recovered or settled.
Effective January 1, 2009, the Company adopted the provisions of Financial Accounting Standards
Board ("FASB") Interpretation No. 48, "Accounting for Uncertainty in Income Taxes" ("FIN 48"), and
uses a "more-likely-than-not" recognition threshold and measurement attribute for the financial
statement recognition and measurement of a tax position taken or expected to be taken in a tax
return. The adoption of FIN 48 did not have any impact on the Company's financial statements.
Pension Plan
The Company has a non-contributory defined benefit plan providing pension benefits covering
employees who meet certain age and service requirements. The Plan was initially established
through the Company's membership in the CUNA Mutual Group. Effective December 31, 2006, the
Company froze its defined benefit plan for current participants and closed the plan to new
participants. The compensation cost under the defined benefit plan is recognized on the net
periodic cost method over the employees' approximate service period. The aggregate cost method is
utilized for funding purposes. Effective April 1, 2007, the administration of the plan was
transferred from CUNA Mutual Group to Principal Financial Group.
F-11
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Comprehensive Income
Accounting principles generally require that recognized revenue, expenses, gains, and losses be
included in net income. Certain changes in assets and liabilities, such as unrealized gains and
losses on available-for-sale securities and the defined benefit pension plan, are reported as a
separate component of the equity capital section of the balance sheet.
Restrictions on Cash
Cash on hand or on deposit with the Federal Reserve Bank of $9,774 (unaudited), $8,990 and $8,814
was required to meet regulatory reserve and clearing requirements at June 30, 2009, December 31,
2008 and December 31, 2007, respectively.
Reclassifications
Certain prior year amounts have been reclassified in order to conform to current year presentation.
Such reclassifications had no affect on net income or equity.
Advertising Costs
Advertising costs are charged to earnings as incurred. Total advertising expense was $153 and $109
(unaudited) for the six months ended June 30, 2009 and 2008, respectively. During the years ended
December 31, 2008, 2007, and 2006, advertising costs of $261, $592, and $1,726, respectively, were
charged to earnings.
Recent Accounting Pronouncements
In April 2009, the Financial Accounting Standards Board ("FASB") issued FASB Staff Position ("FSP")
No. FAS 115-2 and FAS No. 124-2, "Recognition and Presentation of Other-Than-Temporary
Impairments." This FSP amends the other-than-temporary impairment guidance in U.S. generally
accepted accounting principles ("GAAP") for debt securities. Consistent with current requirements
for recording other-than-temporary impairments, this FSP states that the amount of impairment loss
recorded in earnings for a debt security will be the entire difference between the security's cost
and its fair value if the company intends to sell the debt security prior to recovery or it is
more-likely-than not that the company will have to sell the debt security prior to recovery. If,
however, the company does not intend to sell the debt security and it concludes that it is
more-likely-than-not that it will not have to sell the debt security prior to recovery, this FSP
requires a company to recognize the credit loss component of an other-than-temporary impairment of
a debt security in earnings and the remaining portion of the impairment loss in other comprehensive
income. The credit loss component of an other-than-temporary impairment must be determined based
on a company's best estimate of cash flows expected to be collected. This FSP became effective for
interim and annual periods ending after June 15, 2009. The Company adopted this FSP for the period
ended June 30, 2009. Adoption did not have a material effect on the Company's financial
statements.
F-12
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
In April 2009, the FASB issued FSP No. FAS 157-4, "Determining Fair Value When the Volume and Level
of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions
That Are Not Orderly." This FSP provides additional guidance for estimating fair value in
accordance with SFAS 157 when the volume and level of activity for an asset or liability have
significantly decreased. It also provides guidance on identifying circumstances that indicate a
transaction is not orderly. Determination of whether a transaction is orderly or not orderly in
instances when there has been a significant decrease in the volume and level of activity for an
asset or liability depends on an evaluation of facts and circumstances and requires the use of
significant judgment. This FSP requires a company to disclose the inputs and valuation techniques
used to measure fair value and to discuss changes in such inputs and valuation techniques, if any,
that occurred during the reporting period. This FSP became effective for interim and annual
periods ending after June 15, 2009. The Company adopted this FSP for the period ended June 30,
2009. Adoption did not have a material effect on the Company's financial statements.
In April 2009, the FASB issued FSP No. FAS 107-1 and APB 28-1, "Interim Disclosures about Fair
Value of Financial Instruments." This FSP amends FASB Statement No. 107, "Disclosures about Fair
Value of Financial Instruments," to require interim reporting period disclosure about the fair
value of financial instruments, including assets, liabilities and off-balance sheet items for which
it is practicable to estimate fair value. The fair value estimates are made based upon relevant
market information, if available, and upon the characteristics of the financial instruments
themselves. The Company adopted this FSP for the period ended June 30, 2009. See Note 14 — Fair
Value Measurements for the disclosures required by this FSP.
In April 2009, the FASB issued FSP 141(R)-1, "Accounting for Assets Acquired and Liabilities
Assumed in a Business Combination That Arise from Contingencies," which amends and clarifies SFAS
No. 141 (revised 2007), "Business Combinations," to address application issues raised by preparers,
auditors and members of the legal profession on initial recognition and measurement, subsequent
measurement and accounting, and disclosure of assets and liabilities arising from contingencies in
a business combination. This FSP is effective for assets or liabilities arising from contingencies
in business combinations for which the acquisition date is on or after the beginning of the first
annual reporting period beginning after December 15, 2008. This FSP is not expected to have a
material effect on the Company's financial statements.
In May 2009, the FASB issued Statement of Financial Accounting Standards ("SFAS") No. 165,
"Subsequent Events." The objective of this statement is to establish principles and requirements
for subsequent events and, in particular, the period after the balance sheet date during which
management of a reporting entity shall evaluate events or transactions that may occur for potential
recognition or disclosure in the financial statements; the circumstances under which an entity
shall recognize events or transactions occurring after the balance sheet date in its financial
statements and the disclosures that an entity shall make about events or transactions that occurred
after the balance sheet date. SFAS 165 is effective for interim and annual reporting periods
ending after June 15, 2009. The Company adopted this FSP for the period ended June 30, 2009.
Adoption did not have a material effect on the Company's financial statements. The Company has evaluated all events
or transactions that occurred after June 30, 2009 through September 11, 2009, the date the Company issued these financial
statements.
F-13
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
In June 2009, the FASB issued SFAS No. 166, "Accounting for Transfers of Financial Assets — an
amendment of FASB Statement No. 140," to improve the reporting for the transfer of financial assets
resulting from (1) practices that have developed since the issuance of FASB Statement No. 140,
"Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities,"
that are not consistent with the original intent and key requirements of that Statement and (2)
concerns of financial statement users that many of the financial assets (and related obligations)
that have been derecognized should continue to be reported in the financial statements of
transferors. SFAS 166 is effective for interim and annual reporting periods beginning after
November 15, 2009. The adoption of SFAS 166 is not expected to have a material effect on the
Company's results of operations or financial position.
In June 2009, the FASB issued SFAS No. 167, "Amendments to FASB Interpretation No. 46(R)" to amend
certain requirements of FASB Interpretation No. 46 (revised December 2003), "Consolidation of
Variable Interest Entities" to improve financial reporting by enterprises involved with variable
interest entities and to provide more relevant and reliable information to users of financial
statements. The Statement is effective for interim and annual reporting periods beginning after
November 15, 2009. The adoption of SFAS 167 is not expected to have a material effect on the Company's results
of operations or financial position.
In June 2009, the FASB issued SFAS No. 168, "The FASB Accounting Standards Codification™ and the
Hierarchy of Generally Accepted Accounting Principles—a replacement of FASB Statement No. 162."
SFAS 168 identifies the sources of authoritative accounting principles and the framework for
selecting the principles used in the preparation of financial statements that are presented in
conformity with U.S. GAAP by nongovernmental entities. SFAS 168 is effective for financial
statements issued for interim and annual periods ending after September 15, 2009. The adoption of
SFAS 168 is not expected to have a material effect on the Company's results of operations or
financial position.
NOTE 3 — Concentration of Funds
The Company had the following balances on deposit at other financial institutions at the dates
indicated:
June 30,
December 31,
2009
2008
2007
(unaudited)
The Independent Bankers' Bank
$
22,640
$
22,107
$
4,115
F-14
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 4 — Investment Securities
The amortized cost and estimated fair values of investment securities available for sale and the
related gross unrealized gains and losses recognized in accumulated other comprehensive income
(loss) as of June 30, 2009, December 31, 2008 and December 31, 2007 were as follows:
Gross
Gross
Amortized
Unrealized
Unrealized
Cost
Gains
Losses
Fair Value
June 30, 2009 (unaudited)
Mortgage-backed securities
$
155,168
$
5,225
$
(582
)
$
159,811
Agency bonds
10,078
—
—
10,078
Trust preferred securities
7,778
—
(1,916
)
5,862
Municipal obligations
5,190
—
—
5,190
Other equity securities
3,000
52
—
3,052
Total investment
securities available
for sale
$
181,214
$
5,277
$
(2,498
)
$
183,993
December 31, 2008
Mortgage-backed securities
$
212,151
$
4,882
$
(1,323
)
$
215,710
Trust preferred securities
7,808
—
(1,533
)
6,275
Municipal obligations
5,290
—
—
5,290
Other equity securities
3,000
29
—
3,029
Total investment
securities available
for sale
$
228,249
$
4,911
$
(2,856
)
$
230,304
December 31, 2007
Mortgage-backed securities
$
240,603
$
1,743
$
(793
)
$
241,553
Other equity securities
3,000
32
—
3,032
Total investment
securities available
for sale
$
243,603
$
1,775
$
(793
)
$
244,585
F-15
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Investment securities available for sale with gross unrealized losses at June 30, 2009, December
31, 2008 and December 31, 2007, aggregated by investment category and length of time that
individual securities have been in a continuous loss position, are as follows:
Continuous Unrealized Losses Existing for
Less Than 12 Months
Greater Than 12 Months
Total
Unrealized
Unrealized
Unrealized
Fair Value
Losses
Fair Value
Losses
Fair Value
Losses
June 30, 2009 (unaudited)
Mortgage-backed securities
$
3,438
$
(43
)
$
5,535
$
(539
)
$
8,973
$
(582
)
Trust preferred securities
—
—
5,862
(1,916
)
5,862
(1,916
)
$
3,438
$
(43
)
$
11,397
$
(2,455
)
$
14,835
$
(2,498
)
December 31, 2008
Mortgage-backed securities
$
14,476
$
(1,046
)
$
3,475
$
(277
)
$
17,951
$
(1,323
)
Trust preferred securities
6,275
(1,533
)
—
—
6,275
(1,533
)
$
20,751
$
(2,579
)
$
3,475
$
(277
)
$
24,226
$
(2,856
)
December 31, 2007
Mortgage-backed securities
$
11,450
$
(48
)
$
95,457
$
(745
)
$
106,907
$
(793
)
Unrealized losses are generally the result of interest rate levels differing from those existing at the time
of purchase of the securities and, as to mortgage-backed securities, estimated prepayment speeds.
