BOK Financial Reports Quarterly Earnings of $43 Million or $0.63 per Share

BOK Financial Corporation (NASDAQ:BOKF) reported net income for the fourth quarter of 2009 of $42.8 million or $0.63 per diluted share compared to $50.7 million or $0.75 per diluted share for the third quarter of 2009 and $35.4 million, or $0.52 per diluted share for the fourth quarter of 2008.

Net income for 2009 totaled $200.6 million or $2.96 per diluted share compared to $153.2 million or $2.27 per diluted share for 2008.

"BOK Financial continued to produce solid earnings in 2009 despite economic challenges,” said President and CEO Stan Lybarger. "We remained committed to a strategy of diversified revenue sources, well-managed operating expenses and controlled growth that focuses on long-term shareholder value. Our capital base which was built on retained earnings, not government assistance, has us well positioned for the future.”

Highlights of fourth quarter of 2009 included:

• Net interest revenue totaled $184.5 million, up $4.0 million over the third quarter of 2009. Net interest margin was 3.64% for the fourth quarter of 2009 and 3.63% for the third quarter of 2009.

• Fees and commissions revenue totaled $115.9 million, down $4.0 million from the previous quarter due primarily to a $4.7 million decrease in brokerage and trading revenue.
• Operating expenses, excluding changes in the fair value of mortgage servicing rights, totaled $181.7 million, up $6.0 million from the prior quarter. Mortgage banking costs, occupancy costs and net losses and expenses of repossessed assets increased over the prior quarter. Personnel expenses decreased due to lower incentive compensation expense.

• Combined reserves for credit losses totaled $306 million or 2.72% of outstanding loans at December 31, 2009, up from $293 million or 2.52% of outstanding loans at September 30, 2009. Net loans charged off and provision for credit losses were $35.0 million and $48.6 million, respectively for the fourth quarter of 2009.
• Non-performing assets totaled $484 million or 4.24% of outstanding loans and repossessed assets at December 31, 2009, down from $490 million or 4.19% of outstanding loans and repossessed assets at September 30, 2009. Non-accruing loans decreased $43 million and real estate and other repossessed assets increased $40 million during the fourth quarter.
• Available for sale securities totaled $8.9 billion at December 31, 2009, up $513 million since September 30 due to purchases of residential mortgage-backed securities issued by U.S. government agencies. Other-than-temporary impairment charges on certain privately-issued residential mortgage backed securities reduced pre-tax income by $14.5 million during the fourth quarter of 2009.
• Outstanding loan balances were $11.3 billion at December 31, 2009, down $332 million since September 30, 2009. All major loan categories decreased during the fourth quarter largely due to reduced customer demand and normal repayment trends.
• Average deposit balances totaled $15.6 billion for the fourth quarter 2009, up $444 million from the third quarter of 2009. Total period end deposits grew $423 million in the fourth quarter of 2009 to $15.5 billion. Growth in demand and interest-bearing transaction deposits was partially offset by decreases in higher-costing time deposits.
• Tangible common equity ratio increased to 7.99% at December 31, 2009, from 7.78% at September 30, 2009 largely due to retained earnings growth. The tangible common equity ratio is a non-GAAP measure of capital strength used by the Company and investors based on shareholders’ equity as defined by generally accepted accounting principles in the United States of America minus intangible assets and equity that does not benefit common shareholders such as preferred equity and equity provided by the U.S. Treasury’s Troubled Asset Relief Program ("TARP”) Capital Purchase Program. BOK Financial chose not to participate in the TARP Capital Purchase Program. The Company’s Tier 1 capital ratios as defined by banking regulations were 10.86% at December 31, 2009 and 10.56% at September 30, 2009.
• The Company paid a cash dividend of $16.5 million or $0.24 per common share during the fourth quarter of 2009. On January 26, 2010, the board of directors declared a cash dividend of $0.24 per common share payable on or about February 26, 2010 to shareholders of record as of February 12, 2010.

Net Interest Revenue

Net interest revenue totaled $184.5 million for the fourth quarter of 2009, up $4.0 million over the third quarter of 2009. Net interest margin was 3.64% for the fourth quarter of 2009 and 3.63% for the third quarter of 2009 and 3.57% for the fourth quarter of 2008. The increase in net interest margin over the previous quarter resulted from improved loan yields and lower funding costs. The yield on average earning assets decreased 12 basis points from the previous quarter. Loan yields were up 3 basis points. The increased loan yield partially offset a 34 basis point decrease in the securities portfolio yield. The cost of interest-bearing liabilities decreased 15 basis points, including a 20 basis point decrease in the cost of interest-bearing deposits and a 4 basis point decrease in the cost of other borrowed funds.

Average earning assets increased $450 million during the fourth quarter of 2009, primarily due to an $876 million increase in average securities, primarily residential mortgage-backed securities issued by U.S. government agencies. Average outstanding loans decreased $395 million. Average balances in all major loan categories were lower compared to the previous quarter.

Average deposits increased $444 million during the fourth quarter of 2009. Balances in lower-costing transaction accounts continued to increase and balances in higher-costing time deposits continued to decline. Average interest-bearing transaction accounts were up $572 million and average demand deposits were up $274 million. Average time deposit balances decreased $403 million.

Fees and Commission Revenue

Fees and commissions revenue decreased to $115.9 million for the fourth quarter of 2009 compared to $120.0 million in the third quarter of 2009 primarily due to a $4.7 million decrease in brokerage and trading revenue. Securities trading revenue was down $4.3 million from the previous quarter. All other sources of fees and commissions revenue remained unchanged from the previous quarter. Mortgage banking revenue increased $206 thousand due to an increase in loan production volume. Trust revenue increased $177 thousand due to an increase in the fair value of trust assets. Deposit service charges and fees decreased $963 thousand due to lower commercial account fees and overdraft fees.

Operating Expenses

Total operating expenses were $176.4 million for the fourth quarter of 2009, down $2.3 million compared to the previous quarter. Excluding changes in the fair value of mortgage servicing rights, operating expenses totaled $181.7 million, up $6.0 million over the third quarter of 2009. Growth in operating expenses was primarily due to mortgage banking expenses which include losses on loans previously sold with recourse, operating costs associated with repossessed assets and occupancy costs. Losses on mortgage loans sold with recourse were up $3.3 million over the previous quarter. Net operating costs associated with repossessed properties increased $1.5 million and occupancy costs increased $1.8 million. Personnel costs were down $4.3 million primarily due to a $3.0 million reduction in incentive compensation expense. In addition, operating expenses decreased $8.3 million due to changes in the fair value of mortgage servicing rights.

