Full text of Warrant Disposition Report : Warrant Disposition Report As of December 31, 2012

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UNITED STATES DEPARTMENT OF THE TREASURY

OFFICE OF FINANCIAL STABILITY

Warrant Disposition Report
Update December 31, 2012

Troubled Asset Relief Program
Office of Financial Stability

The United States Department of the Treasury (Treasury) is pleased to present this supplement to the Warrant
Disposition Report dated December 31, 2010, with information about the 25 warrant repurchases that
Treasury’s Office of Financial Stability (OFS) conducted under the Troubled Asset Relief Program (TARP) in
the six months ending December 31, 2012.1

Executive	Summary		
The Emergency Economic Stabilization Act of 2008 (EESA) requires that in most circumstances Treasury
receive warrants in connection with the purchase of troubled assets.
Using the authority granted by EESA, Treasury invested in more than 700 banks of all sizes. A total of $245
billion was invested across five distinct banking programs, two of which are the Capital Purchase Program
(CPP) and the Targeted Investment Program (TIP). As of December 31, 2012, Treasury has recovered $268
billion from TARP’s bank programs through repayments, dividends, interest, and other income.
Treasury’s warrant sales provide additional returns beyond dividend payments from Treasury’s preferred stock
investments. Treasury’s successful warrant dispositions have significantly benefited taxpayers. During the six
months ending December 31, 2012, Treasury received approximately $38.9 million in gross proceeds from the
disposition of 23 warrant positions through repurchases.2
Since the program’s inception, Treasury has received more than $9.2 billion in gross proceeds from the
disposition of warrants associated with 161 CPP investments and two TIP investments,3  consisting of (i) $3.8
billion from issuer repurchases at agreed upon fair market values and (ii) $5.4 billion from auctions. For the
161 fully repaid CPP investments representing $230.1 billion in capital, Treasury has received an absolute
return of 9.0 percent from dividends and capital appreciation on Citigroup common stock and an added 4.1
percent return from the sale of the warrants for a total absolute return of 13.0 percent.4 For the $40 billion TIP
investments in Bank of America Corporation and Citigroup, Treasury received an absolute return of 7.5 percent
from dividends and an added 3.7 percent return from the sale of the warrants for a total absolute return of 11.3
percent.5

                                                            
1) TARP’s Warrant Disposition Report can be located on the OFS website in the Reports section.
2) These numbers exclude repurchases of preferred shares acquired by Treasury pursuant to the exercise of warrants issued by private
institutions, which warrants were immediately exercised by Treasury at the time of the original investment. In the six months ending
December 31, 2012, 14 private banks repurchased their warrant preferred shares and an additional 53 private banks had the
outstanding warrant preferred shares sold at auction. Since the program inception, 162 private banks have repurchased their warrant
preferred shares and an additional 153 private banks have had the warrant preferred shares sold at auction. See table on page 24.
3) For the purposes of this report, warrants in Citigroup acquired in connection with the Asset Guarantee Program (AGP) are
incorporated with the Citigroup TIP warrants.
4) Returns are not annualized.
5) AGP dividends are not included in return calculations.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

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Repurchases
When an institution exits TARP, either by repaying its investment or participating in an auction of its preferred
stock investment, a financial institution may repurchase its warrants at an agreed upon fair market value. In all
cases, Treasury follows a consistent evaluation process to ensure that taxpayers receive fair market values for
the warrants. In the six months ending December 31, 2012, Treasury received $38.89 million from 23 banks
through warrant repurchases at agreed upon fair market values.

Auctions
If an institution decides not to repurchase its warrants, Treasury will dispose of the warrants as soon as
practicable. Treasury has successfully disposed of warrants at fair market values through public and private
auctions.
In the 26 public warrant auctions held to date, investor demand above Treasury’s minimum price has exceeded
the supply of warrant shares by an average of 6.9 times with oversubscription rates ranging from 2.0 to 18.3
times. These publicly auctioned warrants are actively traded on national exchanges, providing a liquid
secondary market and observable market pricing for long-dated warrants.
Treasury also sells warrants through a private placement auction when the expected proceeds of the warrant sale
do not justify the fixed cost, both to the issuing institution and the Treasury, of a registered transaction or when
the warrant position does not meet certain requirements for listing on the relevant exchange.
Each private sale of warrants uses an auction to establish a clearing price for each warrant position by allowing
qualified bidders to submit bids at or above a minimum price specified for each warrant position. Each warrant
position is sold to a single winning bidder. Treasury executed the first and, thus far, only tranche of private
placement auctions for 17 warrant positions on November 17, 2011, generating gross proceeds of $12.7 million.
Treasury expects to conduct similar auctions in the future for other warrant positions it holds in financial
institutions that have repaid the CPP.

Remaining Positions
As of December 31, 2012, Treasury held warrants to purchase common stock in 34 financial institutions that
have fully repaid their CPP investments and in 69 publicly traded companies in which the CPP investment is
still outstanding. Treasury intends to continue to execute a consistent and transparent disposition process which
achieves fair market values and protects taxpayer interests.

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2

Summary	of	Gross	Proceeds	from	Sale	of	Public	Warrants	since	
June	30,	2012	

	
The table below sets forth proceeds from 23 warrant repurchases completed during the six months ending
December 31, 2012.

Institution Name

Ticker

Preferred Amount
Preferred
Redeemed / Received
Redemption
through Auction
Date
($ Thousands)

Warrant
Repurchase
Date

Gross Warrant
QEO?
Proceeds
(i.e. warrants
($ Thousands) cut by 50%)

REPURCHASES
Mercantile Bank Corporation

MBWM

6/6/2012

$21,000

7/3/2012

$7,465

United Bancorp, Inc.*

UBMI

6/19/2012

16,750

7/18/2012

38

Taylor Capital Group, Inc.*

TAYC

6/19/2012

92,254

7/18/2012

9,839

Farmers Capital Bank Corporation*

FFKT

6/19/2012

21,864

7/18/2012

75

Pinnacle Financial Partners, Inc.

PNFP

6/20/2012

95,000

7/18/2012

755

LNB Bancorp Inc.*

LNBB

6/19/2012

21,594

7/18/2012

860

Firstbank Corporation*

FBMI

7/3/2012

30,588

7/18/2012

1,947

Southern First Bancshares, Inc.*

SFST

7/3/2012

15,404

7/25/2012

1,100

VIST Financial Corporation

VIST

8/1/2012

25,000

8/1/2012

1,190

Peoples Bancorp of North Carolina, Inc.*

PEBK

7/3/2012

23,034

8/8/2012

425

Pulaski Financial Corp*

PULB

7/3/2012

28,460

8/8/2012

1,100

BBCN Bancorp, Inc./Nara Bancorp

BBCN

6/27/2012

67,000

8/8/2012

2,189

Ameris Bancorp*

ABCB

6/19/2012

47,665

8/22/2012

2,670

First Citizens Banc Corp.*

FCZA

7/3/2012

20,690

9/5/2012

563

WSFS Financial Corporation*

WSFS

4/3/2012

47,435

9/12/2012

1,800

Indiana Community Bancorp

INCB

9/12/2012

21,500

9/12/2012

1,800

BNC Bancorp*

BNCN

8/29/2012

28,366

9/19/2012

940

Yes

Yes

*CPP preferred auction participant

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Institution Name

Ticker

Preferred Amount
Preferred
Redeemed / Received
Redemption
through Auction
Date
($ Thousands)

Warrant
Repurchase
Date

Gross Warrant
QEO?
Proceeds
(i.e. warrants
($ Thousands) cut by 50%)

REPURCHASES
Sterling Financial Corporation

STSA

8/20/2012

113,338

9/19/2012

825

First Community Corporation*

FCCO

8/29/2012

10,988

11/1/2012

298

PrivateBancorp, Inc.

PVTB

10/24/2012

243,815

11/14/2012

1,225

Pacific Capital Bancorp

PCBC

11/30/2012

165,983

11/30/2012

393

Mackinac Financial Corporation*

MFNC

8/29/2012

10,381

12/19/2012

1,300

Northeast Bancorp

NBN

11/28/2012

4,227

12/28/2012

95

TOTAL

23

$1,172,336

$38,892

Yes

3

*CPP preferred auction participant

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

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Background	

	
As required by EESA, Treasury received warrants from TARP banks to provide taxpayers with an additional
potential return on the government’s investment.6
For each CPP and TIP investment in a publicly traded company, Treasury received warrants to purchase, at a
fixed exercise price, shares of common stock equal to 15 percent of the aggregate liquidation preference of the
senior preferred investment.7 The per share exercise price was set at the 20-trading day trailing average of the
bank’s common stock price as of the time it was given preliminary approval for the TARP investment. The
warrants may be exercised at any time over a ten year period. These public warrants include certain customary
anti-dilution provisions for Treasury’s protection.
For CPP investments in a privately-held company, an S-corporation, or certain mutual institutions, Treasury
received warrants to purchase, at a nominal cost, additional preferred stock (warrant preferreds) or subordinated
debentures (warrant sub debt) equivalent to five percent of the aggregate liquidation preference of the primary
CPP investment. These warrant preferreds and warrant sub debt securities pay a higher dividend or interest rate
than the primary CPP investment. Treasury exercised these kinds of warrants at the closings of the investments.
Institutions may repay Treasury for its CPP investment under the conditions established in the CPP purchase
agreements as amended by the American Recovery and Reinvestment Act of 2009 (ARRA). The repayment
price is equal to what Treasury invested, plus any unpaid dividends or interest. Originally, the CPP contracts
provided that an institution could not redeem the investment within the first three years except with the
proceeds of a “qualified equity offering” (QEO), which is an offering of securities that would qualify as Tier 1
capital. The repayment terms of the contracts were later effectively amended by the ARRA, which provides
that an institution can repay from any source of funds and without regard to any waiting period. For TIP
investments, an institution was required to first redeem its CPP investment before being able to redeem the TIP
preferred stock.8
In addition, in order to encourage institutions to seek additional private capital, the CPP contracts provided that
participants could halve the number of shares subject to their warrants by completing one or more QEOs before
                                                            
6) EESA provides that the Secretary may establish a “de minimis” exception to the requirement to issue warrants in the case of an
institution that receives less than $100 million in TARP funds. Treasury has exercised that authority by not requiring warrants in the
case of investments in Community Development Financial Institutions in order to encourage their participation in CPP.
7) For the AGP, Treasury received warrants in Citigroup to purchase, at a fixed exercise price, shares of common stock equal to 10
percent of the aggregate liquidation preference of the senior preferred stock received by Treasury as part of Citigroup’s participation
in the program.
8) Bank of America redeemed both its CPP and TIP investments? (missing a word here) at the same time on December 9, 2009. With
regards to Citigroup, I) on December 23, 2009, Citigroup redeemed the TIP trust preferred securities that Treasury had received in
exchange for the original TIP preferred stock in Citigroup, II) on September 30, 2010, Treasury sold the AGP trust preferred securities
in Citigroup that Treasury had received in exchange for the original AGP preferred stock, and III) on December 6, 2010, Treasury
completed the sale of its CPP investment in Citigroup which had been exchanged into common stock.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

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December 31, 2009, with aggregate gross proceeds equivalent to the value of Treasury’s CPP investment.
Thirty-eight CPP participants completed a QEO in time to reduce their warrants.
The CPP and TIP contracts further provide that once the preferred investment is redeemed or sold by Treasury,
the institution has a right to repurchase its warrants at the fair market value. In addition, Treasury has the
contractual right to sell the warrants.
The ARRA affected Treasury’s authority to dispose of warrants, as it provided that when an institution repaid,
“the Secretary shall liquidate warrants [of such institution]… at the current market price.” The ARRA was
subsequently amended in May 2009 through the Helping Families Save Their Homes Act of 2009 (HFSTHA),
which provides that the Secretary “may liquidate the warrants” following repayment.

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Warrant	Disposition	Process	

	
Upon redemption of the preferred stock issued to Treasury, an institution has a contractual right to repurchase
its warrants at the fair market value.9 The banks have 15 days from repayment of the preferred to submit a bid,
and Treasury then has 10 days to respond. In June 2009, Treasury announced that, in the event that an issuer
does not repurchase its warrants, Treasury would sell the warrants to third parties “as quickly as practicable”
and, when possible, by public auction.

Issuer Repurchases
If a company wishes to repurchase its warrants, the issuer and Treasury must agree on the warrants’ fair market
value. Accordingly, Treasury has established a methodology for evaluating a bank’s determination of fair
market value. As described below, Treasury’s evaluation of an issuer’s bid is based on three categories of
input: (i) market quotes, (ii) independent, third party valuations, and (iii) model valuations.
If the issuer and Treasury fail to agree on a price, an appraisal procedure may be invoked by either party within
30 days following Treasury’s response to the issuer’s first bid. In the appraisal process, each party selects an
independent appraiser. These independent appraisers conduct their own valuations and attempt to agree upon
the fair market value. If they agree on a fair market value, that valuation becomes the basis for repurchase. If
these appraisers fail to agree, a third appraiser is hired, and subject to some limitations, a composite valuation of
the three appraisals is used to establish the fair market value. To date, no institution has formally invoked the
appraisal procedure.
Even if an agreement is not reached within the specified timeframe, a bank that has repaid its preferred stock
may bid to repurchase its warrants at any time, and Treasury will determine whether to accept the bid.

Sale to Third Party
Treasury retains the right to sell the warrants to a third party at a mutually agreed upon price. Following
repayment of the preferred stock, if a bank notifies Treasury that it does not intend to repurchase its warrants or
cannot agree with Treasury on the fair market value, Treasury intends to dispose of the warrants, when possible,
through public auctions.
Treasury held the first warrant auctions in December 2009 and has held 26 public auctions to date. These
public auctions were conducted as modified “Dutch” auctions which were registered under the Securities Act of
                                                            
9) Privately-held companies, S-corporations, and certain mutual institutions typically redeem their warrant preferreds or subordinated
debentures at par when redeeming the primary CPP investment. (See Appendix I for a table of warrant preferred repurchases as of
June 30, 2012.)

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1933. Only one bank’s warrants were sold in each public auction. In this format, bidders were able to submit
one or more independent bids at different price-quantity combinations and the warrants were sold at a uniform
price that cleared the auction.
Treasury executed the first and, thus far, only tranche of private placement auctions for 17 warrant positions on
November 17, 2011. Each private offering of warrants uses an auction to establish a clearing price for each
warrant position by allowing qualified bidders to submit bids at or above a minimum price specified for each
warrant position. Each warrant position is sold to a single winning bidder.

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Treasury’s	Evaluation	of	Issuer	Bids	

	
Treasury adheres to a consistent process for evaluating bids from institutions to repurchase their warrants.
Upon receiving a bid for a warrant repurchase, Treasury utilizes (i) market quotes, (ii) independent, third party
valuations, and (iii) model valuations to assess the bid.

(i) Market Quotes
There is little comparable market data for long-dated options. In order to perform its valuation analysis,
Treasury seeks indications of value from various market participants active in the options markets. The range
of estimated valuations is included in Treasury’s analysis along with the average of the market indications
collected. Treasury also utilizes the market information from the trading of auctioned TARP warrants as
another indication how of the market values long-dated warrants.