These unrealized losses are considered temporary as they reflect fair values on June 30, 2009,
December 31, 2008 and December 31, 2007 and are subject to change daily as interest rates
fluctuate. The Company does not intend to sell these securities and it is more-likely-than-not that the Company
will not be required to sell prior to recovery. Management evaluates investment securities for other-than-temporary
impairment at least on a quarterly basis, and more frequently when economic or market concerns
warrant such evaluation. Consideration is given to (1) the length of time and the extent to which
the fair value has been less than cost, (2) the financial condition and near-term prospects of the
issuer, and (3) the intent of the Company to sell or whether it would be more-likely-than-not required to sell its investment in the issuer for a
period of time sufficient to allow for any anticipated recovery in fair value.
At June 30, 2009, December 31, 2008 and December 31, 2007, investment securities available for sale
consisted primarily of mortgage-backed securities having stated maturities over five years. The
expected maturities on these securities are between one and five years as of June 30, 2009 and
December 31, 2008, based on estimated prepayments of the underlying mortgages. Expected maturities
may differ from contractual maturities because borrowers may have the right to call or repay
obligations with or without call or prepayment penalties, therefore, a summary of the maturities of
these securities is not presented.
Investment securities with an amortized cost of $107,642, $144,019 and $175,989 at June 30, 2009,
December 31, 2008 and December 31, 2007, respectively, were pledged to secure Federal Home Loan
F-16
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Bank advances. In addition, investment securities with an amortized cost of $67,211, $68,318 and
$63,932 at June 30, 2009, December 31, 2008 and December 31, 2007, respectively, were pledged to
secure other borrowings. See Note 9 for additional information.
During the six months ended June 30, 2009, proceeds from sales of investment securities were
$36,806, and gains from sales of investment securities were $1,104. During the twelve months ended
December 31, 2008, proceeds from sales of investment securities were $40,809 and gains from sales
of investment securities were $121. No investment securities were sold during the six months ended
June 30, 2008 or the twelve months ended December 31, 2007 or 2006. Gains or losses on the sales
of securities are recognized at the trade date utilizing the specific identification method.
Other investments consisted of the following at the dates indicated:
June 30
December 31,
2009
2008
2007
(unaudited)
Membership capital accounts in corporate credit unions
$
—
$
2,359
$
2,359
Federal Home Loan Bank stock
7,262
7,640
7,706
Community Development Investment
25
15
—
$
7,287
$
10,014
$
10,065
Membership capital accounts are uninsured equity capital accounts that may be redeemed with a
three-year notice. The Company provided a notice of withdrawal to the holders of the membership
capital accounts on January 1, 2006 due to the Company's conversion to a federally-chartered thrift
and the accounts were closed on January 2, 2009.
F-17
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 5 — Loans and Allowance for Loan Losses
The loan portfolio consists of various types of loans made principally to borrowers located in
Tarrant and Dallas County, Texas. The composition of the loan portfolio was as follows at the
dates indicated:
June 30,
December 31,
2009
2008
2007
(unaudited)
Real Estate Loans:
One- to four-family
$
261,334
$
245,554
$
210,475
Home equity
27,564
27,180
21,183
Commercial real estate
95,625
89,023
81,953
Real estate construction
40,500
45,840
43,003
Total real estate loans
425,023
407,597
356,614
Consumer Loans:
Automobile, indirect
198,296
209,371
258,782
Automobile, direct
31,238
34,824
37,687
Unsecured
14,135
14,505
15,991
Other
5,552
5,832
7,048
Total consumer loans
249,221
264,532
319,508
Commercial Business Loans
61,442
50,975
34,884
Total loans
735,686
723,104
711,006
Plus (Less):
Deferred fees and discounts
(1,764
)
940
3,479
Allowance for losses
(8,822
)
(8,270
)
(7,386
)
Total loans receivable, net
$
725,100
$
715,774
$
707,099
In 2008, the Bank began purchasing one- to four-family residential loans at a discounted price to
the principal balance of the mortgage loans. As of June 30, 2009, the total outstanding loan
balance of all purchased one- to four-family residential loans was $32,399, while the carrying
value, net of purchase discounts was $27,324. As of December 31, 2008, the total outstanding loan
balance of all purchased one- to four-family residential loans was $20,218, while the carrying
value, net of purchase discounts was $17,916.
At December 31, 2008 and December 31, 2007, vehicle loan participations amounting to $664 and
$16,156, respectively, are included in loans receivable. These loan participations did not meet
the criteria for treatment as sales under SFAS No. 140, "Accounting for Transfers and Servicing of
Financial Assets and Extinguishments of Liabilities-a replacement of FASB Statement No. 125," and
F-18
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
were included in loans and other secured borrowings in the balance sheets. There were no vehicle
loan participations remaining at June 30, 2009.
Activity in the allowance for loan losses was as follows for the periods indicated:
Six Months Ended
June 30,
Year Ended December 31,
2009
2008
2008
2007
2006
(unaudited)
Balance, beginning of year
$
8,270
$
7,386
$
7,386
$
7,049
$
4,792
Provision for loan losses
2,400
1,875
3,825
3,650
6,113
Loans charged-off
(2,058
)
(1,958
)
(3,520
)
(4,329
)
(4,548
)
Recoveries of loans previously charged-off
210
315
579
1,016
692
Balance, end of period
$
8,822
$
7,618
$
8,270
$
7,386
$
7,049
At June 30, 2009, eight loans with balances outstanding of $5,122 and related allowance for loan
losses of $1,135 were considered to be impaired under SFAS No. 114, "Accounting by Creditors for
Impairment of a Loan." At December 31, 2008, one loan with a balance outstanding of $5,272 and a
related allowance of $683 was considered to be impaired under SFAS No. 114. At December 31, 2007,
there were no loans that were reported as impaired.
At June 30, 2009, December 31, 2008 and December 31, 2007, loans on which accrual of interest had
been discontinued were $5,573, $5,701 and $2,972, respectively. In addition, at June 30, 2009,
December 31, 2008 and December 31, 2007, the Bank had troubled debt restructurings (loans for which
a portion of interest or principal has been forgiven and loans modified at interest rates
materially less than current market rates) of $6,321, $3,976 and $2,079, respectively. If interest
on these non-accruing and troubled debt restructured loans had been current in accordance with
their original terms, such income would have been approximately $695 and $404 for the six months
ended June 30, 2009 and 2008, respectively, and $531, $271, and $26 for the years ended December
31, 2008, 2007, and 2006, respectively. At December 31, 2006, there was one loan with a balance of
$2,938 greater than 90 days past due that continued to accrue interest. There were no loans greater than 90 days past
due that continued to accrue interest at June 30, 2009, December 31, 2008 or December 31, 2007.
The Company originates real estate mortgage loans which are sold in the secondary market. The
Company retains the servicing for residential real estate loans that are sold to the Federal
National Mortgage Association ("FNMA"). Mortgage loans serviced for FNMA are not included as
assets on the balance sheets. The principal balances of the loans at June 30, 2009, December 31,
2008 and December 31, 2007 were $90,077, $60,198 and $4,710, respectively. Mortgage servicing
rights associated with the mortgage loans serviced for FNMA totaled $1,114, $765 and $65 as of June
30, 2009, December 31, 2008, and December 31, 2007, respectively, and are included in other assets
in the balance sheets.
F-19
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
A large percentage of the Company's customers work or reside in Tarrant or Dallas County, and
surrounding areas. Although the Company has a diversified loan portfolio, borrowers' ability to
repay loans may be affected by the economic climate of the overall geographic region in which
borrowers reside.
NOTE 6 — Premises and Equipment
Premises and equipment were as follows at the dates indicated:
June 30,
December 31,
2009
2008
2007
(unaudited)
Land
$
6,690
$
6,690
$
6,690
Buildings and improvements
45,958
45,682
43,738
Furniture and equipment
41,637
40,817
37,088
Leasehold improvements
3,118
3,157
3,081
97,403
96,346
90,597
Accumulated amortization and depreciation
(44,831
)
(42,170
)
(37,410
)
$
52,572
$
54,176
$
53,187
Depreciation and amortization charged to expense amounted to $2,768, $2,445, $5,079, $4,937 and
$5,636 for the six months ended June 30, 2009 and 2008 and the years ended December 31, 2008, 2007
and 2006, respectively.