Credit Quality

Non-performing assets decreased $5.4 million during the fourth quarter of 2009 to $484 million or 4.24% of outstanding loans and repossessed assets at December 31, 2009. Non-performing assets at December 31, 2009 consisted of non-accruing loans of $339 million, renegotiated loans of $16 million (including $13 million of residential mortgage loans guaranteed by U.S. government agencies) and $129 million of real estate and other repossessed assets. Non-accruing loans decreased $43 million and repossessed assets increased $40 million during the quarter.

Non-accruing loans totaled $339 million or 3.01% of outstanding loans at December 31, 2009, compared with $383 million or 3.30% of outstanding loans at September 30, 2009. Approximately $164 million of non-accruing loans have been charged-down to the amount management expects to recover. During the fourth quarter of 2009, $63 million of new non-accruing loans were identified offset by $26 million in charge-offs, $47 million in foreclosures and repossessions and $28 million in payments received.

The decrease in non-accruing loans included $21 million from cash and an equity interest received during the fourth quarter to partially satisfy bankruptcy claims against SemGroup. Cash received totaled $7 million and the equity interest was valued at $14 million. BOK Financial continues to hold a $12 million non-accruing loan to the entity created when SemGroup exited bankruptcy.

Non-accruing commercial loans totaled $101 million or 1.63% of total commercial loans at December 31, 2009. At December 31, 2009, non-accruing commercial loans are primarily composed of $31 million or 1.71% of total services sector loans, $23 million or 1.19% of total energy sector loans and $16 million or 3.90% of total manufacturing sector loans. Non-accruing commercial loans decreased $27 million since September 30, 2009, primarily related to energy sector loans.

Non-accruing commercial real estate loans totaled $205 million or 8.23% of outstanding commercial real estate loans at December 31, 2009. Non-accruing commercial real estate loans attributed to our various markets included $73 million or 32% of total commercial real estate loans in Arizona, $52 million or 22% of total commercial real estate loans in Colorado, $31 million or 3.78% of total commercial real estate loans in Oklahoma, $24 million or 3.26% of total commercial real estate loans in Texas and $12 million or 9.06% of commercial real estate loans in Arkansas. Total non-accruing commercial real estate loans decreased $7.5 million since September 30, 2009. Newly identified non-accruing commercial real estate loans totaled $46 million, partially offset by $27 million of foreclosures, $15 million of cash payments received and $12 million of charge-offs.

Non-accruing residential mortgage loans totaled $30 million or 1.67% of outstanding residential mortgage loans at December 31, 2009. The distribution of non-accruing residential mortgage loans among our various markets included $15 million or 1.22% of residential mortgage loans in Oklahoma, $9 million or 2.87% of residential mortgage loans in Texas and $3 million or 4.61% of residential mortgage loans in Arizona. Non-accruing residential mortgage loans decreased $8.2 million compared to September 30, 2009. Residential mortgage loans past due 30 to 90 days totaled $20 million, unchanged from September 30, 2009.

The combined allowance for credit losses totaled $306 million or 2.72% of outstanding loans and 90% of non-accruing loans at December 31, 2009. The allowance for loan losses was $292 million and the reserve for off-balance sheet credit losses was $14 million. During the fourth quarter of 2009, the Company recognized a $48.6 million provision for credit losses. Net losses charged against the allowance for loan losses totaled $35.0 million or 1.22% annualized of average outstanding loans. For the full year 2009, the Company recognized a $196 million provision for credit losses. Net losses charged against the allowance for loan losses totaled $138 million or 1.14% of average loans.

Real estate and other repossessed assets totaled $129 million at December 31, 2009 consisting of $63 million of 1-4 family residential properties and residential land development properties, $36 million of developed commercial real estate properties, $14 million of equity interest received in partial satisfaction of debts, $8 million of undeveloped land, $5 million of equipment and $2 million of automobiles. The distribution of real estate owned and other repossessed assets among various markets included $52 million in Arizona, $23 million in Texas, $10 million in Colorado, $9 million in New Mexico, $23 million in Oklahoma, $6 million in Kansas City and $6 million in Arkansas. Real estate and other repossessed assets increased by $40 million during the fourth quarter due to additions of $53 million partially offset by $7 million in sales and $6 million in write-downs based on updated appraisals.

The Company also has off-balance sheet obligations related to certain community development residential mortgage loans sold to U.S. government agencies with recourse. These mortgage loans were underwritten to standards approved by the agencies, including full documentation and originated under programs available only for owner-occupied properties. The outstanding principal balance of these loans totaled $331 million at December 31, 2009. The loans are primarily to borrowers in our primary market areas, including $233 million in Oklahoma, $36 million in Arkansas, $19 million in New Mexico, $16 million in Kansas City and $15 million in Texas. At December 31, 2009, approximately 5.22% of these loans are non-performing and 5.55% were past due 30 to 90 days. A separate reserve for credit risk of $14 million is available for losses on these loans.

Securities and Derivatives

The fair value of available for sale securities totaled $8.9 billion at December 31, 2009, up $513 million since September 30, 2009. The available for sale portfolio consisted primarily of residential mortgage-backed securities, including $7.8 billion fully backed by U.S. government agencies and $792 million privately issued by publicly owned financial institutions. The portfolio does not hold any securities backed by sub-prime mortgage loans, collateralized debt obligations or collateralized loan obligations. The Company holds no debt of corporate issuers.

The Company continued a strategy to increase holdings of residential mortgage-backed securities during the fourth quarter. This strategy recognizes attractive spreads over funding costs on these securities. Credit risk is controlled by investing in securities fully backed by U.S. government agencies. Interest rate risk is mitigated by investing in short-duration securities that would have limited extension exposure from rising interest rates.

The portfolio of available for sale securities had net unrealized gains of $13 million at December 31, 2009 compared to net unrealized gains of $31 million at September 30, 2009. Net unrealized gains on residential mortgage-backed securities issued by U.S. government agencies decreased $39 million during the fourth quarter to $164 million at December 31, 2009. Net unrealized losses on privately-issued residential mortgage-backed securities decreased $22 million to $169 million at December 31, 2009.