(ii) Third Party Valuations
Treasury engages outside consultants or external asset managers to provide independent, third party valuations
for the warrants. The third party provides Treasury with an estimated valuation along with a range of potential
values given a reasonable variance in the assumptions underlying their models.

(iii) Model Valuations
Treasury uses a number of financial models to estimate warrant valuations. Primarily, Treasury uses a binomial
option model adjusted for American style options, which is a well-accepted method for valuing options by both
academics and market participants. Valuation estimates generated from the binomial model are presented in the
Treasury’s analysis along with a range of potential values given a reasonable variance in key model inputs, such
as assumptions about the expected future volatility and dividend yield of the underlying stock. Treasury’s
internal valuation modeling was reviewed by Dr. Robert Jarrow, an options expert and professor at Cornell
University, who concluded that “the Treasury’s modeling methodology for valuing the warrants is consistent
with industry best practice and the highest academic standards.” More information on Treasury’s internal
valuation modeling and the report written by Dr. Jarrow can be found on the OFS website.10
Treasury and its external asset managers use the 20-trading day trailing average stock price of a company in
their valuations to minimize the effects of day-to-day market fluctuations. Market participants who provide
Treasury with market indications utilize the stock price at the time that they provide the valuation. If the
discussions with an institution continue over an extended period of time, Treasury and its external asset
                                                            
10) http://www.treasury.gov/initiatives/financial-stability/TARP-Programs/bank-investment-programs/cap/Pages/documents.aspx

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

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managers will update their estimates as necessary. Treasury may also collect new market quotes or adjust the
market quotes based on changes in market conditions from when the quotes were collected. (See Appendix I
for information on the timing of issuers’ bids.)

Determination by Warrant Committee
Based on the range of estimated warrant values provided by these sources, a committee of Treasury officials
within OFS, who comprise the Warrant Committee, makes a recommendation to the Assistant Secretary for
Financial Stability as to whether to agree with the bank’s determination of fair market value. Each member of
the Warrant Committee and the Assistant Secretary weigh the three valuation metrics as they deem appropriate.
Additional factors presented to the Warrant Committee, along with the three valuation metrics discussed above
include:


how quickly Treasury would have to monetize the warrants if the issuer does not repurchase based on
legislation in place at the time as discussed in the “Background” section of this report,



the expertise and experience of the outside consultant providing the third party valuation,



the quality and number of market indications received,



any significant movements in the stock price of the issuer since market indications were collected,



deviations of the current stock price from the 20-trading day trailing average of the company’s stock
price,



the size of the warrant position and potential investor interest in the warrants,



the liquidity of the underlying common stock, and



fixed transaction costs associated with selling the warrants to a third party.

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Repurchases	of	Warrants	

	
Treasury began selling warrants back to banks that had repaid the TARP investment in May 2009. In aggregate,
as of December 31, 2012, Treasury had realized $3.8 billion in gross proceeds from 121 warrant repurchases.
This compares favorably to initial bids of $2.4 billion and estimates of aggregate value of $3.0 billion based on
market indications, $3.6 billion based on third party estimates, and $3.4 billion based on Treasury’s internal
financial model. Warrants repurchased by the issuer have yielded an extra absolute return of 4.1 percent on
Treasury’s investment.

	

When selling warrants back to the issuer, Treasury has achieved fair market values and protected the taxpayer.
Dr. Jarrow noted that “[Treasury’s] valuation process results in a warrant valuation that is fair to both the
participating banks and the U.S. taxpayers.” Further, the Special Inspector General for the Troubled Asset
Relief Program (SIGTARP) audit released on May 15, 2010, titled Assessing Treasury’s Process to Sell
Warrants Received from TARP Recipients concluded that Treasury successfully negotiated prices from
institutions that wished to repurchase their warrants that were at or above Treasury’s estimated range of fair
market value for such warrants.11 The report also described the valuation methodology to estimate fair market
value and offered no suggestions for modifying that methodology.12

                                                            
11) SIGTARP report, Assessing Treasury’s Process to Sell Warrants Received from TARP Recipients, dated May 15, 2010.
12) SIGTARP offered some suggestions regarding documentation of the negotiation process, and regarding insuring consistency in the
information provided to issuers seeking to repurchase their warrants. Treasury reviewed these suggestions carefully and has made
appropriate changes to its procedures for recording Warrant Committee meeting minutes and conversations with banks regarding the
repurchases of their warrants.

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Auctions	of	Warrants	

	
Following repayment of its preferred stock, if a bank notifies Treasury that it does not intend to repurchase its
warrants or cannot agree with Treasury on the fair market value, Treasury disposes of the warrants, when
possible, through public auctions. Since December 2009, Treasury has publicly auctioned 26 warrant positions
in 23 financial institutions, generating aggregate proceeds of approximately $5.4 billion.13 Demand in the
public warrant auctions has exceeded the number of warrant shares being auctioned by an average of 5.4 times
with an oversubscription range of 2.0 to 18.3 times. Warrants sold through public auctions have yielded an
extra absolute return of 3.99 percent on Treasury’s investment.
The auctions have also provided valuable insights into how the market values long-dated warrants, as scores of
different bidders have placed hundreds of unique bids in each auction. The auctions have resulted in estimated
placements of approximately 46 percent to fundamental institutional investors, 25 percent to convertiblefocused investors, 19 percent to derivative-focused investors, and 10 percent to individual investors.14
Typically, many of the fundamental institutional investors who buy warrants in any given auction are also
holders of the bank's common stock.
Active secondary trading in the warrants has further validated the auction prices and provides ongoing
observable market prices for long-dated warrants. Each of the warrants sold through public auction has been
listed on the New York Stock Exchange or the NASDAQ. Trading volumes tend to be very high during the
first few days following an auction and then to fall into a lower range. Excluding the first five trading days after
each auction, the daily trading volume of the warrants has averaged 0.38 percent of the outstanding securities.
Across the 26 TARP warrant positions currently outstanding with public investors, approximately three million
warrants change hands on a typical trading day.
In a Treasury report titled Treasury Analysis of Warrant Auction Results, the OFS and the Office of Economic
Policy also examined three CPP warrant auctions and one TIP warrant auction, each of which generated
proceeds in excess of $100 million.15 This report concluded that no single bidder had a large impact on the final
clearing price in these four auctions. Further, the report showed that increasing the amount of smaller bidders
participating in the auctions would not have had a material impact on the final clearing price. These two results
suggest that the auctions were robust and achieved a fair market value.
Treasury has successfully disposed of warrants through the auction process. Clearing prices have been set
through robust competition between a large number of bidders, and fair market value has been achieved for
taxpayers. Additionally, an active and liquid secondary market for the warrants has been established, providing
greater confidence in the market value of the total Treasury warrant portfolio and thereby supporting future
auctions.
                                                            
13) Treasury held two separate auctions for different Bank of America Corporation CPP and TIP warrants. See footnote 5.
14) The estimated placements to different investor types are calculated excluding any allocations to the issuing institution.
15) http://www.treasury.gov/resource-center/economic-policy/Pages/default.aspx

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Modified	“Dutch”	Auctions	
 

For the public warrant auctions completed
to date, Treasury has utilized modified
“Dutch” auctions to dispose of the warrants.
The public auctions were registered under
the Securities Act of 1933. Only one bank’s
warrants were sold in each such auction.
With advice from its external asset
managers and the auction agent, Treasury
publicly disclosed a minimum bid for each
auction. Bidders were able to submit one or
more independent bids at different pricequantity combinations at or above the set
minimum price. The auction agent did not
provide bidders with any information about
the bids of other bidders or auction trends,
or with advice regarding bidding strategies,
in connection with the auction. The issuers
of the warrants were able to bid for their
warrants in the auctions.
Bids were
accepted by the auction agent from 8:00
a.m. to 6:30 p.m. on the day of the auction.
The warrants were sold to all winning bids
at the uniform price that cleared the auction.
Deutsche Bank Securities Inc. has been
Treasury’s auction agent each public
auction to date. Deutsche Bank receives
fees equal to approximately 1.3 percent of
the gross proceeds ($72.7 million) which is
significantly below typical secondary equity
offering fees that run around 3.5 percent to
4.5 percent depending on the size of the
offering.
For illustrative purposes only, Figures 1 and
2 are example charts of the demand in a
theoretical auction of an 8 million share
position with a minimum price of $3.00 per
share and a clearing price of $5.75 per
share.
 

 

Figure 1: Illustrative Cumulative Auction Demand by Price
Millions

 

Example of Cumulative Demand by Price

30

25

20

15

10
Example Auction Clearing Price $5.75

5

0
$3.00 $3.25 $3.50 $3.75 $4.00 $4.25 $4.50 $4.75 $5.00 $5.25 $5.50 $5.75 $6.00 $6.25 $6.50 $6.75 $7.00 $7.25 $7.50 $7.75 $8.00

Figure 2: Illustrative Auction Demand by Price
Millions
3.5

Example of Demand by Price

3.0

2.5
Example Auction Clearing Price $5.75
2.0

1.5

1.0

0.5

0.0
$3.00$3.25$3.50$3.75$4.00$4.25$4.50$4.75$5.00$5.25$5.50$5.75$6.00$6.25$6.50$6.75$7.00$7.25$7.50$7.75$8.00

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

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Private	Placement	Auctions	of	Warrants	

	
Warrants are also sold through private placement auctions when the expected proceeds of the warrant sale do
not justify the fixed cost, both to the issuing institution and the Treasury, of a registered transaction or when the
warrant position does not meet certain requirements for listing on the relevant exchange.
These sales are executed using an auction to establish a clearing price for each warrant position by allowing
appropriately qualified bidders to submit bids at or above a minimum price specified for each warrant position.
Each warrant position is sold to a single winning bidder.
Treasury executed the first and, thus far, only tranche of private placement auctions for 17 warrant positions on
November 17, 2011, generating gross proceeds of $12.7 million. Treasury expects to conduct similar auctions
in the future for other warrant positions it holds in financial institutions that have repaid the CPP.

	

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

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Appendix I – Detailed Tables of
Warrant Repurchases and Auctions	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

15

 
HFFC
STT
USB

First Niagra Financial Group

HF Financial Corp.

State Street Corporation

U.S. Bancorp

UBSH

Union Bankshares Corporation

SIVB

First Litchfield Financial Corporation

SVB Financial Group

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
4/21/2010
2/24/2010

18,751

FITB
NPBC

First Horizon National Corporation

Fifth Third Bancorp

National Penn Bancshares, Inc.

STL
HBHC
HOMB

Sterling Bancorp

Whitney Holding Corporation/Hancock

Home Bancshares, Inc.

FISI

FHN

1st Source Corporation

Financial Institutions, Inc.

SRCE

Washington Banking Company

BBNK

WBCO

Sandy Spring Bancorp, Inc.

KEY

SASR

East West Bancorp, Inc.

KeyCorp

EWBC

Susquehanna Bancshares, Inc.

Bridge Capital Holdings

HBAN
SUSQ

Huntington Bancshares Incorporated

CJBK
FPTB

Fulton Financial Corporation

Central Jersey Bancorp

The Bancorp, Inc.

First PacTrust Bancorp Inc.

TBBK

Columbia Banking System

4/27/2011
4/29/2011
7/6/2011

50,000

3/30/2011

37,515
42,000

3/30/2011

300,000

2/23/2011

12/22/2010

866,540

25,000

12/29/2010

111,000

23,864

1/12/2011

26,380

2/2/2011

12/15/2010

83,094

3/16/2011

12/29/2010

306,546

150,000

12/29/2010

300,000

3,408,000

12/15/2010
12/22/2010

19,300
1,398,071

11/24/2010

12/23/2009

235,000
1,224,558

11,300

4/7/2010

10,000

7/14/2010

3/3/2010

400,000

376,500

2/17/2010

214,181

FULT

12/23/2009

14,700

3/10/2010

12/30/2009

38,263

45,220

12/3/2009

8/4/2010

10/28/2009

70,000
215,000

8/11/2010

9/2/2009
11/18/2009

59,000

11/18/2009

75,000

15,000

9/2/2009
11/4/2009

9/30/2009

27,875
130,000
11/24/2009

9/16/2009

1,700

22,000

8/5/2009

75,000

6/17/2009
7/15/2009

6/17/2009

10,000,000
7,000

6/17/2009

3,000,000

30,000

6/17/2009

3,388,890

1,576,000

6/17/2009
6/17/2009

3,133,640
10,000,000

76,898

CZNC
COLB

Citizens & Northern Corporation

* CPP preferred auction participant

5/27/2009

184,011

6/17/2009

5/20/2009

7,414

6,599,000

5/27/2009

40,000

6/3/2009

5/20/2009

64,779

6/17/2009

5/13/2009

26,918

25,000

4/22/2009

78,158

2,000,000

4/8/2009
4/22/2009

89,310
125,000

3/31/2009
3/31/2009

90,000

Redemption
Date

$100,000

CPP Preferred
Redemption
($ Thousands)

26,400

DFS

FLFL

City National Corporation

BHB

CYN

Umpqua Holdings Corp.

Bar Harbor Bankshares

UMPQ

Monarch Financial Holdings, Inc.

Discover Financial Services

OCFC
MNRK

OceanFirst Financial Corp.

FFIC

WSBC

Wesbanco, Inc.

TRMK

LSBX

LSB Corporation

Trustmark Corporation

WAIN

Flushing Financial Corporation

OZRK

Manhattan Bancorp

Wainwright Bank and Trust

MNHN

Bancorp Rhode Island, Inc.

Bank of the Ozarks, Inc.

BARI

Old Line Bancshares

CSFL

OLBK

Northern Trust Corporation

CVBF

NTRS

Morgan Stanley

CVB Financial Corp.

MS

Bank of New York Mellon

CenterState Banks, Inc.

AXP
BK

American Express Company

BBT

FNFG

Somerset Hills Bancorp

GS

SOMH

Berkshire Hills Bancorp

Goldman Sachs Group, Inc.