At December 31, 2008, the Company had certain non-cancelable operating leases for premises with
future minimum annual rental payments as follows:
Year ended December 31,
2009
$
460
2010
416
2011
245
2012
237
2013
237
Thereafter
303
$
1,898
Rent expense was $352, $263, $560, $544 and $540, for the six months ended June 30, 2009 and 2008
and the years ended December 31, 2008, 2007 and 2006, respectively.
During the six months ended June 2009, the St. Paul branch located in Dallas, Texas was closed and
the lease was terminated.
F-20
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
The lease for the Lewisville, Texas branch will expire on December 31, 2009. Prior to termination
of the lease, the branch will relocate to Flower Mound, Texas. The Company has entered into a
ten-year lease for the new branch location.
The Company owns a 202,000 square-foot office building in Fort Worth, Texas that it uses for its
administrative headquarters and certain bank operations. The Company occupies approximately 60,000
square feet of the building and leases the remaining space to various tenants. Gross rental income
from these leases of $1,237, $1,248, $2,515, $2,456 and $2,122 was recognized for the six months
ended June 30, 2009 and 2008 and the years ended December 31, 2008, 2007 and 2006, respectively.
At December 31, 2008, non-cancelable operating leases for the building with future minimum lease
payments are as follows:
Year ended December 31,
2009
$
2,463
2010
2,058
2011
1,528
2012
1,164
2013
1,062
Thereafter
3,388
$
11,663
NOTE 7 — Other Real Estate Owned
At June 30, 2009, December 31, 2008 and December 31, 2007, other real estate owned included the
fair market value of property that had been purchased as a potential branch site in 2000. In 2006,
the property was reclassified to other real estate owned from premises and equipment and a $222
charge to operations was recorded to write-down the book value of the property to its fair market
value of $488 as a result of management's decision to sell the property rather than build a branch
at the site. At June 30, 2009, other real estate owned also included a foreclosed residential
mortgage property with a fair market value of $63. Through June 30, 2009, no gain or loss had been
recorded related to this property. During the year ended December 31, 2008, a residential mortgage
property of $168 was acquired through deed in lieu of foreclosure. The proceeds from mortgage
insurance and the sale of the property exceeded the loan balance and costs to sell the property by
$3. During the year ended December 31, 2007, a commercial loan with a balance of $508 was charged
off and the collateral was recorded as other real estate owned at its fair market value less
estimated selling costs of $457. Proceeds of $443 were realized on the sale of the property in
December 2007.
F-21
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 8 — Deposits
Deposits by major type consisted of the following at the dates indicated:
June 30,
December 31,
2009
2008
2007
(unaudited)
Noninterest-bearing demand
$
69,357
$
67,483
$
69,879
Interest bearing demand
63,995
61,962
62,249
Savings
199,378
186,352
187,329
Money market
88,559
81,634
82,823
Certificates of deposit
338,542
342,415
327,615
Total deposits
$
759,831
$
739,846
$
729,895
Certificates of deposit in excess of $100 were $101,416, $87,684 and $91,985 at June 30, 2009,
December 31, 2008 and December 31, 2007, respectively.
The remaining maturity on certificates of deposit at December 31, 2008 is presented below:
Year ended December 31,
2009
$
288,324
2010
19,969
2011
5,404
2012
1,338
2013
27,380
$
342,415
At June 30, 2009, December 31, 2008 and December 31, 2007, brokered time deposits totaled $10,424,
$19,873 and $5,063, respectively.
NOTE 9 — Borrowed Funds
The Company has a line of credit with the FHLB of Dallas which allows it to borrow on a
collateralized basis at a fixed term with pledged assignments. At June 30, 2009, advances from the
FHLB of Dallas totaled $117,900 and had fixed interest rates ranging from 2.58% to 4.71% with a
weighted average rate of 3.97%. At December 31, 2008, advances from the FHLB of Dallas totaled
$169,900 and had fixed interest rates ranging from 2.58% to 5.20% with a weighted average rate of
4.20%. At December 31, 2007, advances from the FHLB of Dallas totaled $156,900 and had fixed
interest rates ranging from 3.45% to 5.20% with a weighted average rate of 4.46%. The borrowings
are collateralized by a blanket floating lien on all first mortgage loans, mortgage-backed
securities, the FHLB capital stock owned by the Company and any funds on deposit with FHLB. At
June 30, 2009, December 31, 2008 and December 31, 2007, the borrowing limit was $322,779, $388,294
and
F-22
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
$426,404, respectively. In addition, investment securities with an amortized cost of $107,642,
$144,019 and $175,989 were pledged to secure the advances at June 30, 2009, December 31, 2008 and
December 31, 2007, respectively.
At December, 31, 2008, the Company had FHLB advances outstanding which mature on the dates
indicated as follows:
Year ended December 31,
2009
$
103,500
2010
25,400
2011
19,000
2012
15,000
2013
—
Thereafter
7,000
$
169,900
The Company entered into a sale of securities under agreement to repurchase ("repurchase
agreement") with PNC Bank, N.A. ("PNC") on July 24, 2007. The agreement is structured as the sale
of a specified amount of identified securities to PNC which the Company has agreed to repurchase
five years after the initial sale. The repurchase agreement is treated as a financing and the
obligation to repurchase securities sold are included in other secured borrowings in the balance
sheets. The underlying securities continue to be carried as assets of the Company and the Company
is entitled to receive interest and principal payments on the underlying securities. At June 30,
2009, December 31, 2008 and December 31, 2007, the Company had $58,000, $58,000 and $50,000 in
repurchase agreements outstanding, respectively. These repurchase agreements were secured by
investment securities with an amortized cost of $67,211, $68,318 and $63,932 at June 30, 2009,
December 31, 2008 and December 31, 2007, respectively.
At December 31, 2008 and December 31, 2007, other secured borrowings also included the participated
portion of loans with outside financial institutions that did not qualify as a sale under SFAS No.
140, "Accounting for Transfers and Servicing of Financial Assets and Extinguishments of
Liabilities," due to the Company maintaining an obligation to repurchase any loans that become
impaired. The balance of participated loans included in other secured borrowings was $664 and
$16,156 at December 31, 2008 and December 31, 2007, respectively. There were no participated loans
remaining at June 30, 2009 (unaudited).
Additionally, the Company maintains $31,500 in federal funds lines with other financial
institutions.
F-23
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Information relating to the FHLB advances and other borrowings for the six months ended June 30,
2009 and 2008 and the years ended December 31, 2008, 2007 and 2006 is summarized as follows:
Six Months Ended June 30,
Year Ended December 31,
2009
2008
2008
2007
2006
(unaudited)
Maximum Balance:
FHLB advances
$
159,900
$
181,900
$
189,650
$
156,900
$
246,479
Other secured borrowings
58,000
73,225
73,225
75,105
74,218
Average Balance:
FHLB advances
143,768
165,011
169,026
108,848
193,592
Other secured borrowings
58,000
69,052
64,497
49,349
59,261
Weighted average interest
rate:
During the period:
FHLB advances
4.18
%
4.31
%
4.21
%
4.15
%
3.40
%
Other secured borrowings
3.67
%
3.94
%
3.80
%
4.97
%
4.21
%
End of period:
FHLB advances
3.97
%
4.49
%
4.20
%
4.46
%
3.76
%
Other secured borrowings
3.52
%
3.34
%
3.25
%
5.06
%
3.97
%
NOTE 10 — Employee Benefit Plans
The Company sponsors a defined benefit pension plan (the "Pension Plan") for the benefit of its
employees. The Pension Plan originally called for benefits to be paid to eligible employees at
retirement based primarily upon years of service with the Company and compensation levels at
retirement. On November 15, 2006, the Company announced that it would freeze benefits under the
Pension Plan effective December 31, 2006, so that no further benefits will be earned by employees
after that date. In addition, no new participants may be added to the Pension Plan after December
31, 2006.
Changes in the plan benefit obligation using a December 31 measurement date for the years ended
December 31, 2008 and 2007 were as follows:
Year Ended December 31,
2008
2007
Projected benefit obligation as of January 1,
$
5,591
$
5,595
Interest cost
295
322
Actuarial loss (gain)
(412
)
1,148
Effect of settlement
(777
)
(1,474
)
Projected benefit obligation at December 31,
$
4,697
$
5,591
Accumulated benefit obligation at December
31,
$
4,697
$
5,591
F-24
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Changes in plan assets for the years ended December 31, 2008 and 2007 were as follows:
Year Ended December 31,
2008
2007
Fair value of plan assets as of January 1,
$
5,977
$
7,197
Actual return on plan assets
(1,638
)
254
Effect of settlement
(777
)
(1,474
)
Fair value of plan assets as of December 31,
$
3,562
$
5,977
Funded status as of December 31,
$
(1,135
)
$
386
At December 31, 2008, the funded status is recognized in accrued expenses and other liabilities in
the balance sheets. At December 31, 2007, the funded status is recognized in other assets.
The net periodic pension cost for the six months ended June 30, 2009 and 2008 and the years ended
December 31, 2008, 2007 and 2006 includes the following components:
Six Months Ended
June 30,
Year Ended December 31,
2009
2008
2008
2007
2006
(unaudited)
Service cost — benefits earned during the period
$
—
$
—
$
—
$
—
$
1,116
Interest cost on projected benefit obligation
138
148
295
322
403
Expected return on assets
(112
)
(216
)
(431
)
(540
)
(476
)
Amortization of net loss
50
22
45
14
336
Effect of settlement recognition
—
—
483
472
—
Net periodic pension cost
$
76
$
(46
)
$
392
$
268
$
1,379
The expected rate of return for the six months ended June 30, 2009 was 6.50%.