The amortized cost of privately-issued mortgage-backed securities totaled $961 million at December 31, 2009, down $371 million since September 30 due primarily to cash received. Approximately $589 million of the privately issued mortgage-backed securities were rated below investment grade by at least one nationally-recognized rating agency. The aggregate unrealized losses on privately-issued mortgage-backed securities rated below investment grade totaled $129 million at December 31, 2009. Aggregate unrealized losses on these same securities were $137 million at September 30, 2009. The Company recognized a $14.5 million other-than-temporary impairment charge against earnings in the fourth quarter related to these securities due to further declines in projected cash flows as a result of worsening trends in delinquencies, foreclosures and housing prices.

Net realized gains on securities totaled $7.3 million for the fourth quarter of 2009, compared with $12.3 million for the third quarter of 2009 and $20.2 million for the fourth quarter of 2008.

		Three Months Ended
		Dec. 31, 2009				Sept. 30, 2009				Dec. 31, 2008
Net gain on available for sale securities		$	11,717			$	8,706			$	5,067
Gain (loss) on mortgage hedge securities			(4,440	)			3,560				15,089
Net gain on securities		$	7,277			$	12,266			$	20,156
Gain (loss) on change in fair value of
mortgage servicing rights		$	5,285			$	(2,981	)		$	(26,432	)

The Company recognized $11.7 million of gains on the sale of $776 million of available for sale securities in the fourth quarter of 2009 and $8.7 million of net gains on the sale of $719 million of available for sale securities in the third quarter of 2009. Securities were sold either because they had reached their maximum potential total return or to mitigate extension exposure from rising interest rates.

BOK Financial also maintains a portfolio of residential mortgage-backed securities issued by U.S. government agencies as an economic hedge against changes in the fair value of mortgage servicing rights. The fair value of mortgage servicing rights increased $5.3 million and the fair value of mortgage hedge securities decreased $4.4 million during the fourth quarter of 2009.

The Company has a portfolio of derivative contracts held for customer risk management programs and internal interest rate risk management programs. At December 31, 2009, the fair value of all asset contracts totaled $344 million, net of cash margin held by the Company. The largest net amount due from a single counterparty, a subsidiary of an international energy company, to these contracts at December 31 was $84 million. Letters of credit issued by independent financial institutions offset $70 million of this amount.

Loans, Deposits and Capital

Outstanding loans at December 31, 2009 were $11.3 billion, down $332 million from September 30, 2009. Loan balances were lower across most sectors of the loan portfolio and markets due to reduced customer demand in response to current economic conditions and normal repayment trends. Commercial loans decreased $162 million from September 30, 2009, primarily due to a $182 million decrease in energy sector loans and a $39 million decrease in manufacturing sector loans, offset by a $47 million increase in healthcare sector loans and $39 million increase in service sector loans. Commercial real estate loans decreased $69 million compared to the prior quarter, primarily due to a $90 million decrease in residential construction and land development loans and a $25 million decrease in loans secured by office buildings, offset by a $21 million increase in loans secured by multifamily properties and a $19 million increase in loans secured by industrial properties. Residential mortgage loans decreased $36 million from the prior quarter primarily due to a $45 million decrease in permanent mortgage loans offset by a $9 million increase in home equity loans. Consumer loans decreased $65 million compared to the prior quarter primarily due to a $62 million decrease in indirect automobile loans related to the previously announced decision to curtail that business during the first quarter of 2009 in favor of a customer-focused direct approach to consumer lending.

Total deposits increased $423 million during the third quarter and totaled $15.5 billion at December 31, 2009. Demand and interest-bearing deposits increased $192 million and $550 million, respectively, offset by a $317 million decrease in time deposit balances. The Company continued to decrease brokered deposits and other higher cost certificates of deposit. Among the lines of business, wealth management and consumer deposits increased $566 million and $64 million, respectively, offset by a $93 million decrease in commercial deposits.

The Company and each of its subsidiary banks exceeded the regulatory definition of well capitalized at December 31, 2009. The Company’s Tier 1 and total capital ratios were 10.86% and 14.43%, respectively, at December 31, 2009. The Company’s Tier 1 and total capital ratios were 10.56% and 14.10%, respectively, at September 30, 2009. In addition the Company’s tangible common equity ratio, a non-GAAP measure, was 7.99% at December 31, 2009 and 7.78% at September 30, 2009. The increase in capital ratios was primarily due to retained earnings growth.

About BOK Financial Corporation

BOK Financial is a regional financial services company that provides commercial and consumer banking, investment and trust services, mortgage origination and servicing, and an electronic funds transfer network. Holdings include Bank of Albuquerque, N.A., Bank of Arizona, N.A., Bank of Arkansas, N.A., Bank of Oklahoma, N.A., Bank of Texas, N.A., Colorado State Bank & Trust, N.A., Bank of Kansas City, N.A., BOSC, Inc., Cavanal Hill Investment Management, Inc., the TransFund electronic funds network, and Southwest Trust Company, N.A. Shares of BOK Financial are traded on the NASDAQ under the symbol BOKF. For more information, visit www.bokf.com.

The Company will continue to evaluate critical assumptions and estimates, such as the adequacy of the allowance for credit losses and asset impairment as of December 31, 2009 through the date its financial statements are filed with the Securities and Exchange Commission and will adjust amounts reported if necessary.

This news release contains forward-looking statements that are based on management’s beliefs, assumptions, current expectations, estimates and projections about BOK Financial, the financial services industry and the economy generally. Words such as "anticipates,” "believes,” "estimates,” "expects,” "forecasts,” "plans,” "projects,” variations of such words and similar expressions are intended to identify such forward-looking statements. Management judgments relating to and discussion of the provision and allowance for credit losses involve judgments as to future events and are inherently forward-looking statements. Assessments that BOK Financial’s acquisitions and other growth endeavors will be profitable are necessary statements of belief as to the outcome of future events based in part on information provided by others which BOK Financial has not independently verified. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions which are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what is expected, implied or forecasted in such forward-looking statements. Internal and external factors that might cause such a difference include, but are not limited to (1) the ability to fully realize expected cost savings from mergers within the expected time frames, (2) the ability of other companies on which BOK Financial relies to provide goods and services in a timely and accurate manner, (3) changes in interest rates and interest rate relationships, (4) demand for products and services, (5) the degree of competition by traditional and nontraditional competitors, (6) changes in banking regulations, tax laws, prices, levies and assessments, (7) the impact of technological advances and (8) trends in consumer behavior as well as their ability to repay loans. BOK Financial and its affiliates undertake no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events, or otherwise.