BHLB

SCBT Financial Corporation

BB&T Corporation

ALNC
SCBT

Alliance Financial Corporation

FMER
INDB

SNBC

Sun Bancorp

Independent Bank Corp

IBERIABANK Corporation

FirstMerit Corp

ONB
IBKC

Old National Bancorp

Ticker

Company

697

6,000

946

1,418

63,000

1,150

486

273,919

51,948

3,250

1,370

3,077

12,000

4,482

49,100

291

320

8,000

3,546

3,302

400

67

165,000

3,800

1,488

11,900

2,055

209

431

8,167

597

400

825

500

569

2,161

1,002

168

63

857

175

37,000

500,000

79,000

230,000

600,000

20,854

115,000

60,000

465

1,500

193

875

694

320

880

3,186

1,049

620

$559

Bid #1

1,300

6,900

1,853

70,000

1,395

765

280,026

79,700

3,750

1,575

3,430

14,500

5,269

1,003

9,500

4,852

175

180,000

6,200

17,500

3,610

250

9,200

700

450

950

560

2,650

1,307

212

1,125

205

75,000

800,000

118,000

260,000

900,000

41,707

131,000

600

2,700

275

1,040

1,400

900

2,200

5,025

2,100

1,200

$1,200

Bid #2

2,080

882

280,026

3,750

1,625

3,750

10,800

4,754

225

172,000

6,820

18,500

4,250

260

9,600

860

950

1,400

225

87,000

900,000

130,000

340,000

1,100,000

64,925

139,000

650

1,000

4,200

250

4,500

10,000

900

950,000

136,000

67,010

Bid #4

Issuer Bids
Bid #3

4,450

Bid # 5 Bid # 6 Bid # 7

1,300

6,900

946

2,080

70,000

1,395

1,000

280,026

79,700

3,750

1,625

4,450

14,500

5,269

49,100

1,003

320

10,800

4,754

3,302

400

250

172,000

6,820

1,488

18,500

4,500

260

431

10,000

900

450

950

560

569

2,650

1,307

212

63

1,400

225

87,000

950,000

136,000

340,000

1,100,000

67,010

139,000

60,000

650

2,700

275

1,040

1,400

900

2,200

5,025

2,100

1,200

$1,200

Final Price
($ Thousands)

7/7/2011

4/26/2011

5/5/2011

4/8/2011

4/6/2011

3/30/2011

3/23/2011

2/16/2011

1/26/2011

1/20/2011

1/28/2011

12/29/2010

1/11/2011

12/29/2010

1/6/2011

12/17/2010

12/1/2010

8/6/2010

3/15/2010

8/19/2010

8/19/2010

3/10/2010

4/23/2010

2/18/2010

4/7/2010

3/17/2010

3/2/2010

1/6/2010

1/21/2010

12/23/2009

11/10/2009

11/24/2009

9/22/2009

12/4/2009

12/3/2009

11/5/2009

9/17/2009

10/9/2009

9/29/2009

8/19/2009

7/29/2009

6/18/2009

6/30/2009

6/30/2009

7/1/2009

6/17/2009

6/24/2009

6/18/2009

6/22/2009

6/9/2009

6/4/2009

6/4/2009

6/8/2009

6/3/2009

5/26/2009

5/2/2009

5/15/2009

4/21/2009

4/14/2009

4/15/2009

Bid #1

7/21/2011

5/13/2011

4/21/2011

4/18/2011

4/8/2011

4/5/2011

3/8/2011

3/4/2011

1/31/2011

2/8/2011

1/21/2011

1/21/2011

1/12/2011

12/30/2010

9/2/2010

3/29/2010

4/23/2010

5/4/2010

6/4/2010

4/5/2010

3/19/2010

1/22/2010

12/28/2009

12/14/2009

12/16/2009

10/20/2009

12/8/2009

11/18/2009

10/21/2009

10/20/2009

9/16/2009

8/19/2009

8/17/2009

8/3/2009

7/29/2009

7/20/2009

7/20/2009

7/8/2009

7/1/2009

6/29/2009

6/19/2009

6/17/2009

6/17/2009

6/16/2009

6/12/2009

5/21/2009

5/21/2009

5/19/2009

5/12/2009

5/6/2009

Bid #2

5/2/2011

4/6/2011

3/14/2011

3/2/2011

2/16/2011

2/2/2011

9/3/2010

9/2/2010

7/20/2010

6/29/2010

6/8/2010

4/6/2010

3/22/2010

2/1/2010

12/28/2009

12/23/2009

12/11/2009

9/21/2009

8/20/2009

8/19/2009

8/4/2009

7/30/2009

7/27/2009

7/21/2009

7/14/2009

7/8/2009

6/29/2009

4/8/2011

2/11/2011

7/22/2010

3/22/2010

12/29/2009

12/28/2009

8/5/2009

7/31/2009

7/14/2009

Bid #4

2/11/2011

Bid #5

Date of Issuer Bids
Bid #3

Bid #6

Bid #7

7/27/2011

6/3/2011

5/18/2011

5/11/2011

4/20/2011

4/20/2011

4/13/2011

3/16/2011

3/9/2011

3/9/2011

3/2/2011

2/23/2011

1/26/2011

1/19/2011

1/19/2011

1/5/2011

12/1/2010

9/8/2010

9/8/2010

9/1/2010

9/1/2010

7/28/2010

7/7/2010

6/16/2010

4/7/2010

4/7/2010

3/31/2010

2/10/2010

2/3/2010

12/30/2009

12/30/2009

12/23/2009

12/23/2009

12/16/2009

12/16/2009

11/24/2009

10/28/2009

10/28/2009

10/14/2009

9/30/2009

9/2/2009

8/26/2009

8/12/2009

8/5/2009

7/29/2009

7/22/2009

7/22/2009

7/15/2009

7/8/2009

6/30/2009

6/24/2009

6/24/2009

6/24/2009

6/24/2009

6/17/2009

5/27/2009

5/27/2009

5/27/2009

5/20/2009

5/8/2009

Warrant
Repurchase
Date

Issuer	Bids	Ordered	by	Repurchase	Date		

	

16

Ticker

 
CSBC
SHBI
QCRH
FNRN
EMCF
CNBC

Citizens South Banking Corporation

Shore Bancshares, Inc.

QCR Holdings, Inc.

First Northern Community Bancorp

Emclaire Financial Corp.

Center Bancorp, Inc.

Peapack-Gladstone Financial Corporation

8,500

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
VIST
PEBK
PULB
BBCN
ABCB
FCZA
WSFS
INCB
BNCN
STSA
FCCO
PVTB
PCBC
MFNC
NBN
121

Pulaski Financial Corp*

BBCN Bancorp, Inc./Nara Bancorp

Ameris Bancorp*

First Citizens Banc Corp.*

WSFS Financial Corporation*

Indiana Community Bancorp
BNC Bancorp*
Sterling Financial Corporation
First Community Corporation*
PrivateBancorp, Inc.
Pacific Capital Bancorp
Mackinac Financial Corporation*
Northeast Bancorp

* CPP preferred auction participant

TOTAL

SFST

Southern First Bancshares, Inc.*

PNFP

Pinnacle Financial Partners, Inc.

Peoples Bancorp of North Carolina, Inc.*

FFKT

Farmers Capital Bank Corporation*

VIST Financial Corporation

TAYC

LNBB

UBMI

United Bancorp, Inc.*

Taylor Capital Group, Inc.*

FBMI

MBWM

Mercantile Bank Corporation

Firstbank Corporation*

16,750

WIBC

Wilshire Bancorp*

LNB Bancorp Inc.*

21,000

SBCF

Seacoast Banking Corporation of Florida*

100,000

21,500
28,366
113,338
10,988
243,815
165,983
10,381
4,227
$57,057,629

47,435

20,690

47,665

67,000

28,460

23,034

25,000

15,404

30,588

21,594

95,000

21,864

92,254

57,767

40,405

196,000

PRK
MBFI

MB Financial, Inc.

3,500,000

5,448

28,685

59,000

10,000

39,000

6,771

10,200

193,000

10,000

7,500

17,390

38,237

25,000

20,500

8,816

21,000

17,000

10,000

9,000

19,468

10,000

81,698

32,382

16,500

7,000

13,500

58,000

11,750

9/12/2012
8/29/2012
8/20/2012
8/29/2012
10/24/2012
11/30/2012
8/29/2012
11/28/2012

4/3/2012

7/3/2012

6/19/2012

6/27/2012

7/3/2012

7/3/2012

8/1/2012

7/3/2012

7/3/2012

6/19/2012

6/20/2012

6/19/2012

6/19/2012

6/19/2012

6/6/2012

4/3/2012

4/3/2012

3/14/2012

4/25/2012

4/4/2012

4/20/2012

1/11/2012

2/8/2012

8/25/2011

12/28/2011

9/1/2011

12/14/2011

11/23/2011

9/15/2011

8/18/2011

9/15/2011

9/15/2011

4/15/2009

9/22/2011

8/25/2011

8/11/2011

9/26/2011

9/1/2011

8/11/2011

9/15/2011

8/25/2011

9/15/2011

8/25/2011

8/18/2011

8/18/2011

8/11/2011

8/18/2011

8/4/2011

8/4/2011

6/29/2011

7/14/2011

25,000
36,000

7/6/2011
12/22/2010

24,000

Redemption
Date

16,000

Park National Corporation

BHLB

PGC

Lakeland Bancorp Inc.

RF

LBAI

New Hampshire Thrift Bancshares, Inc.

Regions Financial Corp.

NHTB

Peoples Bancorp, Inc.

Connecticut Bank and Trust Company/Berkshire

PBHC
PEBO

Pathfinder Bancorp, Inc.

FMBI

SAL

Salisbury Bancorp, Inc.

FFFD

ASRV

AmeriServ Financial, Inc.

North Central Bancshares, Inc.

BOCH

Bank of Commerce Holdings

First Midwest Bancorp, Inc.

SSFN

CEBK

Heartland Financial USA, Inc.

Central Bancorp, Inc.

Stewardship Financial Corporation

HTLF

MutualFirst Financial, Inc.

CBIN

MFSF

Codorus Valley Bancorp, Inc.

CPBC

CVLY

Central Valley Community Bancorp

Community Partners Bancorp

CVCY

Oak Valley Bancorp

Community Bank Shares of Indiana, Inc.

GSBC
OVLY

Great Southern Bancorp

SSBI

WTBA
DNBF

West Bancorporation, Inc.

DNB Financial Corporation

HFWA
FCAL

Heritage Financial Corporation
First California Financial Group, Inc

Summit State Bank

MOFG

MidWestOne Financial Group, Inc

 

Company

CPP Preferred
Redemption
($ Thousands)

1,800
940
774
244
1,000
393
1,180
70
$2,431,209

1,160

563

2,250

1,736

610

282

1,190

1,100

1,947

860

755

50

8,197

38

5,100

665

40

541

2,842

32,000

793

40

2,044

553

475

454

397

900

143

51

230

550

254

144

113

392

96

107

200

1,101

2,100

1,800

313

527

185

408

4,500

373

270

356

599

286

800

Bid #1

1,300
95

825
260
1,225

1,250

2,670

1,903

990

425

75

9,839

7,280

760

55

1,300

39,000

70

2,800

737

950

538

500

200

300

850

25

225

202

659

125

375

2,200

563

507

6,436

458

303

559

372

950

Bid #2

270

1,410

2,690

2,189

1,100

7,465

1,518

45,000

75

1,201

600

222

375

1,100

202

708

385

2,300

900

560

6,436

315

700

390

1,000

Bid #3

278

1,800

2,670

95

245

205

812

415

2,400

450

Bid #4

Issuer Bids

285

110

825

460

2,525

291

298

Bid # 5 Bid # 6 Bid # 7

1,800
940
825
298
1,225
393
1,300
95
$3,781,900

1,800

563

2,670

2,189

1,100

425

1,190

1,100

1,947

860

755

75

9,839

38

7,465

760

55

1,518

2,842

45,000

793

110

2,800

737

1,201

538

600

900

245

51

375

1,100

25

225

205

825

125

107

460

1,101

2,525

1,800

900

527

185

560

6,436

458

315

700

599

450

1,000

Final Price
($ Thousands)

9/7/2012
9/6/2012
8/28/2012
9/17/2012
10/26/2012
11/28/2012
11/30/2012
11/29/2012

5/30/2012

8/16/2012

6/28/2012

7/2/2012

7/12/2012

7/12/2012

7/25/2012

7/11/2012

7/10/2012

6/27/2012

6/21/2012

6/25/2012

7/2/2012

6/29/2012

6/8/2012

5/16/2012

4/17/2012

3/22/2012

4/25/2012

4/10/2012

3/23/2012

1/26/2012

2/10/2012

1/12/2012

1/18/2012

12/1/2011

12/15/2011

12/6/2011

9/30/2011

11/16/2011

9/22/2011

9/28/2011

5/7/2009

10/5/2011

8/31/2011

9/12/2011

10/4/2011

10/11/2011

9/7/2011

10/4/2011

9/9/2011

9/16/2011

8/26/2011

8/31/2011

9/9/2011

8/22/2011

8/22/2011

8/16/2011

8/16/2011

7/12/2011

8/9/2011

1/4/2011

7/13/2011

Bid #1

12/11/2012

9/11/2012
9/27/2012
11/7/2012

6/18/2012

7/11/2012

7/17/2012

7/9/2012

7/11/2012

6/19/2012

6/11/2012

5/15/2012

4/17/2012

4/24/2012

2/9/2012

2/24/2012

2/9/2012

1/31/2012

1/27/2012

1/3/2012

11/2/2011

10/20/2011

10/20/2011

11/2/2011

11/2/2011

9/15/2011

9/29/2011

10/17/2011

9/26/2011

9/26/2011

9/7/2011

9/8/2011

9/8/2011

8/31/2011

8/31/2011

8/5/2011

1/18/2011

7/20/2011

Bid #2

10/2/2012

7/3/2012

7/13/2012

7/31/2012

6/26//2012

4/26/2012

4/25/2012

2/13/2012

2/3/2012

1/4/2012

11/14/2011

10/28/2011

11/8/2011

9/29/2011

10/20/2011

9/29/2011

9/29/2011

9/20/2011

9/20/2011

9/15/2011

9/8/2011

8/23/2011

6/24/2011

7/21/2011

Bid #3

10/5/2012

8/29/2012

8/15/2012

3/20/2012

11/22/2011

10/28/2011

10/25/2011

10/12/2011

10/6/2011

8/5/2011

Bid #4

10/12/2012

3/26/2012

10/27/2011

10/18/2011

10/12/2011

Bid #5

Date of Issuer Bids

10/18/2012

Bid #6

10/25/2012

Bid #7

9/12/2012
9/19/2012
9/19/2012
11/1/2012
11/14/2012
11/30/2012
12/19/2012
12/28/2012

9/12/2012

9/5/2012

8/22/2012

8/8/2012

8/8/2012

8/8/2012

8/1/2012

7/25/2012

7/18/2012

7/18/2012

7/18/2012

7/18/2012

7/18/2012

7/18/2012

7/3/2012

6/20/2012

5/30/2012

5/2/2012

5/2/2012

5/2/2012

4/20/2012

4/4/2012

2/29/2012

2/15/2012

2/15/2012

2/1/2012

1/11/2012

12/21/2011

12/7/2011

12/7/2011

11/16/2011

11/16/2011

11/16/2011

11/9/2011

11/2/2011

11/2/2011

10/26/2011

10/26/2011

10/26/2011

10/19/2011

10/19/2011

9/28/2011

9/28/2011

9/28/2011

9/28/2011

9/28/2011

9/21/2011

9/21/2011

9/14/2011

8/31/2011

8/24/2011

8/17/2011

7/27/2011

Warrant
Repurchase
Date

Issuer	Bids	Ordered	by	Repurchase	Date	(continued)	

	

17

CPP/TIP
Preferred
Redemption
Date
Ticker ($ Thousands)

 
26

TOTAL

	

Bid #2

$46,500
825,539
3,200
N/A
N/A
N/A
N/A
N/A
N/A
N/A
2,291
593,600 700,000
N/A
4,000
N/A
N/A
N/A
N/A
4,300
N/A
N/A
N/A
N/A
N/A
N/A

Bid #1

750,000

$5,446,788

$148,731
950,318
9,600
310,572
1,255,639
15,623
11,321
6,709
324,196
183,673
5,572
849,015
3,116
3,008
216,621
713,687
257,583
54,622
6,353
25,964
20,678
30,494
3,585
7,816
32,291

Auction
Proceeds
Bid #3 ($ Thousands)

* Auction proceeds from the sale of the original M&T Bank warrant. The warrant originally issued to Provident Bankshares Corp. remains outstanding.