Assumptions used in accounting for the Pension Plan are as follows:
Year Ended December 31,
2008
2007
2006
Discount rate
5.50
%
5.75
%
5.75
%
Expected long-term rate of return on assets
7.50
%
7.50
%
7.50
%
Rate of increase in future compensation
0.00
%
0.00
%
0.00
%
Historical and future expected returns of multiple asset classes were analyzed to develop a
risk-free real rate of return and risk premiums for each asset class. The overall rate for each
asset class was developed by combining a long-term inflation component, the risk-free real rate of
return, and the associated risk premium. A weighted average rate was developed based on those
overall rates and the target asset allocation of the plan.
F-25
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
The Company's current pension plan target allocations and the weighted-average asset allocations as
of December 31, 2008 and December 31, 2007 by asset category are as follows:
Target
Actual Allocations
Allocations
2008
2007
Equity securities
50
%
40
%
71
%
Debt securities
45
%
56
%
25
%
Real estate securities
5
%
4
%
4
%
100
%
100
%
100
%
The assets of the defined benefit pension plan are invested in domestic and international equity
securities, fixed income securities and real estate securities funds.
The Company did not make any contributions to the defined benefit pension plan during the six
months ended June 30, 2009. A contribution of $116 was made to the plan in July 2009. The Company
does not expect to make additional contributions to the plan in fiscal year 2009.
As of December 31, 2008, the pension benefit payments were expected to be paid as follows:
Year ended December 31,
2009
$
190
2010
260
2011
110
2012
52
2013
120
Years 2014 - 2018
1,090
The Company also has a discretionary defined contribution savings plan (the "Savings Plan"). The
Savings Plan is qualified under Sections 401 and 401(k) of the Internal Revenue Code and allows
employees to contribute a portion of their salary on a pretax basis into the Savings Plan. The
Company matches a portion of employees' contributions. Matching contributions made by the Company
are accrued and funded on a current basis. During the six months ended June 30, 2009 and 2008 and
the years ended December 31, 2008, 2007 and 2006, the Company contributed approximately $310, $311,
$616, $535 and $473 to the Savings Plan, respectively, which is included in salaries and benefits
expense in the accompanying statements of operations.
The Company has entered into deferred compensation agreements with certain executives that provide
benefits payable based on specified terms of the agreements. A portion of the benefits is subject
to forfeiture if the employee willfully leaves employment or employment is terminated for cause as
defined in the agreements. The accrued liability for these agreements as of December 31, 2008 and
December 31, 2007 was $210 and $1,327, respectively. Deferred compensation expense related to
these agreements was $266, $204 and $1,291 for the years ended December 31, 2008, 2007 and 2006,
respectively.
F-26
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
The accrued liability for deferred compensation agreements as of December 31, 2007 and salaries and
benefits expense for the year ended December 31, 2006 includes $1,273 for a Salary Continuation
Plan (the "Document") signed on December 28, 2006 In June 2007, the beneficiary under the Document
made a claim for the benefits. In November 2007, after a thorough review of the plan and the
pertinent facts, the Plan Administrator denied the beneficiary's claim. The beneficiary
subsequently requested a review of the denial and access to documents and records relative to the
claim. After another thorough review of the facts by the Plan Administrator, the claim was denied
a second time in February 2008. In May 2008, the beneficiary terminated the claim to the benefits
and the liability was reversed, resulting in a $1,273 credit to salaries and benefits expense in
2008.
NOTE 11 — Regulatory Matters
On January 1, 2006, the Company converted its charter to a federal mutual savings bank charter. As
a result of the conversion, the Company is subject to regulation and examination by the Office of
Thrift Supervision ("OTS"), its primary regulator. The Federal Deposit Insurance Corporation
("FDIC") also has regulatory and examination authority with respect to the Company. The deposits
of the Company are insured by the FDIC.
In January 2008, the Bank incurred a breach of its ATM/debit card system. According to the OTS,
this breach of the Bank's data systems indicated deficiencies in the Bank's monitoring of its
information technology and customer information security. In response to its findings, the OTS
issued a Cease and Desist Order ("the Order") relative to the Bank's customer information security
programs. The Bank's Board of Directors executed a Stipulation and Consent to the Order. In
response to the terms of the Order, and with the assistance of qualified consultants, the Bank
prepared and received OTS approval of an information technology security remediation and action
plan. This plan addressed, among other things, any identified security deficiencies,
implementation of processes to detect intrusions and compliance with all applicable regulatory
guidelines as set forth by the OTS. As of October 23, 2008, the Bank had completed its performance
of all requirements of the Order. The OTS conducted an information technology examination in April
2009 and found that the Bank had taken the required steps to address the weaknesses that had
allowed the breach of its ATM/debit card system to occur. As a result of the findings of the
examination, the OTS terminated the Order on June 11, 2009.
The Company is subject to various regulatory capital requirements administered by the federal
banking agencies. Bank regulatory authorities have established risk-based capital guidelines for
U.S. banking organizations. The objective of these efforts is to provide a more consistent system
for comparing capital positions of banking organizations and to reflect the level of risk
associated with holding various categories of assets. The guidelines define Tier 1 capital and
Tier 2 capital. The components of Tier 1 capital for the Company include equity capital excluding
unrealized gains and losses on
available-for-sale securities, goodwill and other intangible assets. Tier 2 capital includes a
portion of the allowance for loan losses. These two components combine to become Total Capital.
The guidelines also stipulate that four categories of risk weights (0, 20, 50 and 100 percent),
primarily based on the relative credit risk of the counterparty, be applied to the different types
of balance sheet assets. Risk weights for all off-balance sheet exposures are determined by a two
step process, whereas the face value of the off-balance sheet item is converted to a "credit
equivalent amount" and that
F-27
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
amount is assigned to the appropriate risk category. Off-balance sheet items at June 30, 2009,
December 31, 2008 and December 31, 2007 included unfunded loan commitments and letters of credit.
The minimum ratio for qualifying Total Capital is 8.0%, of which 4.0% must be Tier 1 capital.
In addition to the minimum guidelines stated above, the regulatory authorities have established
minimums for an institution to be classified as "well capitalized." A financial institution is
deemed to be well capitalized if the institution has a total risk-based capital ratio of 10.0% or
greater, a Tier 1 risk-based capital ratio of 6.0% or greater, and a Tier 1 leverage ratio of 5.0%
or greater and the institution is not subject to an order, written agreement, capital directive or
prompt corrective action directive to meet and maintain a specific capital level for any capital
measure.
The following table sets forth the Company's capital ratios as of June 30, 2009, December 31, 2008
and December 31, 2007:
To Be Well
Capitalized Under
For Capital
Prompt Corrective
Actual
Adequacy Purposes
Action Provisions
Amount
Ratio
Amount
Ratio
Amount
Ratio
As of June 30, 2009 (unaudited)
Total risk-based capital
to risk-weighted assets
$
91,287
12.25
%
$
59,597
8.00
%
$
74,496
10.00
%
Tier I risk-based capital
to risk- weighted assets
82,465
11.07
%
29,799
4.00
%
44,698
6.00
%
Tier I (Core) capital to
adjusted total assets
82,465
8.00
%
41,220
4.00
%
51,525
5.00
%
As of December 31, 2008
Total risk-based capital
to risk-weighted assets
$
90,058
11.82
%
$
60,972
8.00
%
$
76,215
10.00
%
Tier I risk-based capital
to risk- weighted assets
81,788
10.73
%
30,486
4.00
%
45,729
6.00
%
Tier I (Core) capital to
adjusted total assets
81,788
7.71
%
42,415
4.00
%
53,019
5.00
%
As of December 31, 2007
Total risk-based capital
to risk-weighted assets
$
88,192
11.66
%
$
60,497
8.00
%
$
75,622
10.00
%
Tier I risk-based capital
to risk- weighted assets
80,806
10.69
%
30,249
4.00
%
45,373
6.00
%
Tier I (Core) capital to
adjusted total assets
80,806
7.75
%
41,724
4.00
%
52,155
5.00
%
The Home Owners' Loan Act ("HOLA"), as amended, requires savings institutions to meet a Qualified
Thrift Lender ("QTL") test. The QTL test requires at least 65% of assets be maintained in
housing-related finance and other specified areas. An institution must be in compliance with the
QTL test on a monthly basis in nine out of every 12 months. If this requirement is not met, limits
are placed on
F-28
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
growth, branching, new investments, and FHLB advances and dividends or the Company must convert to
a commercial bank charter. At June 30, 2009, December 31, 2008 and December 31, 2007, QTL was
calculated as 80.17%, 84.0% and 78.9%, respectively, and the Company has met the test in each month
of the six months ended June 30, 2009 and the years ended December 31, 2008 and 2007.
Additionally, the Company must operate within the parameters of its approved three-year business
plan and submit a variance report to the OTS each calendar quarter.
The following is a reconciliation of the Company's equity under accounting principles generally
accepted in the United States of America to regulatory capital (as defined by the OTS and FDIC) as
of June 30, 2009, December 31, 2008 and December 31, 2007:
June 30,
December 31,
2009
2008
2007
(unaudited)
Total capital
$
90,266
$
89,329
$
88,722
Deferred tax assets disallowed for regulatory
capital
(7,894
)
(8,112
)
(8,450
)
Unrealized gain on securities available for sale
(1,834
)
(1,356
)
(648
)
Other
1,927
1,927
1,182
Tier I capital
82,465
81,788
80,806
General allowance for loan losses
8,822
8,270
7,386
Total regulatory capital
$
91,287
$
90,058
$
88,192
NOTE 12 — Income Taxes
In June 2006, the FASB issued FIN 48, which prescribes a "more-likely than-not" recognition
threshold and measurement attribute (the largest amount of benefit that is greater than 50% likely
of being realized upon ultimate resolution with tax authorities) for the financial statement
recognition and measurement of an income tax position taken or expected to be taken in a tax
return. The Company adopted FIN 48 effective January 1, 2009. As of June 30, 2009, the Company
has not recognized a FIN 48 liability in the balance sheet.