BALANCE SHEETS
BOK FINANCIAL CORPORATION
(In thousands)
		Period Ended
		December 31,				September 30,				December 31,
			2009				2009				2008
		(Unaudited)				(Unaudited)
ASSETS
Cash and due from banks		$	875,250			$	1,383,244			$	581,133
Trading securities			65,354				100,898				99,601
Funds sold and resell agreements			45,966				39,465				113,809
Securities:
Available for sale			8,872,023				8,358,562				6,391,451
Investment			240,405				238,101				242,344
Mortgage trading securities			285,950				320,971				399,211
Total securities			9,398,378				8,917,634				7,033,006
Residential mortgage loans held for sale			217,826				172,301				129,246
Loans:
Commercial			6,207,840				6,370,056				7,411,603
Commercial real estate			2,491,434				2,560,335				2,701,248
Residential mortgage			1,793,622				1,829,824				1,752,574
Consumer			786,802				851,349				1,010,581
Total loans			11,279,698				11,611,564				12,876,006
Less reserve for loan losses			(292,095	)			(280,902	)			(233,236	)
Loans, net of reserve			10,987,603				11,330,662				12,642,770
Premises and equipment, net			280,260				286,702				277,458
Accrued revenue receivable			108,822				68,617				96,673
Intangible assets, net			354,239				356,152				361,209
Mortgage servicing rights, net			73,824				66,689				42,752
Real estate and other repossessed assets			129,034				89,507				29,179
Bankers' acceptances			3,869				9,882				12,913
Derivative contracts			343,782				397,110				452,604
Cash surrender value of bank-owned life insurance			247,357				244,456				237,006
Receivable on unsettled securities trades			-				-				239,474
Other assets			385,267				413,522				385,815
TOTAL ASSETS		$	23,516,831			$	23,876,841			$	22,734,648
LIABILITIES AND EQUITY
Deposits:
Demand		$	3,653,844			$	3,462,188			$	3,082,379
Interest-bearing transaction			7,930,439				7,380,449				6,562,350
Savings			165,952				167,896				154,635
Time			3,767,993				4,084,813				5,183,243
Total deposits			15,518,228				15,095,346				14,982,607
Funds purchased and repurchase agreements			2,471,743				2,198,900				3,025,399
Other borrowings			2,133,357				3,189,948				1,522,054
Subordinated debentures			398,539				398,502				398,407
Accrued interest, taxes, and expense			111,880				123,409				133,220
Bankers' acceptances			3,869				9,882				12,913
Due on unsettled securities trades			212,335				133,974				-
Derivative contracts			308,360				395,197				667,034
Other liabilities			133,146				127,689				132,902
TOTAL LIABILITIES			21,291,457				21,672,847				20,874,536
Shareholders' equity:
Capital, surplus and retained earnings			2,216,553				2,185,776				2,069,143
Accumulated other comprehensive loss			(10,740	)			(763	)			(222,886	)
TOTAL SHAREHOLDERS' EQUITY			2,205,813				2,185,013				1,846,257
Non-controlling interest			19,561				18,981				13,855
TOTAL EQUITY			2,225,374				2,203,994				1,860,112
TOTAL LIABILITIES AND EQUITY		$	23,516,831			$	23,876,841			$	22,734,648

AVERAGE BALANCE SHEETS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
		Quarter Ended
		December 31,				September 30,				June 30,				March 31,				December 31,
			2009				2009				2009				2009				2008
ASSETS
Trading securities		$	68,027			$	64,763			$	112,960			$	111,962			$	78,840
Funds sold and resell agreements			30,358				67,032				29,277				50,701				48,246
Securities:
Available for sale			8,583,032				7,782,254				7,242,931				6,645,086				6,409,906
Investment			238,479				235,967				271,068				238,562				242,503
Mortgage trading securities			340,456				267,591				365,434				453,304				237,319
Total securities			9,161,967				8,285,812				7,879,433				7,336,952				6,889,728
Residential mortgage loans held for sale			194,760				176,403				286,077				201,135				121,184
Loans:
Commercial			6,325,580				6,521,438				6,901,057				7,182,481				7,452,799
Commercial real estate			2,538,737				2,621,176				2,684,020				2,762,789				2,716,465
Residential mortgage			1,827,339				1,873,457				1,884,023				1,841,006				1,641,023
Consumer			801,040				871,347				933,950				998,489				1,016,409
Total loans			11,492,696				11,887,418				12,403,050				12,784,765				12,826,696
Less allowance for loan losses			(298,157	)			(281,289	)			(273,335	)			(252,734	)			(209,319	)
Total loans, net			11,194,539				11,606,129				12,129,715				12,532,031				12,617,377
Total earning assets			20,649,651				20,200,139				20,437,462				20,232,781				19,755,374
Cash and due from banks			1,095,087				828,965				638,791				661,433				534,039
Cash surrender value of bank-owned life insurance			245,460				242,715				240,199				237,805				235,195
Derivative contracts			352,143				401,887				493,448				476,091				352,083
Other assets			1,353,393				1,376,828				1,264,131				1,335,259				1,394,960
TOTAL ASSETS		$	23,695,734			$	23,050,534			$	23,074,031			$	22,943,369			$	22,271,651
LIABILITIES AND EQUITY
Deposits:
Demand		$	3,666,663			$	3,392,578			$	3,183,338			$	2,864,751			$	2,712,384
Interest-bearing transaction			7,734,678				7,162,477				6,854,003				6,610,805				6,116,465
Savings			167,572				167,677				167,813				159,537				155,784
Time			4,002,337				4,404,854				5,123,947				5,215,091				5,109,303
Total deposits			15,571,250				15,127,586				15,329,101				14,850,184				14,093,936
Funds purchased and repurchase agreements			2,173,476				2,284,985				2,316,990				2,562,066				3,095,054
Other borrowings			2,380,938				2,173,103				1,951,699				2,158,963				1,986,857
Subordinated debentures			398,522				398,484				398,456				398,425				398,392
Derivative contracts			318,809				392,277				536,232				641,974				494,778
Other liabilities			605,994				539,129				534,889				416,242				293,752
TOTAL LIABILITIES			21,448,989				20,915,564				21,067,367				21,027,854				20,362,769
Total equity			2,246,745				2,134,970				2,006,664				1,915,515				1,908,882
TOTAL LIABILITIES AND EQUITY		$	23,695,734			$	23,050,534			$	23,074,031			$	22,943,369			$	22,271,651