$167,326,269

6/17/2009
6/17/2009
4/22/2009
12/9/2009
12/9/2009
5/27/2009
3/31/2009
5/13/2009
2/10/2010
3/17/2010
12/23/2009
12/23/2009
2/24/2010
5/5/2009
6/30/2010
3/31/2010
12/23/2009
12/6/2010
6/16/2010
12/22/2010
12/29/2010
3/30/2011
4/6/2011
9/26/2012
8/17/2012

Capital One Financial Corp.
JPMorgan Chase & Co.
TCF Financial Corporation
Bank of America Corporation (CPP)
Bank of America Corporation (TIP)
Washington Federal, Inc.
Signature Bank
Texas Capital Bancshares
PNC Financial Services Group, Inc.
Comerica Incorporated
Valley National Bancorp
Wells Fargo & Company
First Financial Bancorp
Sterling Bancshares, Inc.
Lincoln National Corporation
Hartford Financial Services Group, Inc.
Citigroup, Inc. (TIP/AGP)
Citigroup, Inc. (CPP)
Boston Private Financial Holdings, Inc.
Wintrust Financial Corporation
Webster Financial Corporation
SunTrust Banks, Inc. (A & B Warrants)
Associated Banc-Corp
Zions Bancorporation
M&T Bank Corporation*

$3,555,199
25,000,000
361,172
25,000,000
20,000,000
200,000
120,000
75,000
7,579,200
2,250,000
300,000
25,000,000
80,000
125,198
950,000
3,400,000
20,000,000
25,000,000
154,000
250,000
400,000
4,850,000
525,000
1,400,000
751,500

COF
JPM
TCB
BAC
BAC
WFSL
SBNY
TCBI
PNC
CMA
VLY
WFC
FFBC
SBIB
LNC
HIG
C
C
BPFH
WTFC
WBS
STI
ASBC
ZION
MTB

Company

Issuer Bids

Bid #2

Bid #3

6/30/2009
6/17/2009
5/5/2009
N/A
N/A
N/A
N/A
N/A
N/A
N/A
1/7/2010
1/7/2010 2/12/2010 2/22/2010
N/A
6/5/2009
N/A
N/A
N/A
N/A
7/12/2010
N/A
N/A
N/A
N/A
N/A
N/A

Bid #1

Date of Issuer Bids

12/3/2009
12/10/2009
12/15/2009
3/3/2010
3/3/2010
3/9/2010
3/10/2010
3/11/2010
4/29/2010
5/6/2010
5/18/2010
5/20/2010
6/2/2010
6/9/2010
9/16/2010
9/21/2010
1/25/2011
1/25/2011
2/1/2011
2/8/2011
6/2/2011
9/22/2011
11/30/2011
11/30/2012
12/12/2012

Auction
Date

Issuer	Bids	and	Warrant	Auctions	Ordered	by	Auction	Date		

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

	

18

Ticker

 
BMRC
FCBC
WABC
FNB
LCNB
EGBN
MBRG
LKFN
FCCY
HBNC
BUSE
MSL
FBNC
COBZ
FRME
WAL
EBTX
17

Company

Bank of Marin Bancorp
First Community Bancshares Inc.
Westamerica Bancorporation
F.N.B. Corporation
LCNB Corp.
Eagle Bancorp, Inc.
Middleburg Financial Corporation
Lakeland Financial Corporation
1st Constitution Bancorp
Horizon Bancorp
First Busey Corporation
MidSouth Bancorp, Inc.
First Bancorp
CoBiz Financial Inc.
First Merchants Corporation
Western Alliance Bancorporation
Encore Bancshares Inc.
TOTAL

$28,000
41,500
41,863
100,000
13,400
38,235
22,000
56,044
12,000
25,000
100,000
20,000
65,000
64,450
46,400
140,000
34,000
$847,892

CPP/TIP
Preferred
($thousands)

3/31/2009
7/8/2009
9/2/2009
9/9/2009
10/21/2009
12/23/2009
12/23/2009
6/9/2010
10/27/2010
11/10/2010
8/25/2011
8/25/2011
9/1/2011
9/8/2011
9/22/2011
9/26/2011
9/26/2011

Redemption
Date

$1,368
N/A
N/A
N/A
N/A
N/A
N/A
N/A
217
N/A
41
N/A
N/A
N/A
N/A
320
N/A

Bid #1

650

58

425

750

Bid #2 Bid #3

Issuer Bids

$1,704
31
878
690
603
2,794
301
878
327
1,751
64
207
924
144
368
415
637
$12,714

Auction
Proceeds
($thousands)
Bid #2

Bid #3

Auction
Date

11/1/2011
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
11/10/2011 11/24/2010
11/17/2011
N/A
11/17/2011
9/6/2011 9/21/2011
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
N/A
11/17/2011
10/11/2011 11/1/2011 11/8/2011 11/17/2011
N/A
11/17/2011

Bid #1

Date of Issuer Bids

Issuer	Bids	and	Private	Placement	Sale	of	Warrants		

	

	

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

19

Warrant	Repurchases	Ordered	by	Amount	of	Proceeds		

	
Decision Date

Decision
Date

Payment Expiration Strike
Date
Date
Price

QEO?
(i.e.
warrants
cut by
50%)

Final
Warrant
Shares

7/22/2009 10/28/2018 $122.90

-

12,205,045

$90.13

0.56

0.61 x

8/12/2009 10/28/2018

22.99

-

65,245,759

14.56

950,000,000 33.3% - 38.7%

31.05

28.16

0.47

0.52 x
0.54 x

Warrant
Repurchase
Price/Share

Warrant
Repurchase
Proceeds

Estimated
Implied
Volatility*

Stock
Price

20-day Warrant
Avg
Price /
Stock
Stock Underlying
Price
Price
/ Strike

Institution Name

Ticker

Goldman Sachs Group, Inc.

GS

7/21/2009

Morgan Stanley

MS

8/5/2009

American Express Company

AXP

7/27/2009

7/29/2009

1/9/2019

20.95

-

24,264,129

14.01

340,000,000 37.6% - 40.7%

28.38

25.71

0.49

Fifth Third Bancorp

FITB

3/14/2011

3/16/2011 12/31/2018

11.72

-

43,617,747

6.42

280,025,936 30.1% - 37.4%

13.90

14.37

0.46

0.45 x

Discover Financial Services

DFS

6/29/2010

8.96

-

20,500,413

8.39

172,000,000 45.6% - 52.7%

13.80

13.66

0.61

0.61 x
0.24 x

7/7/2010

3/13/2019

$1,100,000,000 40.6% - 44.5% $159.80 $148.16

U.S. Bancorp

USB

7/8/2009

7/15/2009 11/14/2018

30.29

-

32,679,102

4.25

139,000,000 39.3% - 42.6%

16.59

17.69

0.26

Bank of New York Mellon

BK

7/31/2009

8/5/2009 10/28/2018

31.00

-

14,516,129

9.37

136,000,000 35.7% - 39.6%

27.34

27.98

0.34

0.33 x

Northern Trust Corporation

NTRS

8/19/2009

8/26/2009 11/14/2018

61.81

-

3,824,624

22.75

87,000,000 31.1% - 35.9%

60.38

60.00

0.38

0.38 x

First Horizon National Corporation

FHN

3/4/2011

3/9/2011 11/14/2018

8.76

-

14,842,321

5.37

79,700,000 24.9% - 34.0%

11.43

11.62

0.47

0.46 x

KeyCorp

KEY

4/18/2011

4/20/2011 11/14/2018

10.64

-

35,244,361

1.99

70,000,000 31.4% - 34.4%

8.59

8.80

0.23

0.23 x

BB&T Corporation

BBT

7/14/2009

7/22/2009 11/14/2018

33.81

-

13,902,573

4.82

67,010,402 32.0% - 35.1%

21.65

21.64

0.22

0.22 x

State Street Corporation

STT

7/1/2009

7/8/2009 10/28/2018

53.80

Yes

2,788,104

21.52

60,000,000 37.9% - 43.8%

47.35

46.98

0.45

0.46 x

Huntington Bancshares Incorporated

HBAN

1/13/2011

1/19/2011 11/14/2018

8.90

-

23,562,994

2.08

49,100,000 35.1% - 38.6%

7.12

6.92

0.29

0.30 x

Regions Financial Corp.

RF

4/25/2012

5/2/2012 11/14/2018

10.88

-

48,253,677

0.93

45,000,000 32.7% - 34.8%

6.45

6.34

0.14

0.15 x

City National Corporation

CYN

4/6/2010

4/7/2010 11/21/2018

53.16

-

1,128,668

16.39

18,500,000 23.5% - 27.9%

55.70

53.90

0.29

0.30 x

East West Bancorp, Inc.

EWBC

15.15

Yes

1,517,555

9.55

14,500,000 25.8% - 33.5%

20.78

20.28

0.46

0.47 x

Fulton Financial Corporation

FULT

Trustmark Corporation

TRMK

1/21/2011
9/3/2010

1/26/2011

12/5/2018

9/8/2010 12/23/2018

10.25

-

5,509,756

1.96

10,800,000 27.9% - 30.8%

8.72

8.52

0.22

0.23 x

12/29/2009 12/30/2009 11/21/2018

19.57

-

1,647,931

6.07

10,000,000 19.0% - 22.9%

22.80

20.84

0.27

0.29 x

1,100,000

6.27

6,900,000 30.0% - 32.6%

31.76

32.32

0.20

0.19 x

354,058

19.26

6,820,000 39.2% - 44.7%

42.24

45.32

0.46

0.43 x

Whitney Holding Company / Hancock

HBHC

5/13/2011

6/3/2011 12/19/2018

40.91

-

SVB Financial Group

SIVB

6/8/2010

6/16/2010 12/12/2018

49.78

Yes

Great Southern Bancorp

GSBC

9/15/2011

9/21/2011

12/5/2018

9.57

-

909,091

7.08

6,436,364 32.7% - 34.2%

16.36

16.61

0.43

0.43 x

Susquehanna Bancshares, Inc.

SUSQ

1/12/2011

1/19/2011 12/12/2018

14.86

-

3,028,264

1.74

5,269,179 33.3% - 36.0%

9.18

9.47

0.19

0.18 x

FirstMerit Corp

FMER

5/21/2009

5/27/2009

1/9/2019

19.69

-

952,260

5.28

5,025,000 34.9% - 38.3%

17.54

19.27

0.30

0.27 x

The Bancorp, Inc.

TBBK

9/2/2010

9/8/2010 12/12/2018

3.46

Yes

980,203

4.85

4,753,985 46.7% - 55.6%

6.89

6.60

0.70

0.73 x

Umpqua Holdings Corp.

UMPQ

3/22/2010

3/31/2010 11/14/2018

14.46

Yes

1,110,897

4.05

4,500,000 25.1% - 29.4%

13.60

12.87

0.30

0.31 x

Sandy Spring Bancorp, Inc.

SASR

2/11/2011

2/23/2011

12/5/2018

19.13

-

651,547

6.83

4,450,000 29.8% - 34.5%

19.35

18.97

0.35

0.36 x

1st Source Corporation

SRCE

3/2/2011

3/9/2011

1/23/2019

19.87

-

837,947

4.48

3,750,000 25.8% - 28.7%

9.15

9.01

0.49

0.50 x

Columbia Banking System, Inc.

COLB

8/25/2010

9/1/2010 11/21/2018

14.49

Yes

398,023

8.30

3,301,647 40.3% - 46.0%

17.00

17.21

0.49

0.48 x

Park National Corporation

PRK

4/30/2012

5/2/2012 12/23/2018

65.97

-

227,376

12.50

2,842,400 28.5% - 30.4%

67.55

66.69

0.19

0.19 x

Lakeland Bancorp Inc.

LBAI

2/24/2012

2/29/2012

2/6/2019

8.88

-

997,050

2.81

2,800,000 28.0% - 31.2%

10.00

9.98

0.28

0.28 x

First Niagara Financial Group

FNFG

6/19/2009

6/24/2009 11/21/2018

14.48

Yes

953,096

2.83

2,700,000 28.5% - 31.7%

11.93

12.05

0.24

0.24 x

Bank of the Ozarks, Inc.

OZRK

11/18/2009 11/24/2009 12/12/2018

29.62

-

379,811

6.98

2,650,000 20.9% - 25.1%

27.48

24.46

0.25

0.29 x

Central Bancorp, Inc.

CEBK

10/12/2011 10/19/2011

12/5/2018

6.39

-

234,742

10.76

2,525,000 51.6% - 58.2%

16.14

17.15

0.67

0.63 x

Independent Bank Corp

INDB

5/21/2009

5/27/2009

1/9/2019

24.34

-

481,664

4.57

2,200,000 28.5% - 31.6%

19.60

19.92

0.23

0.23 x

Sun Bancorp

SNBC

5/19/2009

5/27/2009

-

1,620,545

1.30

2,100,000 16.0% - 19.9%

6.25

6.36

0.21

0.20 x

Financial Institutions, Inc.

FISI

378,175

5.50

2,079,963 30.7% - 34.1%

16.55

16.88

0.33

0.33 x

Heartland Financial USA, Inc.

HTLF

609,687

2.95

1,800,000 38.4% - 41.1%

12.70

13.95

0.23

0.21 x

1/9/2019

8.27

5/2/2011

5/11/2011 12/23/2018

14.88

9/16/2011

9/28/2011 12/19/2018

20.10

-

Washington Banking Company

WBCO

2/16/2011

3/2/2011

1/16/2019

8.04

Yes

246,082

6.60

1,625,000 21.8% - 30.2%

13.63

13.69

0.48

0.48 x

MB Financial, Inc.

MBFI

4/26/2012

5/2/2012

12/5/2018

29.05

Yes

506,024

3.00

1,518,072 24.8% - 27.3%

20.93

20.83

0.14

0.14 x

First Litchfield Financial Corporation

FLFL

4/7/2010

7.53

-

199,203

7.47

1,488,046

14.95

14.65

0.50

0.51 x

SCBT Financial Corporation

SCBT

6/16/2009

6/24/2009

4/7/2010 12/12/2018
1/16/2019

32.06

-

303,083

4.62

1,400,000 24.1% - 27.4%

23.16

23.45

0.20

0.20 x

Bancorp Rhode Island, Inc.

BARI

9/21/2009

9/30/2009 12/19/2018

23.32

-

192,967

7.26

1,400,000 21.9% - 26.6%

24.66

25.57

0.29

0.28 x

Bridge Capital Holdings

BBNK

4/8/2011

4/20/2011 12/23/2018

9.03

-

396,412

3.52

1,395,000 20.1% - 25.5%

9.82

9.41

0.36

0.37 x
0.20 x

10/21/2009 10/28/2009

N/A

CVB Financial Corp.

CVBF

12/5/2018

11.68

Yes

834,761

1.57

1,307,000 26.4% - 29.2%

8.81

7.73

0.18

Home Bancshares, Inc.

HOMB

7/21/2011

7/27/2011

1/16/2019

23.66

Yes

158,472

8.20

1,300,000 25.9% - 30.6%

24.46

23.98

0.34

0.34 x

Peoples Bancorp, Inc.