During the six months ended June 30, 2009 or the year ended December 31, 2008, the Company did not
incur any interest or penalties on income taxes. The Company will record interest on income tax
penalties, if any, when they are incurred in noninterest expense.
The Company was a credit union prior to 2006 and was not subject to federal or state income taxes.
The Company became a taxable entity effective January 1, 2006 in conjunction with its charter
conversion. As a result of the change in tax status, the Company recorded a net deferred tax asset
on January 1, 2006 in the amount of $6,107. The Company's pretax income
is subject to federal income taxes at a combined rate of 34%.
F-29
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
At June 30, 2009, December 31, 2008 and December 31, 2007, the net deferred tax asset consisted of
the following:
June 30,
December 31,
2009
2008
2007
(unaudited)
Deferred tax assets:
Allowance for loan losses
$
2,614
$
2,475
$
2,277
Premises and equipment
2,785
2,712
2,803
Net operating loss
2,365
2,749
2,792
Deferred compensation
196
166
573
Self-funded health insurance
138
144
—
Pension plan
993
993
609
Other
320
265
95
9,411
9,504
9,149
Deferred tax liabilities:
Servicing rights
(379
)
(260
)
—
Securities available for sale
(945
)
(698
)
(334
)
FHLB stock dividend
(145
)
(140
)
(95
)
(1,469
)
(1,098
)
(429
)
Net deferred tax asset
$
7,942
$
8,406
$
8,720
No valuation allowance has been provided on deferred tax assets as of June 30, 2009, December 31,
2008 or December 31, 2007. In assessing the realization of deferred tax assets, management
considers whether it is more likely than not that some portion or all of the deferred tax assets
will not be realized. The ultimate realization of deferred tax assets is dependent on the
generation of future taxable income during the periods in which those temporary differences become
deductible. Management considers the projected future taxable income and tax planning strategies
in making this assessment. Based upon the level of historical income and projections for future
taxable income over the periods in which the
deferred tax assets are deductible, management believes it is more likely than not the Company will
realize all benefits related to these deductible temporary differences.
F-30
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
For the six months ended June 30, 2009 and the years ended December 31, 2008 and 2007, the
effective tax rate differs from the federal statutory rate of 34% applied to loss before income
taxes due to the following:
June 30,
December 31,
2009
2008
2007
(unaudited)
Federal statutory rate times financial statement income (loss)
$
322
$
471
$
(1,118
)
Effect of:
State taxes, net of federal benefit
179
270
—
Nontaxable income
(25
)
(16
)
—
Non-deductible expenses
13
17
3
Total income tax expense (benefit)
$
489
$
742
$
(1,115
)
NOTE 13 — Related Party Transactions
The Company has made loans in the ordinary course of business with certain of its executive
officers, directors and their affiliates. All loans included in such transactions are made on
substantially the same terms, including interest rate and collateral, as those prevailing at the
time for comparable transactions with other persons and all loans are current as to principal and
interest payments. Loans to executive officers, directors and their affiliates were as follows for
the six months ended June 30, 2009 and December 31, 2008:
June 30,
December 31,
2009
2008
(unaudited)
Balance at beginning of period
$
1,938
$
1,572
New loans
901
885
Effect of changes in
composition of related parties
—
411
Sold loans
—
(788
)
Repayments
(454
)
(142
)
Balance at end of period
$
2,385
$
1,938
Deposits from executive officers, directors and their affiliates were $1,225, $679 and $553 at June
30, 2009, December 31, 2008 and December 31, 2007, respectively.
NOTE 14 — Fair Value Measurements
Effective January 1, 2008, the Company adopted the provisions of SFAS No. 157, "Fair Value
Measurements," for financial assets and financial liabilities. SFAS 157 defines fair value,
establishes a
framework for measuring fair value in generally accepted accounting principles and expands
disclosures about fair value measurements.
SFAS 157 defines fair value as the price that would be received to sell an asset or would be paid
to transfer a liability in an orderly transaction between market participants. A fair value
measurement assumes that the transaction to sell the asset or transfer the liability occurs in the
principal market for
F-31
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
the asset or liability or, in the absence of a principal market, the most advantageous market for
the asset or liability. The price in the principal (or most advantageous) market used to measure
the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly
transaction is a transaction that assumes exposure to the market for a period prior to the
measurement date to allow for marketing activities that are usual and customary for transactions
involving such assets and liabilities; it is not a forced transaction. Market participants are
buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able
to transact and (iv) willing to transact.
SFAS 157 requires the use of valuation techniques that are consistent with the market approach, the
income approach and/or the cost approach. The market approach uses prices and other relevant
information generated by market transactions involving identical or comparable assets and
liabilities. The income approach uses valuation techniques to convert future amounts, such as cash
flows or earnings, to a single present value amount on a discounted basis. The cost approach is
based on the amount that currently would be required to replace the service capacity of an asset
(replacement cost). Valuation techniques should be consistently applied. Inputs to valuation
techniques refer to the assumptions that market participants would use in pricing the asset or
liability. Inputs may be observable, meaning those that reflect the assumptions market
participants would use in pricing the asset or liability developed based on market data obtained
from independent sources, or unobservable, meaning those that reflect the reporting entity's own
assumptions about the assumptions market participants would use in pricing the asset or liability
developed based on the best information available in the circumstances. In that regard, SFAS 157
establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted
prices in active markets for identical assets or liabilities and the lowest priority to
unobservable inputs. The fair value hierarchy is as follows:
•
Level 1 Inputs
— Unadjusted quoted prices in active markets for identical assets or
liabilities that the reporting entity has the ability to access at the measurement date.
•
Level 2 Inputs
— Inputs other than quoted prices included in Level 1 that are observable
for the asset or liability, either directly or indirectly. These might include quoted prices
for similar assets or liabilities in active markets, quoted prices for identical or similar
assets or liabilities in markets that are not active, inputs other than quoted prices that
are observable for the asset or liability (such as interest rates, volatilities, prepayment
speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by
market data by correlation or other means.
•
Level 3 Inputs
— Unobservable inputs for determining the fair values of assets or
liabilities that reflect an entity's own assumptions about the assumptions that market
participants would use in pricing the assets or liabilities.
A description of the valuation methodologies used for instruments measured at fair value, as well
as the general classification of such instruments pursuant to the fair value hierarchy, is set
forth below.
Securities available for sale are valued at fair value on a recurring basis. The fair values of
securities available for sale is determined by obtaining quoted prices on nationally recognized
securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique widely
used in the
F-32
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
industry to value debt securities without relying exclusively on quoted prices for the specific
securities but rather by relying on the securities' relationship to other benchmark quoted
securities (Level 2 inputs). The Level 3 investments consisted of Trust Preferred Securities which
are issued by financial institutions and insurance companies. The decline in the level of
observable inputs and market activity in this class of investments by the measurement date has been
significant and resulted in unreliable external pricing. Broker pricing and bid/ask spreads, when
available, vary widely. There are currently very few market participants who are willing and/or
able to transact for these securities.
In accordance with SFAS No. 157, certain financial assets and financial liabilities are measured at
fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an
ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when
there is evidence of impairment). Financial assets or liabilities required to be measured at fair
value on a nonrecurring basis include impaired loans and loans held for sale.
Certain impaired loans are reported at the fair value of underlying collateral if repayment is
expected solely from the collateral. Collateral values are estimated using Level 2 inputs based on
observable market data or Level 3 inputs based on customized discounting. As of June 30, 2009 and
December 31, 2008, impaired loans with carrying values of $5,122 and $5,272, respectively, had
specific valuation allowances of $1,135 and $683, respectively. Total reported fair value of
$3,987 and $4,589 as of June 30, 2009 and December 31, 2008, respectively, were based on collateral
valuation utilizing Level 2 valuation inputs.
Loans held for sale are classified within Level 2 of the valuation hierarchy. The Company obtains
fair value measurements for loans held for sale from commitments on hand from investors or
prevailing market rates.
F-33
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Assets and liabilities measured at fair value on a recurring and nonrecurring basis are summarized
below:
Fair Value Measurements at June 30, 2009 (unaudited), Using
Total Fair Value at
Level 1 Inputs
Level 2 Inputs
Level 3 Inputs
June 30, 2009
(unaudited)
Measured on a recurring basis:
Assets:
Securities available for sale
$
—
$
178,131
$
5,862
$
183,993
Measured on a nonrecurring basis:
Assets:
Impaired loans
$
—
$
3,987
$
—
$
3,987
Loans held for sale
—
425
—
425
Fair Value Measurements at December 31, 2008, Using
Total Fair Value at
Level 1 Inputs
Level 2 Inputs
Level 3 Inputs
December 31, 2008
Measured on a recurring basis:
Assets:
Securities available for sale
$
—
$
224,029
$
6,275
$
230,304
Measured on a nonrecurring basis:
Assets:
Impaired loans
$
—
$
4,589
$
—
$
4,589
Loans held for sale
—
160
—
160
The table below presents a reconciliation and income statement classification of gains and losses
for all assets measured at fair value on a recurring basis using significant unobservable inputs
(Level 3) for the six months ended June 30, 2009 (unaudited):
Securities
available for sale
Beginning balance, January 1, 2009
$
6,275
Total gains or losses (realized / unrealized)
—
Included in earnings:
Interest income on securities
16
Included in other comprehensive income
(383
)
Purchases, issuances and settlements
(46
)
Transfers into Level 3
—
Ending balance, June 30, 2009
$
5,862
F-34
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
The table below presents a reconciliation and income statement classification of gains and losses
for all assets measured at fair value on a recurring basis using significant unobservable inputs
(Level 3) for the year ended December 31, 2008:
Securities
available for sale
Beginning balance, January 1, 2008
$
—
Total gains or losses (realized / unrealized)
—
Total gains or losses included in other
comprehensive income
(1,533
)
Purchases, issuances and settlements
7,808
Transfers into Level 3
—
Ending balance, December 31, 2008
$
6,275
No changes in unrealized gains or losses were recorded through earnings for the six months ended
June 30, 2009 or the year ended December 31, 2008 for the assets measured using significant
unobservable inputs (Level 3 Inputs).