STATEMENTS OF EARNINGS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except per share data)
		Quarter Ended						Year Ended
		December 31,						December 31,
		2009			2008			2009			2008
Interest revenue		$ 224,411			$ 262,160			$ 914,569			$ 1,061,645
Interest expense		39,933			85,713			204,205			414,783
Net interest revenue		184,478			176,447			710,364			646,862
Provision for credit losses		48,620			73,001			195,900			202,593
Net interest revenue after provision for credit losses		135,858			103,446			514,464			444,269
Other operating revenue
Brokerage and trading revenue		20,240			23,507			91,677			42,804
Transaction card revenue		26,292			25,177			105,517			100,153
Trust fees and commissions		16,492			17,143			66,177			78,979
Deposit service charges and fees		29,501			29,239			115,791			117,528
Mortgage banking revenue		13,403			7,217			64,980			30,599
Bank-owned life insurance		2,870			2,682			10,239			10,681
Margin asset fees		50			187			236			8,548
Other revenue		7,101			5,778			25,895			25,902
Total fees and commissions		115,949			110,930			480,512			415,194
Gain (loss) on other assets		(205)			(7,420)			4,134			(9,406)
Gain (loss) on derivatives, net		(370)			(2,219)			(3,365)			1,299
Gain (loss) on securities, net		7,277			20,156			46,122			26,943
Total other-than-temporary impairment losses		(67,390)			-			(129,154)			(5,306)
Portion of loss recognized in other comprehensive income		(52,902)			-			(94,741)			-
Net impairment losses recognized in earnings		(14,488)			-			(34,413)			(5,306)
Total other operating revenue		108,163			121,447			492,990			428,724
Other operating expense
Personnel		93,687			87,695			380,517			352,947
Business promotion		5,758			7,283			19,582			23,536
Professional fees and services		8,813			7,923			30,243			27,045
Net occupancy and equipment		17,600			14,901			65,715			60,632
Insurance		6,412			3,216			24,040			11,988
FDIC special assessment		-			-			11,773			-
Data processing and communications		21,121			19,720			81,292			78,047
Printing, postage and supplies		3,601			3,823			15,960			16,433
Net (gains) losses and operating expenses of repossessed assets		5,101			1,006			11,400			1,019
Amortization of intangible assets		1,912			1,967			6,970			7,661
Mortgage banking costs		11,436			4,967			36,304			22,513
Change in fair value of mortgage servicing rights		(5,285)			26,432			(12,124)			34,515
Visa retrospective responsibility obligation		-			(1,700)			-			(2,767)
Other expense		6,281			8,209			25,061			28,835
Total other operating expense		176,437			185,442			696,733			662,404
Net income before taxes		67,584			39,451			310,721			210,589
Federal and state income taxes		24,780			10,363			106,705			64,909
Net income before non-controlling interest		42,804			29,088			204,016			145,680
Net income (loss) attributable to non-controlling interest		33			(6,355)			3,438			(7,552)
Net income attributable to BOK Financial Corporation		$ 42,771			$ 35,443			$ 200,578			$ 153,232
Average shares outstanding:
Basic		67,446,326			67,294,069			67,375,387			67,302,990
Diluted		67,600,344			67,456,267			67,487,944			67,461,361
Net income per share:
Basic		$ 0.63			$ 0.53			$ 2.96			$ 2.27
Diluted		$ 0.63			$ 0.52			$ 2.96			$ 2.27

FINANCIAL HIGHLIGHTS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and share data)
		Quarter Ended
		December 31,					September 30,					June 30,					March 31,					December 31,
			2009					2009					2009					2009					2008
Capital:
Period-end shareholders' equity		$	2,205,813				$	2,185,013				$	2,050,572				$	1,931,300				$	1,846,257
Risk weighted assets		$	17,275,808				$	17,515,147				$	18,338,540				$	18,355,862				$	18,401,051
Risk-based capital ratios:
Tier 1			10.86	%				10.56	%				9.86	%				9.66	%				9.40	%
Total capital			14.43	%				14.10	%				13.34	%				13.08	%				12.81	%
Leverage ratio			8.05	%				8.16	%				7.97	%				7.85	%				7.89	%
Tangible common equity ratio (A)			7.99	%				7.78	%				7.55	%				6.84	%				6.64	%
Tier 1 common equity ratio (B)			10.75	%				10.45	%				9.77	%				9.58	%				9.32	%
Common stock:
Book value per share		$	32.53				$	32.27				$	30.30				$	28.57				$	27.36
Market value per share:
High		$	47.91				$	48.10				$	43.02				$	40.71				$	54.42
Low		$	41.87				$	34.81				$	34.46				$	22.95				$	38.40
Cash dividends paid		$	16,461				$	16,280				$	16,184				$	15,027				$	15,358
Dividend payout ratio			38.49	%				32.14	%				31.05	%				27.31	%				43.33	%
Shares outstanding, net			67,802,807					67,707,547					67,674,442					67,589,045					67,473,086
Stock buy-back program:
Shares repurchased			-					-					-					-					-
Amount		$	-				$	-				$	-				$	-				$	-
Average price per share		$	-				$	-				$ -					$	-				$	-
Performance ratios (quarter annualized):
Return on average assets			0.72	%				0.87	%				0.91	%				0.97	%				0.63	%
Return on average equity			7.55	%				9.41	%				10.42	%				11.65	%				7.39	%
Net interest margin			3.64	%				3.63	%				3.55	%				3.47	%				3.57	%
Efficiency ratio			60.02	%				58.09	%				61.02	%				57.10	%				54.94	%
Other data:
Gain (loss) on economic hedge of mortgage servicing rights		$	(4,440	)			$	3,560				$	(10,199	)			$	(2,118	)			$	15,089
Trust assets		$	30,385,365				$	29,945,585				$	29,288,041				$	28,700,791				$	30,454,512
Mortgage servicing portfolio		$	6,603,132				$	6,339,764				$	6,082,501				$	5,515,893				$	5,256,159
Mortgage loan fundings during the quarter		$	560,254				$	536,173				$	1,023,272				$	708,561				$	214,521
Mortgage loan refinances to total fundings			47.00	%				49.00	%				71.00	%				73.51	%				34.84	%
Tax equivalent adjustment		$	2,196				$	1,982				$	1,791				$	2,105				$	2,063
Unrealized gain (loss) on available for sale securities		$	13,226				$	30,898				$	(128,492	)			$	(261,856	)			$	(330,973	)
(A) Tangible common equity ratio is a non-GAAP measure.
Reconciliation to a GAAP financial measure follows:
Total shareholders' equity		$	2,205,813				$	2,185,013				$	2,050,572				$	1,931,300				$	1,846,257
Less: intangible assets, net			(354,239	)				(356,152	)				(357,838	)				(359,523	)				(361,209	)
Tangible common equity		$	1,851,574				$	1,828,861				$	1,692,734				$	1,571,777				$	1,485,048
Total assets		$	23,516,831				$	23,876,841				$	22,768,319				$	23,333,442				$	22,734,648
Less: intangible assets, net			(354,239	)				(356,152	)				(357,838	)				(359,523	)				(361,209	)
		$	23,162,592				$	23,520,689				$	22,410,481				$	22,973,919				$	22,373,439
Tangible common equity ratio			7.99	%				7.78	%				7.55	%				6.84	%				6.64	%
(B) Tier 1 common equity ratio is a non-GAAP measure.
Reconciliation to a GAAP financial measure follows:
Tier 1 capital		$	1,876,778				$	1,849,254				$	1,807,705				$	1,773,576				$	1,728,926
Less: non-controlling interest			(19,561	)				(18,981	)				(15,590	)				(14,751	)				(13,855	)
Tier 1 common equity		$	1,857,217				$	1,830,273				$	1,792,115				$	1,758,825				$	1,715,071
Risk weighted assets		$	17,275,808				$	17,515,147				$	18,338,540				$	18,355,862				$	18,401,051
Tier 1 common equity ratio			10.75	%				10.45	%				9.77	%				9.58	%				9.32	%