PEBO

2/3/2012

2/15/2012

1/30/2019

18.66

-

313,505

3.83

1,200,724 31.3% - 34.1%

16.62

15.22

0.23

0.25 x

Old National Bancorp

ONB

5/6/2009

IBERIABANK Corporation

IBKC

5/12/2009

5/8/2009 12/12/2018
5/20/2009

12/5/2018

18.45

-

813,008

1.48

1,200,000 20.3% - 23.6%

14.33

14.18

0.10

0.10 x

48.74

Yes

138,490

8.66

1,200,000 17.5% - 20.8%

47.22

48.23

0.18

0.18 x

Community Bank Shares of Indiana, Inc.

CBIN

10/4/2011 10/19/2011

5/29/2019

7.56

-

386,270

2.85

1,100,870 26.7% - 29.9%

9.39

9.65

0.30

0.30 x

QCR Holdings, Inc.

QCRH

11/8/2011 11/16/2011

2/13/2019

10.99

-

521,888

2.11

1,100,000 28.5% - 31.5%

8.95

9.03

0.24

0.23 x

Berkshire Hills Bancorp

BHLB

6/17/2009

6/24/2009 12/19/2018

26.51

-

226,330

4.60

1,040,000 24.0% - 28.0%

20.17

21.38

0.23

0.21 x

First PacTrust Bancorp, Inc.

FPTB

12/30/2010

1/5/2011 11/21/2018

10.31

-

280,795

3.57

1,003,227 18.4% - 22.0%

13.01

12.60

0.27

0.28 x

National Penn Bancshares, Inc.

NPBC

4/8/2011

4/13/2011 12/12/2018

15.30

Yes

735,294

1.36

1,000,000 33.5% - 36.1%

7.96

7.73

0.17

0.18 x

MidWestOne Financial Group, Inc

MOFG

7/21/2011

7/27/2011

2/6/2019

12.08

-

198,679

5.03

1,000,000 34.1% - 37.5%

14.50

14.20

0.35

0.35 x

Wesbanco, Inc.

WSBC

12/11/2009 12/23/2009

12/5/2018

25.61

-

439,282

2.16

950,000 38.1% - 40.7%

12.41

12.71

0.17

0.17 x

Sterling Bancorp

STL

5/13/2011

5/18/2011 12/23/2018

12.19

-

516,817

1.83

945,775 30.9% - 33.5%

9.50

10.06

0.19

0.18 x

MutualFirst Financial, Inc.

MFSF

9/20/2011

9/28/2011 12/23/2018

7.77

-

625,135

1.44

900,194 30.9% - 33.2%

7.03

7.52

0.20

0.19 x

6/12/2009

6/17/2009 12/19/2018

23.33

-

173,069

5.20

900,000 13.8% - 17.0%

26.61

25.50

0.20

0.20 x

12/28/2009 12/30/2009 12/19/2018

13.97

Yes

375,806

2.39

900,000 22.4% - 25.9%

11.73

10.92

0.20

0.22 x

Alliance Financial Corporation

ALNC

Flushing Financial Corporation

FFIC

	

*CPP preferred auction participant

	

	
WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

 

20

Warrant	Repurchases	Ordered	by	Amount	of	Proceeds	
(continued)	

	
Decision Date

Decision
Date

Payment Expiration Strike
Date
Price
Date

QEO?
(i.e.
warrants
cut by
50%)

Warrant
Final
Warrant Repurchase
Shares Price/Share

Warrant
Repurchase
Proceeds

Estimated
Implied
Volatility*

Stock
Price

20-day Warrant
Price /
Avg
Stock Underlying
Stock
Price
/ Strike
Price

Institution Name

Ticker

First Midwest Bancorp, Inc.

FMBI

22.18

-

1,305,230

0.69

900,000 31.3% - 33.2%

9.29

9.16

0.07

0.08 x

AmeriServ Financial, Inc.

ASRV

10/27/2011

11/2/2011 12/19/2018

2.40

-

1,312,500

0.63

825,000 36.7% - 41.2%

1.86

1.89

0.34

0.33 x

Connecticut Bank and Trust Company

BHLB

4/16/2012

4/20/2012 12/19/2018

12.20

-

66,958

11.84

792,783 25.46% - 29.22 21.68

22.65

0.55

0.52 x

Wilshire Bancorp*

WIBC

6/18/2012

6/20/2012 12/12/2018

9.82

-

949,460

0.80

760,000 36.5% - 38.8%

5.01

5.08

0.16

0.16 x

12/6/2011 12/21/2011 12/15/2018

New Hampshire Thrift Bancshares, Inc.

NHTB

2/9/2012

West Bancorporation, Inc.

WTBA

8/23/2011

1/16/2019

8.14

-

184,275

4.00

737,100 23.6% - 26.1%

12.01

12.00

0.33

0.33 x

8/31/2011 12/31/2018

2/15/2012

11.39

-

474,100

1.48

700,000 31.8% - 34.2%

8.44

8.91

0.17

0.17 x

HF Financial Corp.

HFFC

6/29/2009

6/30/2009 11/21/2018

North Central Bancshares, Inc.

FFFD

1/4/2012

1/11/2012

12.40

-

302,419

2.15

650,000 18.3% - 21.5%

11.95

12.08

0.18

0.18 x

15.43

-

99,157

6.05

600,000 29.9% - 33.4%

17.70

17.80

0.34

0.34 x

8/9/2011

1/9/2019

First California Financial Group, Inc

FCAL

8/24/2011 12/19/2018

6.26

-

599,042

1.00

599,042 45.2% - 48.4%

3.15

3.60

0.32

0.28 x

Wainwright Bank and Trust

WAIN

12/11/2009 12/16/2009 12/19/2018

8.46

-

390,071

1.46

568,700 27.8% - 30.7%

7.00

6.75

0.21

0.22 x

LSB Corporation

LSBX

12/8/2009 12/16/2009 12/12/2018

10.74

-

209,497

2.67

560,000 22.1% - 25.3%

11.28

11.00

0.24

0.24 x

Oak Valley Bancorp

OVLY

9/20/2011

9/28/2011

12/5/2018

5.78

-

350,346

1.60

560,000 35.5% - 38.6%

5.41

5.53

0.30

0.29 x

Pathfinder Bancorp, Inc.

PBHC

1/27/2012

2/1/2012

9/11/2019

6.58

-

154,354

3.48

537,633 24.6% - 28.8%

9.22

9.20

0.38

0.38 x

Codorus Valley Bancorp, Inc.

CVLY

9/13/2012

9/28/2011

1/9/2019

9.38

-

263,859

2.00

526,604 29.7% - 32.0%

9.11

9.89

0.22

0.20 x

Community Partners Bancorp

CPBC

10/18/2011 10/26/2011

1/30/2019

4.33

-

311,972

1.47

460,000 27.7% - 31.9%

4.62

4.68

0.32

0.32 x

DNB Financial Corporation

DNBF

1/30/2019

9.46

-

186,311

2.46

458,000 25.0% - 28.1%

9.85

10.11

0.25

0.24 x

Union Bankshares Corporation

UBSH

12/16/2009 12/23/2009 12/19/2018

20.94

Yes

211,318

2.13

450,000 30.3% - 33.0%

11.93

11.93

0.18

0.18 x

Heritage Financial Corporation

HFWA

8/5/2011

13.04

Yes

138,037

3.26

450,000 24.9% - 28.33% 12.57

12.87

0.26

0.25 x

OceanFirst Financial Corp

OCFC

1/28/2010

2/3/2010

1/16/2019

15.07

Yes

190,427

2.26

430,797 31.2% - 34.2%

10.45

10.97

0.22

0.21 x

8/25/2010

9/1/2010

1/16/2019

20.36

-

194,794

2.05

400,000 41.9% - 44.4%

10.73

11.12

0.19

0.18 x

10/28/2011 11/16/2011

3/13/2019

7.39

-

352,977

1.06

375,000 32.0% - 35.1%

4.60

4.57

0.23

0.23 x
0.16 x

8/31/2011

9/21/2011

8/17/2011 11/21/2018

Citizens & Northern Corporation

CZNC

First Northern Community Bancorp

FNRN

Central Jersey Bancorp

CJBK

12/1/2010

12/1/2010 12/23/2018

6.31

-

268,621

1.19

319,659

7.49

7.45

0.16

Summit State Bank

SSBI

9/8/2011

9/14/2011 12/19/2018

5.33

-

239,212

1.32

315,000 24.7% - 29.1%

5.99

6.26

0.22

0.21 x

Somerset Hills Bancorp

SOMH

6/24/2009

6.82

-

163,065

1.69

275,000 14.8% - 18.4%

7.80

7.73

0.22

0.22 x

Monarch Financial Holdings

MNRK

Bar Harbor Bankshares

BHB

Center Bancorp, Inc.

6/17/2009
2/1/2010

1/16/2019

N/A

2/10/2010 12/19/2018

8.33

Yes

132,353

1.96

260,000 27.8% - 32.4%

6.40

6.48

0.31

0.30 x

7/22/2010

7/28/2010

1/16/2019

26.81

Yes

52,455

4.77

250,000 18.2% - 20.9%

27.00

25.61

0.18

0.19 x

CNBC

11/22/2011

12/7/2011

1/9/2019

8.65

Yes

86,705

2.83

245,000 36.9% - 39.8%

9.31

9.54

0.30

0.30 x

Citizens South Banking Corporation

CSBC

11/2/2011

11/9/2011 12/19/2018

6.83

-

450,314

0.50

225,157 30.5% - 32.7%

3.97

3.97

0.13

0.13 x

Old Line Bancshares

OLBK

8/20/2009

7.40

-

141,892

1.59

225,000 26.3% - 30.1%

6.10

6.21

0.26

0.26 x

9/2/2009

12/5/2018

CenterState Banks, Inc.

CSFL

10/21/2009 10/28/2009 11/21/2018

16.67

Yes

125,413

1.69

212,000 34.9% - 38.2%

7.47

7.64

0.23

0.22 x

Salisbury Bancorp, Inc.

SAL

10/28/2011

11/2/2011

3/13/2019

22.93

-

57,671

3.55

205,000 21.7% - 23.8%

22.88

22.62

0.16

0.16 x

9/9/2011

9/28/2011

1/30/2019

6.64

Yes

79,067

2.34

185,017 37.8% - 42.4%

5.97

6.13

0.39

0.38 x

10/17/2011 10/26/2011 11/14/2019

6.29

-

405,405

0.31

125,000 33.9% - 35.7%

3.30

3.31

0.09

0.09 x

Central Valley Community Bancorp

CVCY

Bank of Commerce Holdings

BOCH

Peapack-Gladstone Financial Corporation

PGC

Stewardship Financial Corporation

SSFN

4/4/2012

1/9/2019

28.63

-

150,296

0.73

110,000 26.5% - 28.2%

12.61

12.58

0.06

0.06 x

10/11/2011 10/26/2011

1/0/1900

1/30/2019

11.24

-

133,475

0.80

107,398 42.5% - 44.7%

5.39

5.63

0.15

0.14 x

Manhattan Bancorp

MNHN

Seacoast Banking Corporation of Florida*

SBCF

10/9/2009 10/14/2009
1/0/1900

12/5/2018

8.65

-

29,480

2.15

63,364 29.7% - 34.8%

6.60

6.53

0.33

0.33 x

5/30/2012 12/19/2018

6.36

Yes

589,623

0.09

55,000 39.8% - 41.5%

1.51

1.57

0.06

Emclaire Financial Corp.

EMCF

11/16/2011

12/7/2011 12/23/2018

0.06 x

22.45

-

50,111

1.02

51,113 22.8% - 24.5%

15.47

15.42

0.07

0.07 x

Shore Bancshares, Inc.

SHBI

Mercantile Bank Corporation

MBWM 6/26//2012

11/2/2011 11/16/2011

1/9/2019

21.68

-

172,970

0.14

7/3/2012

5/15/2019

5.11

-

616,438

12.11

United Bancorp, Inc.*

UBMI

Taylor Capital Group, Inc.*

TAYC

Farmers Capital Bank Corporation*

FFKT

7/9/2012

25,000 33.6% - 35.1%

6/29/2012

7/18/2012

1/16/2019

9.92

-

311,492

0.12

38,000 28.3% - 29.8%

7/11/2012

7/18/2012 11/21/2018

10.75

-

1,462,647

6.73

9,839,273 30.5% - 35.9%

7/18/2012

1/9/2019

20.09

-

223,992

0.33

75,000 33.1% - 34.8%

7,465,100

N/A

4.97

4.88

0.03

0.03 x

17.22

15.98

0.70

0.76 x

3.55

3.37

0.03

0.04 x

16.15

15.69

0.42

0.43 x

6.55

6.56

0.05

0.05 x

Pinnacle Financial Partners, Inc.

PNFP

6/21/2012

7/18/2012 12/12/2018

26.64

Yes

267,455

2.82

755,000 25.8% - 28.3%

18.69

17.45

0.15

0.16 x

LNB Bancorp Inc.*

LNBB

6/27/2012

7/18/2012 12/12/2018

6.74

-

561,343

1.53

860,326 31.4% - 34.8%

6.58

6.38

0.23

0.24 x

Firstbank Corporation*

FBMI

7/10/2012

7/18/2012

1/30/2019

8.55

-

578,947

3.36

1,946,670 39.2% - 43.4%

9.80

9.93

0.34

0.34 x

Southern First Bancshares, Inc.*

SFST

7/11/2012

7/25/2012

2/27/2019

6.49

-

399,970

2.75

1,100,000 33.4% - 38.5%

8.29

8.15

0.33

0.34 x

VIST Financial Corporation

VIST

7/25/2012

8/1/2012 12/19/2018

10.19

-

367,984

3.23

1,189,813 27.8% - 30.6%

37.95

38.21

0.09

0.08 x

Peoples Bancorp of North Carolina, Inc.*

PEBK

7/12/2012

8/8/2012 12/23/2018

10.52

-

357,234

1.19

425,000 31.4% - 34.0%

8.25

8.17

0.14

0.15 x

Pulaski Financial Corp*

PULB

7/12/2012

8/8/2012

1/16/2019

6.27

-

778,421

1.41

1,100,000 25.8% - 28.0%

7.59

7.48

0.19

0.19 x

BBCN Bancorp, Inc./Nara Bancorp

BBCN

7/31/2012

8/8/2012 11/21/2018

9.64

Yes

521,266

4.20

2,189,317 33.2% - 37.4%

11.34

11.11

0.37

0.38 x

Ameris Bancorp*

ABCB

8/15/2012

8/22/2012 11/21/2018

11.17

-

698,554

3.82

2,670,000 37.9% - 41.7%

11.40

11.79

0.34

0.32 x

First Citizens Banc Corp.*

FCZA

8/16/2012

9/5/2012

1/23/2019

7.41

-

469,312

1.20

563,174 47.3% - 50.3%

5.42

5.60

0.22

0.21 x

WSFS Financial Corporation*

WSFS

8/29/2012

9/12/2012

1/23/2019

45.08

-

175,105

10.28

1,800,000 31.4% - 34.7%

40.94

41.32

0.25

0.25 x

Indiana Community Bancorp

INCB

9/7/2012

9/12/2012 12/12/2018

17.09

-

188,707

9.54

1,800,000 52.0% - 29.9%

25.73

24.58

0.37

0.39 x

BNC Bancorp*

BNCN

9/6/2012

9/19/2012

12/5/2018

8.63

-

543,337

1.73

939,920 38.5% - 41.2%

7.66

7.75

0.23

0.22 x

9/19/2012

8/26/2020

13.20

-

97,541

8.46

825,000

21.69

20.91

0.39

0.40 x

11/1/2012 11/21/2018

8.69

-

195,915

1.52

297,500 25.8% - 28.7%

8.60

8.51

0.18

0.18 x

1,225,000 29.4% - 31.8%

15.50

16.45

0.12

0.12 x

46.00

45.91

0.57

0.57 x

1,300,000 40.2% - 46.0%

7.07

7.19

0.46

0.45 x

95,000 23.9% - 26.3%

9.26

9.15

0.15

0.15 x

Sterling Financial Corporation

STSA

9/11/2012

First Community Corporation*

FCCO

10/25/2012

PrivateBancorp, Inc.