FASB Statement No. 159, "The Fair Value Option for Financial Assets and Financial Liabilities,"
("FASB 159") allows entities the option, at specified election dates, to measure financial assets
and financial liabilities at fair value. The election is made on an instrument-by-instrument basis
and is irrevocable. If the fair value option is elected for an instrument, FASB 159 specifies that
all subsequent changes in fair value for that instrument must be reported in earnings. As of June
30, 2009, the Company's balance sheet did not include any financial assets or liabilities for which
the fair value option of FASB Statement No. 169 had been elected.
SFAS No. 107, "Disclosures about Fair Value of Financial Instruments," requires disclosure of the
fair value of financial assets and financial liabilities, including those financial assets and
financial liabilities that are not measured and reported at fair value on a recurring basis or
non-recurring basis.
The methodologies for estimating the fair value of financial assets and financial liabilities that
are measured at fair value on a recurring or non-recurring basis are discussed above. The
methodologies for the other financial assets and financial liabilities are discussed below:
Cash and cash equivalents:
The carrying amounts for cash and cash equivalents approximate
fair values.
Accrued interest receivable and payable:
The carrying amounts for accrued interest
receivable and payable approximate fair values.
Other investments:
The carrying amount for other investments, which consist primarily of
Federal Home Loan Bank stock approximate fair values.
F-35
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
Loans:
The estimated fair value for all fixed rate loans is determined by discounting the
estimated cash flows using the current rate at which similar loans would be made to
borrowers with similar credit ratings and maturities. The estimated fair value for variable
rate loans is the carrying amount. The impact of delinquent loans on the estimation of the
fair values described above is not considered to have a material effect and, accordingly,
delinquent loans have been disregarded in the valuation methodologies employed.
Deposits:
The estimated fair value of demand deposit accounts is the carrying amount. The
fair value of fixed-maturity certificates is estimated by discounting the estimated cash
flows using the current rate at which similar certificates would be issued.
Borrowed Funds:
The estimated fair value for borrowed funds is determined by discounting
the estimated cash flows using the current rate at which similar borrowings would be made
with similar ratings and maturities.
Off-balance sheet financial instruments:
The fair values for the Company's off-balance
sheet commitments are estimated based on fees charged to others to enter into similar
agreements taking into account the remaining terms of the agreements and credit standing of
the members. The estimated fair value of these commitments is not significant.
The carrying amount and estimated fair value of the Company's financial instruments at June 30,
2009, December 31, 2008 and December 31, 2007 are summarized as follows:
June 30, 2009 (unaudited)
December 31, 2008
December 31, 2007
Carrying
Fair
Carrying
Fair
Carrying
Fair
Amount
Value
Amount
Value
Amount
Value
Financial assets:
Cash and cash equivalents
$
53,196
$
53,196
$
41,242
$
41,242
$
19,036
$
19,036
Other investments
7,287
7,287
10,014
10,014
10,065
10,065
Loans, net
725,100
730,692
715,774
721,093
707,099
705,260
Accrued interest receivable
3,502
3,502
3,921
3,921
3,883
3,883
Financial liabilities:
Deposits
$
759,831
$
762,721
$
739,846
$
744,161
$
729,895
$
725,653
Federal Home Loan Bank
advances
117,900
118,788
169,900
171,466
156,900
157,553
Other secured borrowings
58,000
64,848
58,664
64,621
66,156
67,703
Accrued interest payable
1,512
1,512
1,840
1,840
1,835
1,835
Off-balance sheet financial
instruments:
Loan commitments
$
—
$
—
$
—
$
—
$
—
$
—
Letters of credit
—
—
—
—
—
—
F-36
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 15 — Financial Instruments with Off-Balance Sheet Risk
The Company is a party to financial instruments with off-balance sheet risk in the normal course of
business to meet the financing needs of its customers. These financial instruments include loan
commitments, standby letters of credit and documentary letters of credit. The instruments involve,
to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in
the financial statements.
The Company's exposure to credit loss in the event of non-performance by the other party of these
loan commitments and standby letters of credit is represented by the contractual amount of those
instruments. The Company uses the same credit policies in making commitments and conditional
obligations as it does for on-balance sheet instruments.
Outstanding commitments to extend credit and standby letters of credit are summarized as follows at
June 30, 2009, December 31, 2008 and December 31, 2007:
June 30,
December 31,
2009
2008
2007
(unaudited)
Commitments to extend credit
$
30,004
$
35,269
$
51,792
Standby letters of credit
1,052
910
2,337
$
31,056
$
36,179
$
54,129
Loan commitments are agreements to lend to a customer as long as there is no customer violation of
any condition established in the contract. Commitments generally have fixed expiration dates or
other termination clauses and may require payment of a fee. Standby letters of credit are
conditional commitments by the Company to guarantee the performance of a customer to a third party.
The credit risk involved in issuing letters of credit is essentially the same as that involved in
extending loan facilities to customers.
Since many of the loan commitments and letters of credit may expire without being drawn upon, the
total commitment amount does not necessarily represent future cash requirements. The Company
evaluates each customer's credit worthiness on a case-by-case basis. The amount of collateral
obtained, if deemed necessary by the Company upon extension of credit, is based on management's
credit evaluation of the counterparty. Collateral held varies but may include accounts receivable,
inventory, property, plant and equipment, owner-occupied real estate and income-producing
commercial properties.
NOTE 16 — Litigation
The Company is involved in legal actions arising in the ordinary course of business. It is the
opinion of management, after reviewing such actions with outside legal counsel, that the settlement
of these
F-37
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
matters will not materially affect the Company's financial position, results of operations or cash
flows.
NOTE 17 — Plan of Reorganization
On January 30, 2007, the Company's Board of Directors adopted a Plan of Mutual Holding Company
Reorganization and Stock Issuance ("Plan"). Under the Plan, the Bank planned to reorganize into a
federally chartered capital stock savings bank as part of a federally chartered mutual holding
company structure, including the establishment of a federal stock holding company that would have
been a majority-owned subsidiary of the mutual holding company.
As part of the Plan, the federal stock holding company intended to conduct a minority stock
offering. Shares issued in that offering would have been registered with the Securities and
Exchange Commission. The Plan established December 31, 2004 as the eligibility record date for
determining members of the Bank who were eligible accountholders entitled to receive
nontransferable subscription rights to subscribe for the common stock of the federal stock holding
company. After the stock offering provided for in the Plan, depositors of the Bank would have been
members of the federally chartered mutual holding company, which would have continued to own a
majority of the federal stock holding company's outstanding shares of common stock. The normal
business of the Bank would have continued without interruption. Deposit and savings accounts would
have continued to be insured by the Federal Deposit Insurance Corporation, an agency of the federal
government.
On February 13, 2007, the Board determined it was appropriate to delay proceeding with the Plan
after the unexpected death of the President and CEO. Due to the passage of time and its effect on
material terms of the Plan, including the various eligibility record dates for members, the Board
determined that it was in the best interests of the Bank and its members to terminate the Plan
effective December 18, 2008. Deferred costs associated with the Plan of $537 and $270 were charged
to operations during the years ended December 31, 2008 and 2007, respectively.
On June 23, 2009, the Board of Directors of the Company adopted a Plan of Conversion (the "2009
Plan") whereby the Bank will convert from a federally chartered mutual savings bank to a federally
chartered stock savings bank. The 2009 Plan provides for the formation of a holding company (the
Holding Company) that will own 100% of the common stock of the Bank. Holding Company stock will be
offered on a priority basis to qualifying depositors of the Bank, tax-qualified employee benefit
plans sponsored by the Bank and others in a subscription offering, with any remaining shares to be
offered to the public in a direct community offering and possibly in a syndicated community
offering. The 2009 Plan is subject to approval by the Office of Thrift Supervision ("OTS") and by
the Company's depositors.
The costs
associated with the above transaction will be deferred and deducted from the proceeds of
the offering. If the transaction is not completed, all deferred costs will be charged
to
operations. As of June 30, 2009, the Company had incurred $60 of
such costs, which are
included in other assets on the balance sheets. Organization costs
are expensed as incurred.
F-38
Table of Contents
OmniAmerican Bank
Notes to Financial Statements
(Dollars in thousands)
NOTE 18 — Subsequent Events
In August 2009, the largest identity theft operation ever conducted in the United States was
exposed. The identity theft operation included the theft of information from a number of retail
companies and Heartland Payment Systems, a major payment transaction processing center utilized by
many merchants. As a result of this recent identity theft operation, a number of the Bank's
customers who had their debit card transactions processed through Heartland Payment Systems had
their customer information breached. The Bank has remediated the problem and is working with its
insurance provider to process a claim associated with the costs resulting from the breach to
Heartland Payment Systems. Management currently estimates that the cost of the identity theft will
be approximately $1,300, which includes the incurred losses resulting directly from the identity
theft and the costs to reissue debit cards. At this time, the Bank is unable to determine the
extent to which its insurance will cover the costs associated with the identity theft.