QUARTERLY EARNINGS TRENDS - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands, except ratio and per share data)
		Quarter Ended
		December 31,				September 30,				June 30,				March 31,				December 31,
			2009				2009				2009				2009				2008
Interest revenue		$	224,411			$	226,246			$	230,685			$	233,227			$	262,160
Interest expense			39,933				45,785				55,105				63,382				85,713
Net interest revenue			184,478				180,461				175,580				169,845				176,447
Provision for credit losses			48,620				55,120				47,120				45,040				73,001
Net interest revenue after provision for credit losses			135,858				125,341				128,460				124,805				103,446
Other operating revenue
Brokerage and trading revenue			20,240				24,944				21,794				24,699				23,507
Transaction card revenue			26,292				26,264				27,533				25,428				25,177
Trust fees and commissions			16,492				16,315				16,860				16,510				17,143
Deposit service charges and fees			29,501				30,464				28,421				27,405				29,239
Mortgage banking revenue			13,403				13,197				19,882				18,498				7,217
Bank-owned life insurance			2,870				2,634				2,418				2,317				2,682
Margin asset fees			50				51				68				67				187
Other revenue			7,101				6,087				6,124				6,583				5,778
Total fees and commissions			115,949				119,956				123,100				121,507				110,930
Gain (loss) on other assets			(205	)			3,223				973				143				(7,420	)
Gain (loss) on derivatives, net			(370	)			(294	)			(1,037	)			(1,664	)			(2,219	)
Gain (loss) on securities, net			7,277				12,266				6,471				20,108				20,156
Total other-than-temporary impairment losses			(67,390	)			(6,133	)			(1,263	)			(54,368	)			-
Portion of loss recognized in other comprehensive income			(52,902	)			(2,752	)			279				(39,366	)			-
Net impairment losses recognized in earnings			(14,488	)			(3,381	)			(1,542	)			(15,002	)			-
Total other operating revenue			108,163				131,770				127,965				125,092				121,447
Other operating expense
Personnel			93,687				98,012				96,191				92,627				87,695
Business promotion			5,758				4,827				4,569				4,428				7,283
Professional fees and services			8,813				7,555				7,363				6,512				7,923
Net occupancy and equipment			17,600				15,884				15,973				16,258				14,901
Insurance			6,412				6,092				5,898				5,638				3,216
FDIC special assessment			-				-				11,773				-				-
Data processing and communications			21,121				20,413				20,452				19,306				19,720
Printing, postage and supplies			3,601				3,716				4,072				4,571				3,823
Net (gains) losses and operating expenses of repossessed assets			5,101				3,497				996				1,806				1,006
Amortization of intangible assets			1,912				1,686				1,686				1,686				1,967
Mortgage banking costs			11,436				8,065				9,336				7,467				4,967
Change in fair value of mortgage servicing rights			(5,285	)			2,981				(7,865	)			(1,955	)			26,432
Visa retrospective responsibility obligation			-				-				-				-				(1,700	)
Other expense			6,281				6,004				5,326				7,450				8,209
Total other operating expense			176,437				178,732				175,770				165,794				185,442
Net income before taxes			67,584				78,379				80,655				84,103				39,451
Federal and state income taxes			24,780				24,772				28,315				28,838				10,363
Net income before non-controlling interest			42,804				53,607				52,340				55,265				29,088
Net income (loss) attributable to non-controlling interest			33				2,947				225				233				(6,355	)
Net income attributable to BOK Financial Corporation		$	42,771			$	50,660			$	52,115			$	55,032			$	35,443
Average shares outstanding:
Basic			67,446,326				67,392,059				67,344,577				67,315,986				67,294,069
Diluted			67,600,344				67,513,700				67,448,029				67,387,102				67,456,267
Net income per share:
Basic		$	0.63			$	0.75			$	0.77			$	0.81			$	0.53
Diluted		$	0.63			$	0.75			$	0.77			$	0.81			$	0.52