PVTB

11/7/2012 11/14/2012

1/30/2019

28.35

Yes

645,013

1.90

Pacific Capital Bancorp

PCBC

11/28/2012 11/30/2012

8/31/2020

20.00

-

15,120

26.00

Mackinac Financial Corporation*

MFNC

12/11/2012 12/19/2012

4/24/2019

4.14

-

398,734

3.26

Northeast Bancorp

NBN

11/29/2012 12/28/2012 12/12/2018

9.33

-

67,958

1.40

TOTAL

121

26

393,121

N/A

N/A

$3,781,900,364

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

	
21

Ticker

 
BAC
JPM
WFC
HIG
PNC
BAC
C
LNC
CMA
COF
C
MTB
WTFC
WBS
STI
WFSL
STI
SBNY
TCB
ZION
TCBI
BPFH
VLY
ASBC
FFBC
SBIB

26

Institution Name

Bank of America Corporation (TIP)
JPMorgan Chase & Co.
Wells Fargo & Company
The Hartford Financial Services Group, Inc.
PNC Financial Services
Bank of America Corporation (CPP)
Citigroup, Inc. (TIP/AGP)
Lincoln National Corporation
Comerica Inc.
Capital One Financial Corp.
Citigroup, Inc. (CPP)
M&T Bank Corporation
Wintrust Financial Corporation
Webster Financial Corporation
SunTrust Banks, Inc. (A Warrant)
Washington Federal, Inc
SunTrust Banks, Inc. (B Warrant)
Signature Bank
TCF Financial Corporation
Zions Bancorporation
Texas Capital Bancshares, Inc.
Boston Private Financial Holdings, Inc.
Valley National Bancorp
Associated Banc-Corp
First Financial Bancorp
Sterling Bancshares, Inc.

TOTAL

	

3/3/2010
12/10/2009
5/20/2010
9/21/2010
4/29/2010
3/3/2010
1/25/2011
9/16/2010
5/6/2010
12/3/2009
1/25/2011
12/12/2012
2/8/2011
6/2/2011
9/22/2011
3/9/2010
9/22/2011
3/10/2010
12/15/2009
11/30/2012
3/11/2010
2/1/2011
5/18/2010
11/30/2011
6/2/2010
6/9/2010

1/16/2019 $13.30
10/28/2018 42.42
10/28/2018 34.01
6/29/2019
9.79
12/13/2018 67.33
10/28/2018 30.79
1/4/2019 10.61
7/10/2019 10.92
11/14/2018 29.40
11/14/2018 42.13
10/28/2018 17.85
12/23/2018 73.86
12/19/2018 22.82
11/21/2018 18.28
12/31/2018 33.70
11/14/2018 17.57
11/14/2018 44.15
12/12/2018 30.21
11/14/2018 16.93
11/14/2018 36.27
1/16/2019 14.84
11/21/2018
8.00
11/14/2018 17.77
11/21/2018 19.77
12/23/2010 12.90
12/12/2018
7.18

Auction Expiration Strike
Date
Date
Price

1

150,375,940
88,401,697
110,262,688
52,093,973
16,885,192
121,792,790
255,033,142
13,049,451
11,479,592
12,657,960
210,084,034
1,218,522
1,643,295
3,282,726
6,008,902
1,707,456
11,891,280
595,829
3,199,988
5,789,909
758,086
2,887,500
2,532,542
3,983,308
465,117
2,615,557

Warrant
Shares
$8.35
10.75
7.70
13.70
19.20
2.55
1.01
16.60
16.00
11.75
0.26
26.50
15.80
6.30
2.70
9.15
1.20
19.00
3.00
1.35
8.85
2.20
2.20
0.90
6.70
1.15

Warrant
Auction
Price
Per Share

$5,446,787,206

$1,255,639,099
950,318,243
849,014,998
713,687,430
324,195,686
310,571,615
257,583,473
216,620,887
183,673,472
148,731,030
54,621,849
32,290,833
25,964,061
20,678,339
16,224,035
15,623,222
14,269,536
11,320,751
9,599,964
7,816,377
6,709,061
6,352,500
5,571,592
3,584,977
3,116,284
3,007,891

Warrant Auction
Gross Proceeds
32.1% - 36.8%
23.8% - 27.5%
30.6% - 34.0%
14.4% - 24.8%
27.6% - 31.3%
30.9% - 33.5%
34.8% - 37.9%
29.9% - 44.7%
28.6% - 32.3%
34.6% - 38.2%
31.9% - 33.7%
21.9% - 24.3%
21.9% - 32.0%
28.2% - 32.1%
28.7% - 30.6%
48.6% - 53.5%
30.0% - 32.3%
23.1% - 29.0%
28.8% - 32.1%
24.9% - 26.7%
24.4% - 29.9%
27.1% - 31.9%
25.1% - 27.5%
28.8% - 30.7%
39.9% - 43.8%
30.1% - 34.2%

Estimated
Implied
Volatilty*
$16.37 $15.59
41.27 42.24
28.69 32.21
23.16 21.68
66.06 64.68
16.37 15.59
4.82
4.89
24.72 23.84
41.43 42.21
36.92 38.66
4.82
4.89
97.80 97.68
33.24 32.96
19.86 20.62
16.89 18.92
19.38 19.41
16.89 18.92
38.75 36.83
13.22 12.78
20.22 20.31
18.41 17.06
6.98
6.66
14.80 15.49
10.40 10.52
15.87 16.81
5.00
5.41

0.51
0.26
0.27
0.59
0.29
0.16
0.21
0.67
0.39
0.32
0.05
0.27
0.48
0.32
0.16
0.47
0.07
0.49
0.23
0.07
0.48
0.32
0.15
0.09
0.42
0.23

1.23 x
0.97 x
0.84 x
2.37 x
0.98 x
0.53 x
0.45 x
2.26 x
1.41 x
0.88 x
0.27 x
1.32 x
1.46 x
1.09 x
0.50 x
1.10 x
0.38 x
1.28 x
0.78 x
0.56 x
1.24 x
0.87 x
0.83 x
0.53 x
1.23 x
0.70 x

20-day Warrant
Avg
Price /
Stock Stock Stock Underlying
Price Price
Price
/ Strike

Auction Date

* Volatility implied by the repurchase price using stock price on auction date and UST estimates for dividend yield and borrow cost; reflects discounts to a modeled valuation for illiquidity, risk of cash takeout, etc.

3/1/2010
12/8/2009
5/18/2010
9/20/2010
4/27/2010
3/1/2010
1/24/2011
9/15/2010
5/4/2010
12/1/2009
1/24/2011
12/10/2012
2/7/2011
6/1/2011
9/21/2011
3/8/2010
9/21/2011
3/8/2010
12/14/2009
11/28/2012
3/8/2010
1/31/2011
5/17/2010
11/29/2011
6/1/2010
6/7/2010

Announce
Date

QEO?
(i.e.
warrants
cut by
50%)
Yes
-

Warrant	Sales	Ordered	by	Amount	of	Proceeds		
	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

	

22

Ticker
EGBN
HBNC
BMRC
FBNC
WABC
LKFN
FNB
EBTX
LCNB
WAL
FRME
FCCY
MBRG
MSL
COBZ
BUSE
FCBC

 
17

Institution Name
Eagle Bancorp, Inc.
Horizon Bancorp
Bank of Marin Bancorp
First BanCorp
Westamerica Bancorporation
Lakeland Financial Corp
F.N.B. Corporation
Encore Bancshares
LCNB Corporation
Western Alliance Bancorporation
First Merchants Corporation
1st Constitution Bancorp
Middleburg Financial Corporation
MidSouth Bancorp, Inc.
CoBiz Financial Inc.
First Busey Corporation
First Community Bancshares, Inc.

TOTAL

	

Auction
Date
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011
11/17/2011

Expiration Strike
Date
Price
12/5/2018
$7.44
12/19/2018
17.67
12/5/2018
27.11
1/9/2019
15.82
2/13/2019
50.91
2/27/2019
21.20
1/9/2019
11.52
12/5/2018
14.01
1/9/2019
9.26
11/21/2018
13.34
2/20/2019
17.55
12/23/2018
7.77
1/30/2019
15.85
1/9/2019
14.37
12/19/2018
10.79
3/6/2019
13.07
11/21/2018
35.26

Estimated
Implied
Volatilty*
25.8% - 34.1%
61.8% - 66.4%
14.0% - 18.9%
28.6% - 33.9%
11.1% - 16.0%
12.6% - 15.9%
20.8% - 22.5%
20.8% - 22.4%
N/A
25.6% - 27.7%
26.2% - 27.9%
17.6% - 21.8%
24.7% - 27.4%
18.5% - 21.3%
19.1% - 20.9%
24.6% - 26.1%
28.3% - 29.8%
Stock
Price
$13.44
16.33
36.65
10.41
43.99
24.19
10.54
10.76
13.00
6.08
8.02
6.90
14.50
12.69
5.18
4.89
12.03

20-day Warrant
Price /
Avg
Stock Underlying
Stock
Price
/ Strike
Price
$13.48
0.54
1.81 x
16.59
0.51
0.92 x
35.33
0.30
1.35 x
11.20
0.14
0.66 x
44.51
0.08
0.86 x
23.82
0.18
1.14 x
10.38
0.10
0.91 x
11.53
0.16
0.77 x
12.98
0.21
1.40 x
6.33
0.09
0.46 x
8.19
0.05
0.46 x
6.52
0.20
0.89 x
14.54
0.20
0.91 x
13.13
0.16
0.88 x
5.22
0.03
0.48 x
5.01
0.02
0.37 x
12.09
0.03
0.34 x

Auction Date

* Volatility implied by the repurchase price using stock price on auction date and UST estimates for dividend yield and borrow cost; reflects discounts to a modeled valuation for illiquidity, risk of cash takeout, etc.

Announce
Date
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011
11/15/2011

QEO?
Warrant
(i.e.
Auction
Warrant
warrants
Price
Auction
cut by Warrant
Shares Per Share Gross Proceeds
50%)
Yes
385,434
$7.25
$2,794,422
212,188
8.25
1,750,551
154,908
11.00
1,703,984
616,308
1.50
924,462
246,698
3.56
878,256
Yes
198,269
4.43
877,557
Yes
651,042
1.06
690,100
364,026
1.75
637,071
217,063
2.78
602,557
Yes
787,107
0.53
415,000
991,453
0.37
367,500
231,782
1.41
326,576
Yes
104,101
2.89
301,001
Yes
104,384
1.98
206,557
895,968
0.16
143,677
Yes
573,833
0.11
63,677
Yes
88,273
0.35
30,600
8
$12,713,548

Private	Placement	Sale	of	Warrants	by	Amount	of	Proceeds	

	

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

23

 
WTFC
WBS
STI
STI
ASBC

Wintrust Financial Corporation

Webster Financial Corporation

SunTrust Banks, Inc. (A Warrant)

SunTrust Banks, Inc. (B Warrant)

Associated Banc-Corp

26

BPFH

Boston Private Financial Holdings, Inc.

TOTAL/AVERAGE

C

Citigroup (CPP)

ZION

C

Citigroup (TIP/AGP)

MTB

HIG

Hartford Financial Services Group, Inc.

M&T Bank Corporation

LNC

Lincoln National Corporation

Zions Bancorporation

FFBC
SBIB

Wells Fargo & Company

Sterling Bancshares, Inc.

WFC

Valley National Bancorp

First Financial Bancorp

CMA
VLY

Comerica Inc.

TCBI

SBNY

Signature Bank
PNC

WFSL

Washington Federal, Inc

PNC Financial Services

BAC

Bank of America Corporation (CPP)

Texas Capital Bancshares, Inc.

TCB
BAC

Bank of America Corporation (TIP)

JPMorgan Chase & Co.

TCF Financial Corporation

COF
JPM

Capital One Financial Corp.

Ticker

Institution

	

1,218,522

5,789,909

3,983,308

11,891,280

6,008,902

3,282,276

1,643,295

2,887,500

210,084,034

255,033,142

52,093,973

13,049,451

2,615,557

465,117

110,261,688

2,532,542

11,479,592

16,885,192

758,086

595,829

1,707,456

121,792,790

150,375,940

3,199,988

88,401,697

12,657,960

Warrant
Shares

$5,446.79

32.29

7.82

3.58

14.27

16.22

20.68

25.96

6.35

54.62

257.58

713.69

216.62

3.01

3.12

849.01

5.57

183.67

324.20

6.71

11.32

15.62

310.57

1,255.64

9.60

950.32

$148.73

$72.70

0.45

0.15

0.15

0.20

0.23

0.29

0.36

0.15

0.76

3.32

7.42

2.95

0.15

0.15

8.64

0.15

2.57

3.92

0.15

0.17

0.23

4.66

18.83

0.15

14.25

$2.23

23.50

0.90

0.50

1.05

2.00

5.50

13.50

1.40

0.15

0.60

12.40

16.00

0.85

4.00

6.50

1.70

15.00

15.00

6.50

16.00

5.00

1.50

7.00

1.50

8.00

$7.50

Underwriting
Fees
Minimum
($millions)
Bid

26.50

1.35

0.90

1.20

2.70

6.30

15.80

2.20

0.26

1.01

13.70

16.60

1.15

6.70

7.70

2.20

16.00

19.20

8.85

19.00

9.15

2.55

8.35

3.00

10.75

$11.75

575

135

133

134

119

155

144

340

369

1,064

1,557

635

795

211

142

859

183

518

1,450

326

409

708

1,246

1,489

470

754

604

177

35

42

23

30

45

30

64

89

398

472

87

204

67

66

297

34

120

181

61

68

413

570

535

135

381

174

5.41 x

5.23 x

7.00 x

5.58 x

2.57 x

3.70 x

3.90 x

7.00 x

7.93 x

4.25 x

5.20 x

2.03 x

5.06 x

6.92 x

10.32 x

3.86 x

6.59 x

2.67 x

5.47 x

6.99 x

8.22 x

14.52 x

10.67 x

4.40 x

18.25 x

6.47 x

13.27 x

Number Number
Coverage
Clearing
of
of
1
Bid
Bids Bidders
Ratio

2.0%

0.3%

0.1%

1.5%

0.1%

1.5%

1.8%

1.6%

1.8%

3.4%

2.4%

4.2%

2.1%

3.6%

2.0%

2.3%

1.2%

1.9%

2.5%

0.9%

0.7%

8.3%

1.7%

1.0%

1.8%

0.3%

0.2%

Demand

2

Market
Orders
Share of

0

0

0

0

4,008,902

2,282,276

0

0

0

0

0

2,899,159

0

0

70,165,963

0

0

0

0

0

0

0

0

0

0

0

0.4%

0.4%

0.0%

0.0%

0.0%

0.2%

0.1%

0.1%

0.1%

0.1%

0.2%

0.2%

0.3%

0.2%

0.4%

0.3%

0.2%

0.3%

0.4%

0.2%

0.2%

0.1%

0.5%

0.5%

0.4%

0.4%

0.2%

Warrants
Daily
Repurchased
Liquidity
by Bank
3
in Auction Turnover

Note: Totals for Coverage Ratio, Market Orders and Daily Liquidity are weighted averages. Total for Number of Bidders is a simple average.
1) Coverage Ratio = Gross Demand / Warrant Shares
2) Market Orders Share of Auction = Total Market Orders / Gross Demand A market order is a bid that specifies the number of warrants the bidder is willing to purchase without specifying the price it is willing to
pay and is treated as a bid at the highest price received from any other bidder in the auction.
3) Daily Liquidity Turnover = Average Daily Trading Volume / Warrants Outstanding
The liquidity calculation excludes the first five trading days after the auction which typically have higher than normal volume and uses data through December 30, 2012. The data source is Bloomberg.