F-39
Table of Contents
You should rely only on the information contained in this document or that to which we have
referred you. No person has been authorized to give any information or to make any representation
other than as contained in this prospectus and, if given or made, such other information or
representation must not be relied upon as having been authorized by OmniAmerican Bancorp, Inc. or
OmniAmerican Bank. This prospectus does not constitute an offer to sell or a solicitation of an
offer to buy any of the securities offered hereby to any person in any jurisdiction in which such
offer or solicitation is not authorized or in which the person making such offer or solicitation is
not qualified to do so, or to any person to whom it is unlawful to make such offer or solicitation
in such jurisdiction. Neither the delivery of this prospectus nor any sale hereunder shall under
any circumstances create any implication that there has been no change in the affairs of
OmniAmerican Bancorp, Inc. or OmniAmerican Bank since any of the dates as of which information is
furnished herein or since the date hereof.
OMNIAMERICAN BANCORP, INC.
(Proposed Holding Company for
OmniAmerican Bank)
Up to 10,350,000 Shares of
Common Stock
Par value $0.01 per share
(Subject to Increase to up to 11,902,500 Shares)
PROSPECTUS
K
eefe
, B
ruyette
& W
oods
[prospectus date]
Until [expiration date] or 25 days after commencement of the syndicated community offering, if any,
whichever is later, all dealers that effect transactions in these securities, whether or not
participating in this offering, may be required to deliver a prospectus. This is in addition to
the dealers' obligation to deliver a prospectus when acting as underwriters and with respect to
their unsold allotments or subscriptions.
Table of Contents
PART II: INFORMATION NOT REQUIRED IN PROSPECTUS
Item 13. Other Expenses of Issuance and Distribution
Amount(1)
*
Registrant's Legal Fees and Expenses
$
625,000
*
Registrant's Accounting Fees and Expenses
225,000
*
Conversion Agent and Data Processing Fees
110,000
*
Marketing Agent Fees(1)
1,013,125
*
Marketing Agent Expenses (Including Legal Fees and Expenses)
125,000
*
Appraisal Fees and Expenses
72,500
*
Printing, Postage, Mailing and EDGAR Fees
300,000
*
Filing Fees (OTS, Nasdaq, FINRA and SEC)
131,045
*
Business Plan Fees and Expenses
41,000
*
Other
51,960
*
Total
$
2,694,630
*
Estimated
(1)
OmniAmerican Bancorp, Inc. has retained Keefe, Bruyette & Woods, Inc. to assist in the sale
of common stock on a best efforts basis in the offerings. Fees are estimated at the adjusted
maximum of the offering range.
Item 14. Indemnification of Directors and Officers
Articles 10 and 11 of the Articles of Incorporation of OmniAmerican Bancorp, Inc. (the
"Corporation") set forth circumstances under which directors, officers, employees and agents of the
Corporation may be insured or indemnified against liability which they incur in their capacities as
such:
ARTICLE 10. Indemnification, etc. of Directors and Officers.
A. Indemnification.
The Corporation shall indemnify (1) its current and former directors and
officers, whether serving the Corporation or at its request any other entity, to the fullest extent
required or permitted by the MGCL now or hereafter in force, including the advancement of expenses
under the procedures and to the fullest extent permitted by law, and (2) other employees and agents
to such extent as shall be authorized by the Board of Directors and permitted by law; provided,
however, that, except as provided in Section B of this Article 10 with respect to proceedings to
enforce rights to indemnification, the Corporation shall indemnify any such indemnitee in
connection with a proceeding (or part thereof) initiated by such indemnitee only if such proceeding
(or part thereof) was authorized by the Board of Directors of the Corporation.
B. Procedure.
If a claim under Section A of this Article 10 is not paid in full by the
Corporation within sixty (60) days after a written claim has been received by the Corporation,
except in the case of a claim for an advancement of expenses, in which case the applicable period
shall be twenty (20) days, the indemnitee may at any time thereafter bring suit against the
Corporation to recover the unpaid amount of the claim. If successful in whole or in part in any
such suit, or in a suit brought by the Corporation to recover an advancement of expenses pursuant
to the terms of an undertaking, the indemnitee shall also be entitled to be reimbursed the expense
of prosecuting or defending such suit. It shall be a defense to any action for advancement of
expenses that the Corporation has not received both (i) an undertaking as required by law to repay
such advances in the event it shall ultimately be determined that the standard of conduct has not
been met and (ii) a written affirmation by the indemnitee of his good faith belief that the
standard of conduct necessary for indemnification by the Corporation has been met. In (i) any suit
brought by the indemnitee to enforce a right to indemnification hereunder (but not in a suit
brought by the indemnitee to enforce a right to an advancement of expenses) it shall be a defense
that, and (ii) any suit by the Corporation to recover an advancement of expenses pursuant to the
terms of an undertaking the Corporation shall be entitled to recover such expenses upon a final
adjudication that, the indemnitee has not met the applicable standard for indemnification set forth
in the MGCL. Neither the failure of the Corporation (including its Board of Directors, independent
legal counsel, or its stockholders) to have made a determination prior to the commencement of such
suit
II-1
Table of Contents
that indemnification of the indemnitee is proper in the circumstances because the indemnitee
has met the applicable standard of conduct set forth in the MGCL, nor an actual determination by
the Corporation (including its Board of Directors, independent legal counsel, or its stockholders)
that the indemnitee has not met such applicable standard of conduct, shall create a presumption
that the indemnitee has not met the applicable standard of conduct or, in the case of such a suit
brought by the indemnitee, be a defense to such suit. In any suit brought by the indemnitee to
enforce a right to indemnification or to an advancement of expenses hereunder, or by the
Corporation to recover an advancement of expenses pursuant to the terms of an undertaking, the
burden of proving that the indemnitee is not entitled to be indemnified, or to such advancement of
expenses, under this Article 10 or otherwise shall be on the Corporation.
C. Non-Exclusivity.
The rights to indemnification and to the advancement of expenses
conferred in this Article 10 shall not be exclusive of any other right that any Person may have or
hereafter acquire under any statute, these Articles, the Corporation's Bylaws, any agreement, any
vote of stockholders or the Board of Directors, or otherwise.
D. Insurance.
The Corporation may maintain insurance, at its expense, to insure itself and
any director, officer, employee or agent of the Corporation or another corporation, partnership,
joint venture, trust or other enterprise against any expense, liability or loss, whether or not the
Corporation would have the power to indemnify such Person against such expense, liability or loss
under the MGCL.
E. Miscellaneous.
The Corporation shall not be liable for any payment under this Article 10
in connection with a claim made by any indemnitee to the extent such indemnitee has otherwise
actually received payment under any insurance policy, agreement, or otherwise, of the amounts
otherwise indemnifiable hereunder. The rights to indemnification and to the advancement of
expenses conferred in Sections A and B of this Article 10 shall be contract rights and such rights
shall continue as to an indemnitee who has ceased to be a director or officer and shall inure to
the benefit of the indemnitee's heirs, executors and administrators.
F. Limitations Imposed by Federal Law
. Notwithstanding any other provision set forth in this
Article 10, in no event shall any payments made by the Corporation pursuant to this Article 10
exceed the amount permissible under applicable federal law, including, without limitation, Section
18(k) of the Federal Deposit Insurance Act and the regulations promulgated thereunder.
Any repeal or modification of this Article 10 shall not in any way diminish any rights to
indemnification or advancement of expenses of such director or officer or the obligations of the
Corporation arising hereunder with respect to events occurring, or claims made, while this Article
10 is in force.
ARTICLE 11. Limitation of Liability.
An officer or director of the Corporation, as such,
shall not be liable to the Corporation or its stockholders for money damages, except (A) to the
extent that it is proved that the Person actually received an improper benefit or profit in money,
property or services, for the amount of the benefit or profit in money, property or services
actually received; or (B) to the extent that a judgment or other final adjudication adverse to the
Person is entered in a proceeding based on a finding in the proceeding that the Person's action, or
failure to act, was the result of active and deliberate dishonesty and was material to the cause of
action adjudicated in the proceeding; or (C) to the extent otherwise provided by the MGCL. If the
MGCL is amended to further eliminate or limit the personal liability of officers and directors,
then the liability of officers and directors of the Corporation shall be eliminated or limited to
the fullest extent permitted by the MGCL, as so amended.
Any repeal or modification of the foregoing paragraph by the stockholders of the Corporation
shall not adversely affect any right or protection of a director or officer of the Corporation
existing at the time of such repeal or modification.
Item 15. Recent Sales of Unregistered Securities
Not Applicable.
II-2
Table of Contents
Item 16. Exhibits and Financial Statement Schedules:
The exhibits and financial statement schedules filed as part of this registration statement
are as follows:
(a) List of Exhibits
1.1
Engagement Letter between OmniAmerican Bank and Keefe, Bruyette & Woods, Inc.
1.2
Form of Agency Agreement between OmniAmerican Bank and OmniAmerican Bancorp, Inc., and Keefe,
Bruyette & Woods, Inc.*
2
Plan of Conversion
3.1
Articles of Incorporation of OmniAmerican Bancorp, Inc.
3.2
Bylaws of OmniAmerican Bancorp, Inc.
4
Form of Common Stock Certificate of OmniAmerican Bancorp, Inc.
5
Opinion of Luse Gorman Pomerenk & Schick, P.C. regarding legality of securities being registered
8
Form of Federal Tax Opinion of Luse Gorman Pomerenk & Schick, P.C.
10.1
Employment Agreement between OmniAmerican Bank and Tim Carter dated May 30, 2007
10.2
Proposed Employment Agreement between OmniAmerican Bank, OmniAmerican Bancorp, Inc. and Tim
Carter
10.3
Proposed Form of Change in Control Agreement between OmniAmerican Bank and each Senior
Executive Vice President
10.4
OmniAmerican Bank Employee Stock Ownership Plan
21
Subsidiaries of Registrant
23.1
Consent of Luse Gorman Pomerenk & Schick, P.C. (contained in Opinions included as Exhibits 5 and 8)
23.2
Consent of McGladrey & Pullen, LLP
23.3
Consent of RP Financial, LC.