LOANS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
		Quarter Ended
		December 31,			September 30,			June 30,			March 31,			December 31,
			2009			2009			2009			2009			2008
Oklahoma:
Commercial		$	2,649,252		$	2,738,217		$	2,918,478		$	3,119,362		$	3,356,520
Commercial real estate			820,578			815,362			855,742			881,620			843,576
Residential mortgage			1,228,822			1,245,917			1,249,104			1,234,417			1,196,924
Consumer			451,829			483,369			521,431			562,021			579,809
Total Oklahoma			5,150,481			5,282,865			5,544,755			5,797,420			5,976,829
Texas:
Commercial			2,017,081			2,075,379			2,182,756			2,277,186			2,353,860
Commercial real estate			735,338			734,742			741,199			816,830			825,769
Residential mortgage			313,113			335,797			345,780			337,044			315,438
Consumer			170,062			188,374			196,752			214,134			212,820
Total Texas			3,235,594			3,334,292			3,466,487			3,645,194			3,707,887
New Mexico:
Commercial			341,802			344,910			380,378			393,180			418,732
Commercial real estate			305,061			344,988			313,190			315,511			286,574
Residential mortgage			86,415			88,271			90,944			99,805			98,018
Consumer			17,473			18,176			18,826			19,900			18,616
Total New Mexico			750,751			796,345			803,338			828,396			821,940
Arkansas:
Commercial			103,443			99,559			97,676			99,955			103,446
Commercial real estate			132,436			128,984			133,026			133,227			134,015
Residential mortgage			16,849			19,128			19,015			17,145			16,875
Consumer			124,265			136,461			152,620			168,971			175,647
Total Arkansas			376,993			384,132			402,337			419,298			429,983
Colorado:
Commercial			545,724			569,549			595,858			675,223			660,546
Commercial real estate			239,970			249,879			269,923			267,035			261,820
Residential mortgage			66,504			68,667			58,557			59,120			53,875
Consumer			17,362			18,272			14,097			14,599			16,141
Total Colorado			869,560			906,367			938,435			1,015,977			992,382
Arizona:
Commercial			199,143			219,330			215,540			211,953			211,356
Commercial real estate			227,249			257,169			262,607			285,841			319,525
Residential mortgage			65,047			57,304			58,265			61,605			62,123
Consumer			3,461			4,826			3,229			5,261			6,075
Total Arizona			494,900			538,629			539,641			564,660			599,079
Kansas:
Commercial			351,395			323,112			325,165			324,671			307,143
Commercial real estate			30,802			29,211			36,006			32,017			29,969
Residential mortgage			16,872			14,740			12,310			10,814			9,321
Consumer			2,350			1,871			1,454			1,469			1,473
Total Kansas			401,419			368,934			374,935			368,971			347,906
TOTAL BOK FINANCIAL		$	11,279,698		$	11,611,564		$	12,069,928		$	12,639,916		$	12,876,006

DEPOSITS BY PRINCIPAL MARKET AREA - UNAUDITED
BOK FINANCIAL CORPORATION
(In thousands)
		Quarter Ended
		December 31,			September 30,			June 30,			March 31,			December 31,
			2009			2009			2009			2009			2008
Oklahoma:
Demand		$	2,068,908		$	1,895,980		$	1,451,057		$	1,651,111		$	1,683,374
Interest-bearing:
Transaction			5,134,902			4,566,058			4,374,089			4,089,838			4,117,729
Savings			93,006			93,443			94,048			95,827			86,476
Time			1,397,240			1,765,980			2,033,312			2,876,313			3,104,933
Total interest-bearing			6,625,148			6,425,481			6,501,449			7,061,978			7,309,138
Total Oklahoma			8,694,056			8,321,461			7,952,506			8,713,089			8,992,512
Texas:
Demand			1,108,401			1,138,794			1,002,266			1,021,424			1,067,456
Interest-bearing:
Transaction			1,748,319			1,716,460			1,660,642			1,527,399			1,460,576
Savings			35,129			35,724			33,992			33,867			32,071
Time			1,100,602			1,007,579			1,035,919			1,054,632			857,416
Total interest-bearing			2,884,050			2,759,763			2,730,553			2,615,898			2,350,063
Total Texas			3,992,451			3,898,557			3,732,819			3,637,322			3,417,519
New Mexico:
Demand			209,090			216,330			175,033			180,308			155,345
Interest-bearing:
Transaction			444,247			424,528			434,498			401,000			397,382
Savings			17,563			18,039			18,255			17,858			16,289
Time			510,202			511,507			542,388			561,300			522,894
Total interest-bearing			972,012			954,074			995,141			980,158			936,565
Total New Mexico			1,181,102			1,170,404			1,170,174			1,160,466			1,091,910
Arkansas:
Demand			21,526			19,077			17,261			16,503			16,293
Interest-bearing:
Transaction			50,879			85,061			73,972			63,924			38,566
Savings			1,346			1,131			1,031			1,100			1,083
Time			101,839			137,109			162,505			150,015			75,579
Total interest-bearing			154,064			223,301			237,508			215,039			115,228
Total Arkansas			175,590			242,378			254,769			231,542			131,521
Colorado:
Demand			146,929			121,555			113,895			111,048			116,637
Interest-bearing:
Transaction			448,846			477,418			445,521			466,276			480,113
Savings			17,802			18,518			18,144			18,905			17,660
Time			525,844			520,906			579,709			584,971			532,475
Total interest-bearing			992,492			1,016,842			1,043,374			1,070,152			1,030,248
Total Colorado			1,139,421			1,138,397			1,157,269			1,181,200			1,146,885
Arizona:
Demand			68,651			54,046			55,975			54,362			39,424
Interest-bearing:
Transaction			81,909			95,242			89,842			66,809			56,985
Savings			958			971			1,282			970			1,014
Time			60,768			56,809			59,775			54,923			34,290
Total interest-bearing			143,635			153,022			150,899			122,702			92,289
Total Arizona			212,286			207,068			206,874			177,064			131,713
Kansas / Missouri:
Demand			30,339			16,406			9,692			16,140			3,850
Interest-bearing:
Transaction			21,337			15,682			12,907			11,976			10,999
Savings			148			70			54			117			42
Time			71,498			84,923			158,325			141,505			55,656
Total interest-bearing			92,983			100,675			171,286			153,598			66,697
Total Kansas / Missouri			123,322			117,081			180,978			169,738			70,547
TOTAL BOK FINANCIAL		$	15,518,228		$	15,095,346		$	14,655,389		$	15,270,421		$	14,982,607