12/12/2012

11/30/2012

11/30/2011

9/22/2011

9/22/2011

6/2/2011

2/8/2011

2/1/2011

1/25/2011

1/25/2011

9/21/2010

9/16/2010

6/9/2010

6/2/2010

5/20/2010

5/18/2010

5/6/2010

4/29/2010

3/11/2010

3/10/2010

3/9/2010

3/3/2010

3/3/2010

12/15/2009

12/10/2009

12/3/2009

Auction
Date

Gross
Proceeds
($millions)

Warrant	Auction	Data	

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012

	

24

Issuer	Repurchases	and	Private	Placement	Sales	of		
Warrant	Preferreds	or	Warrant	Sub	Debt		

	
Institution Name
W.T.B. Financial Corporation
Plains Capital Corporation
Alpine Banks of Colorado**
Liberty Bancshares, Inc.
State Bankshares, Inc.
Exchange Bank**
Fidelity Financial Corporation**
Trinity Capital Corporation**
Marquette National Corporation**
Stearns Financial Services, Inc.
Community Trust Financial Corporation
TriState Capital Holdings, Inc.
CBS Banc-Corp**
Liberty Bancshares, Inc.
Central Community Corporation**
BancIndependent, Inc.
First Guaranty Bancshares, Inc.
Community First Bancshares Inc.
A.N.B. Corporation
D.L. Evans Bancorp
Sovereign Bancshares, Inc.
Commonwealth Bancshares, Inc.**
Park Bancorporation, Inc**
Peoples Bancorp
First NBC Bank Holding Company
The Baraboo Bancorporation, Inc.**
F&M Financial Corporation (NC)**
Stockmens Financial Corporation
Tri-County Financial Corporation
BankFirst Capital Corporation
Foresight Financial Group, Inc.
Centra Financial Holdings, Inc.
The Landrum Company
F&M Financial Corporation (TN)**
Nicolet Bankshares, Inc.
First Community Financial Partners, Inc.**
Magna Bank
Sword Financial Corporation
First Texas BHC, Inc.
Morrill Bancshares, Inc.
Medallion Bank
Adbanc, Inc
First National Corporation**
Peoples Bancorporation, Inc.
Security State Bancshares
First Manitowoc Bancorp, Inc.
Two Rivers Financial Group
FNB Bancorp
Pacific Coast Bankers' Bancshares
Brotherhood Bancshares, Inc.
Blue Ridge Bancshares, Inc.**
First Southern Bancorp, Inc.
Katahdin Bankshares Corp.
Midland States Bancorp, Inc.
1st United Bancorp, Inc.
BOH Holdings, Inc.
First Bankers Trustshares, Inc.
Northway Financial, Inc.
Penn Liberty Financial Corp.
Moneytree Corporation
Florida Business BancGroup, Inc.
Blackhawk Bancorp, Inc.**
FCB Bancorp, Inc.
UBT Bancshares, Inc.
GrandSouth Bancorporation
Equity Bancshares, Inc.
Georgia Commerce Bancshares, Inc.
Bancorp Financial, Inc.
Illinois State Bancorp
MS Financial, Inc.
Valley Commerce Bancorp
Regents Bancshares, Inc.

Repurchase
Date
9/15/2011
9/27/2011
9/20/2012
7/21/2011
6/29/2011
8/9/2012
8/9/2012
8/10/2012
8/10/2012
1/18/2012
7/6/2011
9/26/2012
8/10/2012
8/18/2011
12/11/2012
7/14/2011
9/22/2011
8/18/2011
8/25/2011
9/27/2011
9/22/2011
8/9/2012
8/10/2012
8/3/2011
8/4/2011
12/11/2012
9/20/2012
3/16/2011
9/22/2011
9/8/2011
12/11/2012
4/15/2009
8/18/2011
9/21/2012
9/1/2011
9/21/2012
8/18/2011
9/15/2011
9/15/2011
7/20/2011
7/21/2011
7/21/2011
8/29/2012
4/24/2012
9/22/2011
5/27/2009
9/1/2011
9/15/2011
7/28/2011
9/15/2011
10/31/2012
6/16/2010
8/18/2011
12/23/2009
11/18/2009
7/14/2011
9/8/2011
9/15/2011
9/1/2011
9/15/2011
9/22/2011
10/31/2012
9/22/2011
8/11/2011
9/8/2011
8/11/2011
2/16/2011
8/18/2011
9/22/2011
10/19/2011
3/21/2012
1/27/2012

CPP
Investment
($thousands)
$110,000
87,631
70,000
57,500
50,000
43,000
36,282
35,539
35,500
24,900
24,000
23,000
24,300
57,500
22,000
21,100
20,699
20,000
20,000
19,891
18,215
20,400
23,200
18,000
17,836
20,749
17,000
15,568
15,540
15,500
15,000
15,000
15,000
17,243
14,964
22,000
13,795
13,644
13,533
13,000
9,698
12,720
13,900
12,660
12,500
12,000
12,000
12,000
11,600
11,000
12,000
10,900
10,449
10,189
10,000
10,000
10,000
10,000
9,960
9,516
9,495
10,000
9,294
8,950
6,319
8,750
8,700
13,669
4,000
7,723
7,700
12,700

Gross
Warrant
Warrant
Repurchase Proceeds
Date
($thousands)
9/15/2011
9/27/2011
9/20/2012
7/21/2011
6/29/2011
8/9/2012
8/9/2012
8/10/2012
8/10/2012
1/18/2012
7/6/2011
9/26/2012
8/10/2012
8/18/2011
12/11/2012
7/14/2011
9/22/2011
8/18/2011
8/25/2011
9/27/2011
9/22/2011
8/9/2012
8/10/2012
8/3/2011
8/4/2011
12/11/2012
9/20/2012
3/16/2011
9/22/2011
9/8/2011
12/11/2012
4/15/2009
8/18/2011
9/21/2012
9/1/2011
8/10/2012
8/18/2011
9/15/2011
9/15/2011
7/20/2011
7/21/2011
7/21/2011
8/29/2012
4/24/2012
9/22/2011
5/27/2009
9/1/2011
9/15/2011
7/28/2011
9/15/2011
10/31/2012
6/16/2010
8/18/2011
12/23/2009
11/18/2009
7/14/2011
9/8/2011
9/15/2011
9/1/2011
9/15/2011
9/22/2011
10/31/2012
9/22/2011
8/11/2011
9/8/2011
8/11/2011
2/16/2011
8/18/2011
9/22/2011
10/19/2011
3/21/2012
1/27/2012

$5,500
4,382
3,325
2,875
2,500
2,075
1,743
1,673
1,465
1,245
1,200
1,150
1,119
1,095
1,069
1,055
1,030
1,000
1,000
995
911
908
905
900
892
867
783
778
777
775
750
750
750
750
748
728
690
682
677
650
645
636
634
633
625
600
600
600
580
550
547
545
522
509
500
500
500
500
498
476
475
475
465
450
450
438
435
410
406
386
385
381

* Effective June 6, 2011, Northern State Bank changed its name to First Commerce Bank.
** CPP preferred auction participant

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

	
25

Issuer	Repurchases	of	Warrant	Preferreds	or	Warrant	Sub	Debt	
(continued)	

	

	
Institution Name
Country Bank Shares, Inc.**
Centrix Bank & Trust
Gulfstream Bancshares, Inc.
The Little Bank, Incorporated**
Metro City Bank**
Avenue Financial Holdings
First BancTrust Corporation
First Gothenburg Bancshares, Inc.**
FFW Corporation**
Hamilton State Bancshares
Guaranty Bancorp, Inc.
HPK Financial Corporation
Security California Bancorp
Western Illinois Bancshares, Inc.**
WashingtonFirst Bankshares, Inc.
Steele Street Bank Corporation
HomeTown Bankshares Corporation**
Cardinal Bancorp II, Inc.
Moscow Bancshares, Inc.
OSB Financial Services, Inc.
Heritage Bankshares, Inc.
McLeod Bancshares, Inc.
American State Bancshares
Gateway Bancshares, Inc.
Beach Business Bank
ICB Financial
Howard Bancorp, Inc.
TCB Corporation
Leader Bancorp, Inc.
Security Business Bancorp
Central Bancshares, Inc.
Three Shores Bancorporation, Inc**
United Financial Banking Companies, Inc.
Presidio Bank**
The Private Bank of California
Catskill Hudson Bancorp, Inc
First Freedom Bancshares, Inc.**
Financial Security Corporation
Southern Illinois Bancorp, Inc.
First Express of Nebraska Inc.
BlackRidge Financial, Inc.
Heartland Bancshares, Inc.
First ULB Corp.
York Traditions Bank
Southern Heritage Bancshares, Inc.
BNC Financial Group, Inc.
First Menasha Bancshares, Inc.
Germantown Capital Corporation**
Cache Valley Banking Company
Monument Bank
Capital Bancorp, Inc.
Western Reserve Bancorp, Inc.
Puget Sound Bank
First Colebrook Bancorp, Inc.
Mainline Bancorp, Inc.
1st Enterprise Bank
HillTop Community Bancorp, Inc.
SBT Bancorp, Inc.
Enterprise Financial Services Group, Inc.
SV Financial, Inc.
Grand Capital Corporation
California Bank of Commerce
Texas National Bancorporation
Franklin Bancorp, Inc.**
Capital Pacific Bancorp**
Community Business Bank**
Redwood Capital Bancorp
Pascack Bancorp, Inc.
Triad Bancorp, Inc.
AMB Financial Corporation
Centric Financial Corporation
Merchants and Manufacturers Bank Corporation

Repurchase
Date
11/29/2012
7/28/2011
8/18/2011
10/31/2012
10/31/2012
9/15/2011
10/24/2012
10/31/2012
11/30/2012
4/13/2011
9/15/2011
12/11/2012
9/15/2011
11/9/2012
8/4/2011
9/1/2011
10/31/2012
9/8/2011
12/5/2012
10/5/2011
8/11/2011
8/18/2011
11/2/2011
4/13/2012
6/27/2012
11/1/2012
9/22/2011
9/8/2011
11/24/2010
7/14/2011
7/6/2011
11/9/2012
9/15/2011
12/11/2012
9/1/2011
7/21/2011
11/9/2012
7/21/2011
8/25/2011
2/15/2012
9/12/2012
7/17/2012
4/22/2009
7/14/2011
9/8/2011
8/4/2011
9/15/2011
10/31/2012
7/14/2011
8/11/2011
12/30/2010
11/30/2012
8/11/2011
9/22/2011
3/9/2012
9/1/2011
4/21/2010
8/11/2011
8/25/2011
8/31/2011
9/8/2011
9/15/2011
5/19/2010
11/13/2012
11/9/2012
11/30/2012
7/21/2011
10/19/2011
9/22/2011
9/22/2011
7/14/2011
9/8/2011

CPP
Investment
($thousands)
7,525
7,500
7,500
7,500
7,700
7,400
7,350
7,570
7,289
7,000
6,920
9,000
6,815
11,422
6,842
11,019
10,000
6,251
6,216
6,100
10,103
6,000
6,000
6,000
6,000
6,000
5,983
9,720
5,830
5,803
5,800
5,677
5,658
10,800
5,450
3,000
8,700
5,000
5,000
5,000
5,000
7,000
4,900
4,871
4,862
4,797
4,797
4,967
4,640
4,734
4,700
4,700
4,500
4,500
4,500
6,000
4,000
4,000
4,000
4,000
4,000
4,000
3,981
5,097
4,000
3,976
3,800
3,756
3,700
3,674
6,056
3,510

Gross
Warrant
Warrant
Repurchase Proceeds
Date
($thousands)
11/29/2012
7/28/2011
8/18/2011
10/31/2012
10/31/2012
9/15/2011
10/24/2012
10/31/2012
11/30/2012
4/13/2011
9/15/2011
12/11/2012
9/15/2011
11/9/2012
8/4/2011
9/1/2011
10/31/2012
9/8/2011
12/5/2012
10/5/2011
8/11/2011
8/18/2011
11/2/2011
4/13/2012
6/27/2012
11/1/2012
9/22/2011
9/8/2011
11/24/2010
7/14/2011
7/6/2011
11/9/2012
9/15/2011
12/11/2012
9/1/2011
7/21/2011
11/9/2012
7/21/2011
8/25/2011
2/15/2012
9/12/2012
7/17/2012
4/22/2009
7/14/2011
9/8/2011
8/4/2011
9/15/2011
10/31/2012
7/14/2011
8/11/2011
12/30/2010
11/30/2012
8/11/2011
9/22/2011
3/9/2012
9/1/2011
4/21/2010
8/11/2011
8/25/2011
8/31/2011
9/8/2011
9/15/2011
5/19/2010
11/13/2012
11/9/2012
11/30/2012
7/21/2011
10/19/2011
9/22/2011
9/22/2011
7/14/2011
9/8/2011

376
375
375
375
374
370
368
366
362
350
346
344
341
339
332
331
319
313
311
305
303
300
300
300
300
300
299
292
292
290
290
285
283
281
273
263
259
250
250
250
250
248
245
244
243
240
240
240
238
237
235
235
225
225
225
220
200
200
200
200
200
200
199
197
194
192
190
188
185
184
182
176

 

* Effective June 6, 2011, Northern State Bank changed its name to First Commerce Bank.
** CPP preferred auction participant

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

26

Issuer	Repurchases	of	Warrant	Preferreds	or	Warrant	Sub	Debt	
(continued)	

	