24
Power of Attorney (set forth on signature page)
99.1
Appraisal Agreement between OmniAmerican Bank and RP Financial, LC.
99.2
Letter of RP Financial, LC. with respect to Subscription Rights
99.3
Appraisal Report of RP Financial, LC.**
99.4
Marketing Materials
99.5
Stock Order and Certification Form
99.6
Business Plan Agreement with Feldman Financial Advisors, Inc.
99.7
Conversion Agent Agreement between Keefe, Bruyette & Woods, Inc. and OmniAmerican Bank
*
To be filed supplementally or by amendment.
**
Supporting financial schedules filed in paper format only pursuant to Rule 202 of Regulation
S-T. Available for inspection during business hours at the principal offices of the SEC in
Washington, D.C.
(b) Financial Statement Schedules
No financial statement schedules are filed because the required information is not applicable
or is included in the consolidated financial statements or related notes.
Item 17. Undertakings
The undersigned Registrant hereby undertakes:
(1) To file, during any period in which it offers or sales are being made, a post-effective
amendment to this registration statement:
(i) To include any prospectus required by Section 10(a)(3) of the
Securities Act of 1933;
II-3
Table of Contents
(ii) To reflect in the prospectus any facts or events arising after the effective
date of the registration statement (or the most recent post-effective amendment thereof)
which, individually or in the aggregate, represent a fundamental change in the
information set forth in the registration statement. Notwithstanding the foregoing, any
increase or decrease in volume of securities offered (if the total dollar value of
securities offered would not exceed that which was registered) and any deviation from
the low or high end of the estimated maximum offering range may be reflected in the form
of prospectus filed with the Commission pursuant to Rule 424(b) if, in the aggregate,
the changes in volume and price represent no more than a 20 percent change in the
maximum aggregate offering price set forth in the "Calculation of Registration Fee"
table in the effective registration statement;
(iii) To include any material information with respect to the plan of distribution
not previously disclosed in the registration statement or any material change to such
information in the registration statement.
(2) That, for the purpose of determining any liability under the Securities Act of 1933, each
such post-effective amendment shall be deemed to be a new registration statement relating to the
securities offered therein, and the offering of such securities at that time shall be deemed to be
the initial bona fide offering thereof.
(3) To remove from registration by means of a post-effective amendment any of the securities
being registered which remain unsold at the termination of the offering.
(4) Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be
permitted to directors, officers and controlling persons of the registrant pursuant to the
foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the
Securities and Exchange Commission such indemnification is against public policy as expressed in
the Act, and is, therefore, unenforceable. In the event that a claim for indemnification against
such liabilities (other than the payment by the registrant of expenses incurred or paid by a
director, officer or controlling person of the registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person in connection with
the securities being registered, the registrant will, unless in the opinion of its counsel the
matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the
question whether such indemnification by it is against public policy as expressed in the Act and
will be governed by the final adjudication of such issue.
(5) That, for the purpose of determining liability of the registrant under the Securities Act
of 1933 to any purchaser in the initial distribution of the securities:
The undersigned registrant undertakes that in a primary offering of securities of the
undersigned registrant pursuant to this registration statement, regardless of the underwriting
method used to sell the securities to the purchaser, if the securities are offered or sold to such
purchaser by means of any of the following communications, the undersigned registrant will be a
seller to the purchaser and will be considered to offer or sell such securities to such purchaser:
(i) Any preliminary prospectus or prospectus of the undersigned registrant relating
to the offering required to be filed pursuant to Rule 424 (§230.424 of this chapter);
(ii) Any free writing prospectus relating to the offering prepared by or on behalf
of the undersigned registrant or used or referred to by the undersigned registrant;
(iii) The portion of any other free writing prospectus relating to the offering
containing material information about the undersigned registrant or its securities
provided by or on behalf of the undersigned registrant; and
(iv) Any other communication that is an offer in the offering made by the
undersigned registrant to the purchaser.
II-4
Table of Contents
(6) That, for purposes of determining any liability under the Securities Act of 1933, the
information omitted from the form of prospectus filed as part of this registration statement in
reliance upon Rule 430A and contained in a form of prospectus filed by the registrant pursuant to
Rule 424(b)(1) or (4) or 497(h) under the Securities Act shall be deemed to be part of this
registration statement as of the time it was declared effective.
(7) That, for the purpose of determining any liability under the Securities Act of 1933, each
post-effective amendment that contains a form of prospectus shall be deemed to be a new
registration statement relating to the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial bona fide offering thereof.
(8) The undersigned registrant hereby undertakes to provide to the underwriter at the closing specified in the underwriting agreement, certificates in such denominations and registered in such names as required by the underwriter to permit prompt delivery to each purchaser.
II-5
Table of Contents
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the registrant has duly caused
this registration statement to be signed on its behalf by the undersigned, thereunto duly
authorized in the City of Forth Worth, State of Texas on September 10, 2009.
OMNIAMERICAN BANCORP, INC.
By:
/s/ Tim Carter
Tim Carter
President and Chief Executive Officer
(Duly Authorized Representative)
POWER OF ATTORNEY
We, the undersigned directors and officers of OmniAmerican Bancorp, Inc. (the "Company")
hereby severally constitute and appoint Tim Carter as our true and lawful attorney and agent, to do
any and all things in our names in the capacities indicated below which said Tim Carter may deem
necessary or advisable to enable the Company to comply with the Securities Act of 1933, and any
rules, regulations and requirements of the Securities and Exchange Commission, in connection with
the registration statement on Form S-1 relating to the offering of the Company's common stock,
including specifically, but not limited to, power and authority to sign for us in our names in the
capacities indicated below the registration statement and any and all amendments (including
post-effective amendments) thereto; and we hereby approve, ratify and confirm all that said Tim
Carter shall do or cause to be done by virtue thereof.
Pursuant to the requirements of the Securities Act of 1933, this registration statement has
been signed by the following persons in the capacities and on the dates indicated.
Signatures
Title
Date
/s/ Tim Carter
Tim Carter
President, Chief
Executive Officer and
Director
(Principal
Executive Officer)
September 10, 2009
/s/ Deborah B. Wilkinson
Deborah B. Wilkinson
Executive Vice President
and Chief Financial
Officer
(Principal
Financial and Accounting
Officer)
September 10, 2009
/s/ Wayne P. Burchfield, Jr.
Wayne P. Burchfield, Jr.
Chairman of the Board
September 10, 2009
/s/ Elaine Anderson
Elaine Anderson
Vice Chairman of the Board
September 10, 2009
/s/ Joan Anthony
Joan Anthony
Director
September 10, 2009
/s/ Norm Carroll
Norm Carroll
Director
September 10, 2009
/s/ Patti Callan
Patti Callan
Director
September 10, 2009
/s/ Pat Conley
Pat Conley
Director
September 10, 2009
/s/ James Herring
James Herring
Director
September 10, 2009
/s/ John Sammons, Jr.
John Sammons, Jr.
Director
September 10, 2009
Table of Contents
As filed with the Securities and Exchange Commission on September 11, 2009
Registration No. 333-________
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
EXHIBITS
TO
REGISTRATION STATEMENT
ON
FORM S-1
OmniAmerican Bancorp, Inc.
Fort Worth, Texas
Table of Contents
EXHIBIT INDEX
1.1
Engagement Letter between OmniAmerican Bank and Keefe, Bruyette & Woods, Inc.
1.2
Form of Agency Agreement between OmniAmerican Bank and OmniAmerican Bancorp, Inc., and Keefe,
Bruyette & Woods, Inc.*
2
Plan of Conversion
3.1
Articles of Incorporation of OmniAmerican Bancorp, Inc.
3.2
Bylaws of OmniAmerican Bancorp, Inc.
4
Form of Common Stock Certificate of OmniAmerican Bancorp, Inc.
5
Opinion of Luse Gorman Pomerenk & Schick, P.C. regarding legality of securities being registered
8
Form of Federal Tax Opinion of Luse Gorman Pomerenk & Schick, P.C.
10.1
Employment Agreement between OmniAmerican Bank and Tim Carter dated May 30, 2007
10.2
Proposed Employment Agreement between OmniAmerican Bank, OmniAmerican Bancorp, Inc. and Tim
Carter
10.3
Proposed Form of Change in Control Agreement between OmniAmerican Bank and each Senior
Executive Vice President
10.4
OmniAmerican Bank Employee Stock Ownership Plan
21
Subsidiaries of Registrant
23.1
Consent of Luse Gorman Pomerenk & Schick, P.C. (contained in Opinions included as Exhibits 5 and 8)
23.2
Consent of McGladrey & Pullen, LLP
23.3
Consent of RP Financial, LC.
24
Power of Attorney (set forth on signature page)
99.1
Appraisal Agreement between OmniAmerican Bank and RP Financial, LC.
99.2
Letter of RP Financial, LC. with respect to Subscription Rights
99.3
Appraisal Report of RP Financial, LC.**
99.4
Marketing Materials
99.5
Stock Order and Certification Form
99.6
Business Plan Agreement with Feldman Financial Advisors, Inc.
99.7
Conversion Agent Agreement between Keefe, Bruyette & Woods, Inc. and OmniAmerican Bank
*
To be filed supplementally
or by amendment.
**
Supporting financial schedules filed in paper format only pursuant to Rule 202 of Regulation
S-T. Available for inspection during business hours at the principal offices of the SEC in
Washington, D.C.
Table of Contents
FORM S-1
REGISTRATION STATEMENT UNDER
THE SECURITIES ACT OF 1933
OmniAmerican Bancorp, Inc. and
OmniAmerican Bank 401(k) Profit Sharing Plan
EXHIBIT
VOLUME