NET INTEREST MARGIN TREND - UNAUDITED
BOK FINANCIAL CORPORATION
		Quarter Ended
		December 31,			September 30,			June 30,			March 31,			December 31,
		2009			2009			2009			2009			2008
TAX-EQUIVALENT ASSETS YIELDS
Trading securities		5.41	%		4.72	%		3.49	%		3.69	%		6.55	%
Funds sold and resell agreements		0.21	%		0.11	%		0.19	%		0.24	%		0.76	%
Securities:
Taxable		3.83	%		4.18	%		4.50	%		4.90	%		5.12	%
Tax-exempt		5.16	%		5.03	%		5.69	%		6.64	%		6.43	%
Total securities		3.87	%		4.21	%		4.54	%		4.96	%		5.17	%
Total loans		4.70	%		4.67	%		4.64	%		4.56	%		5.27	%
Less Allowance for loan losses		-			-			-			-			-
Total loans, net		4.82	%		4.78	%		4.74	%		4.65	%		5.35	%
Total tax-equivalent yield on earning assets		4.42	%		4.54	%		4.65	%		4.75	%		5.28	%
COST OF INTEREST-BEARING LIABILITIES
Interest-bearing deposits:
Interest-bearing transaction		0.57	%		0.65	%		0.78	%		0.95	%		1.51	%
Savings		0.47	%		0.48	%		0.25	%		0.28	%		0.37	%
Time		1.95	%		2.20	%		2.48	%		2.83	%		3.28	%
Total interest-bearing deposits		1.03	%		1.23	%		1.49	%		1.76	%		2.29	%
Funds purchased and repurchase agreements		0.30	%		0.32	%		0.35	%		0.45	%		0.94	%
Other borrowings		0.29	%		0.38	%		0.49	%		0.58	%		1.51	%
Subordinated debt		5.52	%		5.53	%		5.67	%		5.67	%		5.48	%
Total cost of interest-bearing liabilities		0.94	%		1.09	%		1.31	%		1.50	%		2.02	%
Tax-equivalent net interest revenue spread		3.48	%		3.45	%		3.34	%		3.25	%		3.26	%
Effect of noninterest-bearing funding sources and other		0.16	%		0.18	%		0.21	%		0.22	%		0.31	%
Tax-equivalent net interest margin		3.64	%		3.63	%		3.55	%		3.47	%		3.57	%

CREDIT QUALITY INDICATORS
BOK FINANCIAL CORPORATION
(In thousands, except ratios)		Quarter Ended
		December 31,				September 30,				June 30,				March 31,				December 31,
			2009				2009				2009				2009				2008
Nonperforming assets:
Nonaccruing loans (B):
Commercial		$	101,384			$	128,266			$	126,510			$	128,501			$	134,846
Commercial real estate			204,924				212,418				189,586				175,487				137,279
Residential mortgage			29,989				38,220				35,860				34,182				27,387
Consumer			3,058				3,897				1,037				1,065				561
Total nonaccruing loans		$	339,355			$	382,801			$	352,993			$	339,235			$	300,073
Renegotiated loans (A)			15,906				17,426				17,479				13,623				13,039
Real estate and other repossessed assets			129,034				89,507				75,243				61,383				29,179
Total nonperforming assets		$	484,295			$	489,734			$	445,715			$	414,241			$	342,291
Nonaccruing loans by principal market (B):
Oklahoma		$	83,176			$	112,610			$	108,490			$	105,536			$	108,367
Texas			66,892				65,911				51,582				55,225				42,934
New Mexico			26,693				35,541				29,640				18,046				16,016
Arkansas			13,820				5,911				3,888				4,078				3,263
Colorado			60,082				50,432				45,794				38,567				32,415
Arizona			84,559				108,161				106,076				111,772				80,994
Kansas			4,133				4,235				7,523				6,011				16,084
Total nonaccruing loans		$	339,355			$	382,801			$	352,993			$	339,235			$	300,073
			-				-				-				-				-
Nonaccruing loans by loan portfolio sector (B):
Commercial:
Energy		$	22,692			$	48,992			$	53,842			$	49,618			$	49,364
Manufacturing			15,765				17,429				16,975				18,248				7,343
Wholesale / retail			12,057				7,623				10,983				8,650				18,773
Agriculture			65				98				105				115				680
Services			30,926				30,094				24,713				30,226				36,873
Healthcare			13,103				13,758				14,222				14,288				12,118
Other			6,776				10,272				5,670				7,356				9,695
Total commercial			101,384				128,266				126,510				128,501				134,846
Commercial real estate:
Land development and construction			109,779				113,868				97,425				99,922				76,082
Retail			26,236				22,254				17,474				9,893				15,625
Office			25,861				31,406				27,685				23,305				7,637
Multifamily			26,540				28,223				27,827				27,198				24,950
Industrial			279				527				527				575				6,287
Other commercial real estate			16,229				16,140				18,648				14,594				6,698
Total commercial real estate			204,924				212,418				189,586				175,487				137,279
Residential mortgage:
Permanent mortgage			28,314				36,431				34,149				32,848				26,233
Home equity			1,675				1,789				1,711				1,334				1,154
Total residential mortgage			29,989				38,220				35,860				34,182				27,387
Consumer			3,058				3,897				1,037				1,065				561
Total nonaccruing loans		$	339,355			$	382,801			$	352,993			$	339,235			$	300,073
			-				-				-				-				-
Performing loans 90 days past due		$	10,308			$	24,238			$	32,479			$	46,123			$	19,123
Gross charge-offs		$	37,974			$	38,581			$	37,409			$	34,535			$	35,681
Recoveries			2,950				2,594				2,472				2,664				2,022
Net charge-offs		$	35,024			$	35,987			$	34,937			$	31,871			$	33,659
Provision for credit losses		$	48,620			$	55,120			$	47,120			$	45,040			$	73,001
Reserve for loan losses to period end loans			2.59	%			2.42	%			2.18	%			1.99	%			1.81	%
Combined reserves for credit losses to period end loans			2.72	%			2.52	%			2.27	%			2.07	%			1.93	%
Nonperforming assets to period end loans and repossessed assets			4.24	%			4.19	%			3.67	%			3.26	%			2.65	%
Net charge-offs (annualized) to average loans			1.22	%			1.21	%			1.13	%			1.00	%			1.05	%
Reserve for loan losses to nonaccruing loans			86.07	%			73.38	%			74.59	%			73.99	%			77.73	%
Combined reserves for credit losses to nonaccruing loans			90.31	%			76.51	%			77.55	%			77.11	%			82.78	%
(A) includes residential mortgage loans guaranteed by agencies of the U.S. government. These loans have been modified to extend payment terms and/or reduce interest rates to current market.		$	12,799			$	11,234			$	11,079			$	10,514			$	10,396
(B) includes loans subject to First United Bank sellers escrow		$	4,311			$	4,173			$	8,305			$	11,287			$	13,181