	
Institution Name
Providence Bank
Mercantile Capital Corp.
First Bank of Charleston, Inc.
KS Bancorp Inc.**
California Oaks State Bank
FPB Financial Corp
Union Bank & Trust Company
Community Financial Shares, Inc.
Highlands Bancorp, Inc.
Fortune Financial Corporation
Frontier Bancshares, Inc
Citizens Community Bank
Veritex Holdings, Inc.
Redwood Financial, Inc.
Sound Banking Co.**
Peoples Bancshares of TN, Inc.**
Customers Bancorp, Inc.
Clover Community Bankshares, Inc.**
Regent Capital Corporation, Inc.
CBB Bancorp**
Deerfield Financial Corporation
Congaree Bancshares, Inc.**
First Resource Bank
Community Investors Bancorp, Inc.**
Layton Park Financial Group, Inc.**
Community 1st Bank
TriSummit Bank**
Bank of Commerce**
AmeriBank Holding Company, Inc.
First Alliance Bancshares, Inc.**
First Financial Bancshares, Inc.
Columbine Capital Corp.
Financial Services of Winger, Inc.
CenterBank**
Bank of Southern California, N.A.**
Titonka Bancshares, Inc.
Surrey Bancorp/Surrey Bank & Trust
Nationwide Bankshares, Inc.
TCNB Financial Corp
Fresno First Bank
Hometown Bancshares, Inc.**
Security Bancshares of Pulaski County, Inc.**
Merchants and Planters Bancshares, Inc.
Monadnock Bancorp, Inc.
American Premier Bancorp
Seacoast Commerce Bank
Signature Bancshares, Inc.
Birmingham Bloomfield Bancshares, Inc
Regional Bankshares Inc.**
PFSB Bancorporation, Inc.
First Commerce Bank*
Valley Financial Group, Ltd.
The Victory Bancorp, Inc.
First Advantage Bancshares, Inc.**
State Bank of Bartley,The
Hyperion Bank**
Bern Bancshares, Inc.
Community Bancshares of MS**
Bank Financial Services, Inc.**
BankGreenville Financial Corp.**
Banner County Ban Corporation
Farmers State Bankshares, Inc.
First State Bank of Mobeetie
Midwest Regional Bancorp
Green City Bancshares, Inc.
Butler Point, Inc.
Colonial American Bank
Corning Savings and Loan Association**
Community Bancshares of Kansas, Inc
Haviland Bancshares, Inc.
The Freeport State Bank

TOTAL

Repurchase
Date

CPP
Investment
($thousands)

9/15/2011
8/4/2011
7/21/2011
11/30/2012
12/8/2010
6/16/2010
9/22/2011
12/21/2012
9/22/2011
9/15/2011
10/6/2010
7/28/2011
8/25/2011
8/18/2011
11/13/2012
10/31/2012
12/28/2011
11/29/2012
7/21/2011
11/29/2012
9/8/2011
10/31/2012
9/15/2011
12/20/2012
11/29/2012
12/19/2012
11/29/2012
11/30/2012
9/15/2011
12/20/2012
9/22/2011
9/22/2011
9/1/2011
10/31/2012
12/20/2012
4/4/2012
12/29/2010
12/29/2010
8/3/2011
11/1/2012
11/30/2012
12/11/2012
9/7/2011
12/28/2012
1/26/2011
9/1/2011
12/15/2010
7/28/2011
11/9/2012
8/25/2011
3/28/2012
9/22/2011
9/22/2011
12/11/2012
9/22/2011
12/20/2012
9/1/2011
11/30/2012
12/20/2012
11/9/2012
7/28/2011
7/21/2011
4/14/2010
11/10/2009
7/14/2010
11/2/2011
10/26/2011
11/30/2012
7/18/2012
12/29/2010
12/19/2012

4,000
3,500
3,345
4,000
3,300
3,240
3,194
6,970
5,450
3,100
3,000
3,000
3,000
2,995
3,070
3,900
2,892
3,000
2,655
4,397
2,639
3,285
2,417
2,600
3,000
2,550
7,002
3,000
2,492
3,422
3,756
2,260
3,742
2,250
4,243
2,117
2,000
2,000
2,000
1,968
1,900
2,152
1,881
1,834
1,800
1,800
1,700
1,635
1,500
1,500
2,571
1,300
1,505
1,177
1,697
1,552
985
1,050
1,004
1,000
795
700
731
700
651
607
574
638
500
425
301

215

$2,064,798

Gross
Warrant
Warrant
Repurchase Proceeds
Date
($thousands)
9/15/2011
8/4/2011
7/21/2011
11/30/2012
12/8/2010
6/16/2010
9/22/2011
12/21/2012
9/22/2011
9/15/2011
10/6/2010
7/28/2011
8/25/2011
8/18/2011
11/13/2012
10/31/2012
12/28/2011
11/29/2012
7/21/2011
11/29/2012
9/8/2011
10/31/2012
9/15/2011
12/20/2012
11/29/2012
12/19/2012
11/29/2012
11/30/2012
9/15/2011
12/20/2012
9/22/2011
9/22/2011
9/1/2011
10/31/2012
12/20/2012
4/4/2012
12/29/2010
12/29/2010
8/3/2011
11/1/2012
11/30/2012
12/11/2012
9/7/2011
12/28/2012
1/26/2011
9/1/2011
12/15/2010
7/28/2011
11/9/2012
8/25/2011
3/28/2012
9/22/2011
9/22/2011
12/11/2012
9/22/2011
12/20/2012
9/1/2011
11/30/2012
12/20/2012
11/9/2012
7/28/2011
7/21/2011
4/14/2010
11/10/2009
7/14/2010
11/2/2011
10/26/2011
11/30/2012
7/18/2012
12/29/2010
12/19/2012

175
175
167
165
165
162
160
157
155
155
150
150
150
150
149
147
145
139
133
133
132
131
130
130
129
128
126
125
125
120
113
113
112
109
107
106
100
100
100
98
95
94
94
92
90
90
85
82
75
71
67
65
61
54
51
51
50
50
49
47
40
40
37
35
33
30
29
29
25
21
15

$96,194

* Effective June 6, 2011, Northern State Bank changed its name to First Commerce Bank.
** CPP preferred auction participant

	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

	
27

	

	
	
	
	
	
	
	
Appendix	II	–	Warrant	Disposition	Details	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

28

	
Old	National	Bancorp	(ONB)	
Repurchase	of	ONB	Warrant	
	
On May 6, 2009, Old National Bancorp (ONB) agreed to pay $1.20 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 813,008 shares of ONB at a strike price of $18.45 per share.
The warrant had an expiration date of December 12, 2018.

$ Thousands
$3,500

Old National Bancshares (ONB)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,000

$2,500

$2,000

$1,500
Final Bid - $1,200,000
$1,000
First Bid - $559,000
$500
Market Quotes

ONB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,220

$1,490

$1,353

Four market indications

Third Party

$1,969

$3,054

$3,054

Third party valuation estimates

Model Valuation

$1,070

$1,652

$1,326

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants
to provide third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions
for key inputs such as volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the
warrants immediately. The fixed cost of disposing of the warrants was taken into consideration when analyzing the company’s
determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

29

	
IBERIABANK	(IBKC)	
Repurchase	of	IBKC	Warrant	
	
On May 12, 2009, IBERIABANK Corporation (IBKC) agreed to pay $1.20 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 138,490 shares of IBKC at a strike price of $48.74
per share. The warrant had an expiration date of December 5, 2018.

$ Thousands
$2,500

IBERIABANK Corporation (IBKC)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,300
$2,100
$1,900
$1,700
$1,500
$1,300

Final Bid - $1,200,000

$1,100
$900
$700

First Bid - $620,000

$500
Market Quotes

IBKC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,350

$1,662

$1,566

Four market indications

Third Party

$1,370

$2,334

$2,334

Third party valuation estimates

Model Valuation

$1,156

$1,682

$1,421

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants
to provide third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions
for key inputs such as volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the
warrants immediately. The fixed cost of disposing of the warrants was taken into consideration when analyzing the company’s
determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

30

	
Sun	Bancorp,	Inc.	(SNBC)	
Repurchase	of	SNBC	Warrant	
	
On May 19, 2009, Sun Bancorp, Inc. (SNBC) agreed to pay $2.10 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 1,620,545 shares of SNBC at a strike price of $8.27 per
share. The warrant had an expiration date of January 9, 2019.

$ Thousands

Sun Bancorp (SNBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$4,300

$3,800

$3,300

$2,800

$2,300

Final Bid - $2,100,000

$1,800

$1,300
First Bid - $1,049,000
$800
Market Quotes

SNBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,080

$2,778

$2,096

Four market indications

Third Party

$2,000

$4,028

$4,028

Third party valuation estimates

Model Valuation

$1,974

$2,771

$2,252

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the external asset managers had not been hired. Treasury relied on financial modeling consultants
to provide third party input. The modeling consultants may not have had market expertise necessary to make reasonable assumptions
for key inputs such as volatility and dividend yield. 2) At that time, legislation may have required that Treasury dispose of the
warrants immediately. The fixed cost of disposing of the warrants was taken into consideration when analyzing the company’s
determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

31

	
FirstMerit	Corporation	(FMER)	
Repurchase	of	FMER	Warrant	
	
On May 21, 2009, FirstMerit Corporation (FMER) agreed to pay $5.03 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 952,260 shares of FMER at a strike price of $19.69 per
share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$8,000

Firstmerit Corporation (FMER)
Fair Market Value Estimates of US Treasury's Warrant Position

$7,000

$6,000

Final Bid - $5,025,000

$5,000

$4,000
First Bid - $3,186,000
$3,000

$2,000
Market Quotes

FMER
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$4,082

$6,543

$4,918

Four market indications

Third Party

$5,428

$7,532

$6,485

External asset manager's valuation estimates

Model Valuation

$4,871

$5,930

$5,400

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the common share price of FMER was $17.54 compared to the 20-day average price of $19.27.
This difference was taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

32

	
Independent	Bank	Corp.	(INDB)	
Repurchase	of	INDB	Warrant	
	
On May 21, 2009, Independent Bank Corp. (INDB) agreed to pay $2.20 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 481,664 shares of INDB at a strike price of $24.34
per share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$3,800

Independent Bank (INDB)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,300

$2,800

$2,300

Final Bid - $2,200,000

$1,800

$1,300
First Bid - $880,000
$800
Market Quotes

INDB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,444

$2,432

$2,104

Three market indications

Third Party

$2,293

$3,482

$2,885

External asset manager's valuation estimates

Model Valuation

$1,754

$2,965

$2,345

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

33

	
Alliance	Financial	Corporation	(ALNC)	
Repurchase	of	ALNC	Warrant	
	
On June 12, 2009, Alliance Financial Corporation (ALNC) agreed to pay $900,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 173,069 shares of ALNC at a strike price of
$23.33 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands
$1,300

Alliance Financial (ALNC)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,200
$1,100
$1,000
Final Bid - $900,000

$900
$800
$700
$600
$500
$400
First Bid - $320,000
$300
Market Quotes

ALNC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$554

$952

$762

Three market indications

Third Party

$899

$1,244

$990

External asset manager's valuation estimates

Model Valuation

$741

$895

$818

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

34

	
SCBT	Financial	Corporation	(SCBT)	
Repurchase	of	SCBT	Warrant	
	
On June 16, 2009, SCBT Financial Corporation (SCBT) agreed to pay $1.40 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 303,083 shares of SCBT at a strike price of
$32.06 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands

SCBT Financial (SCBT)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,500

$3,000

$2,500

$2,000

$1,500

Final Bid - $1,400,000

$1,000
First Bid - $694,060
$500
Market Quotes

SCBT
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$555

$1,789

$1,159

Five market indications

Third Party

$2,322

$3,261

$2,888

External asset manager's valuation estimates

Model Valuation

$1,137

$1,436

$1,281

Binomial option model adjusted for American style options

Market Quotes

Note 1) The third party modeled valuation assumed volatility of 46 percent. Treasury’s model assumed a significantly lower volatility
closer to the historic volatility of the company and observable market prices.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

35

	
Berkshire	Hills	Bancorp	(BHLB)	
Repurchase	of	BHLB	Warrant	
	
On June 17, 2009, Berkshire Hills Bancorp (BHLB) agreed to pay $1.04 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 226,330 shares of BHLB at a strike price of
$26.51 per share. The warrant had an expiration date of December 19, 2018.

Berkshire Hills (BHLB)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$2,100
$1,900
$1,700
$1,500
$1,300
$1,100

Final Bid - $1,040,000
First Bid - $875,000

$900
$700
$500
Market Quotes

BHLB
Valuation Estimates for Warrant
($ Thousands)
Market Quotes
Third Party
Model Valuation

Third Party

Low

High

Estimate

$509

$758

$611

$1,071

$1,974

$1,494

$827

$1,116

$971

Model Valuation

Details
Three market indications
External asset manager's valuation estimates
Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

36

	
Somerset	Hills	Bancorp	(SOMH)	
Repurchase	of	SOMH	Warrant	
	
On June 17, 2009, Somerset Hills Bancorp (SOMH) agreed to pay $275,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 163,065 shares of SOMH at a strike price of $6.82 per
share. The warrant had an expiration date of January 16, 2019.

$ Thousands

Somerset Hills (SOMH)
Fair Market Value Estimates of US Treasury's Warrant Position

$600
$550
$500
$450
$400
$350
$300

Final Bid - $275,000

$250
First Bid - $193,000

$200
$150
$100
Market Quotes

SOMH
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$122

$406

$266

Five market indications

Third Party

$374

$521

$447

External asset manager's valuation estimates

Model Valuation

$253

$299

$276

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

37

	
First	Niagara	Financial	Group	(FNFG)	
Repurchase	of	FNFG	Warrant	
	
On June 19, 2009, First Niagara Financial Group (FNFG) agreed to pay $2.70 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 953,096 shares of FNFG at a strike price of
$14.48 per share. The warrant had an expiration date of November 21, 2018.

First Niagara (FNFG)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$5,400
$4,900
$4,400
$3,900
$3,400
$2,900

Final Bid - $2,700,000

$2,400
$1,900
First Bid - $1,500,000
$1,400
$900
Market Quotes

FNFG
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$953

$2,383

$1,646

Five market indications

Third Party

$3,455

$4,995

$4,221

External asset manager's valuation estimates

Model Valuation

$2,444

$3,175

$2,807

Binomial option model adjusted for American style options

Market Quotes

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

38

	
HF	Financial	Corp.	(HFFC)	
Repurchase	of	HFFC	Warrant	
	
On June 29, 2009, HF Financial Corp. (HFFC) agreed to pay $650,000 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 302,419 shares of HFFC at a strike price of $12.40 per share. The
warrant had an expiration date of November 21, 2018.

$ Thousands

HF Financial (HFFC)
Fair Market Value Estimates of US Treasury's Warrant Position

$900

$800

$700
Final Bid - $650,000
Second Bid - $600,000

$600

$500

First Bid - $464,987

$400

$300

$200
Market Quotes

HFFC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$251

$720

$424

Three market indications

Third Party

$686

$822

$753

External asset manager's valuation estimates

Model Valuation

$505

$622

$563

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

39

	
State	Street	Corporation	(STT)	
Repurchase	of	STT	Warrant	
	
On July 1, 2009, State Street Corporation (STT) agreed to pay $60.00 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 2,788,104 shares of STT at a strike price of $53.80 per
share. The warrant had an expiration date of October 28, 2018.

$ Thousands
$80,000

State Street (STT)
Fair Market Value Estimates of US Treasury's Warrant Position

$70,000
Final Bid - $60,000,000

$60,000

$50,000

$40,000

$30,000

$20,000

$10,000
Market Quotes

STT
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$15,557

$48,400

$33,138

Seven market indications

Third Party

$46,087

$64,796

$55,344

External asset manager's valuation estimates

Model Valuation

$51,836

$61,612

$56,698

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

40

	
U.S.	Bancorp	(USB)	
Repurchase	of	USB	Warrant	
	
On July 8, 2009, U.S. Bancorp (USB) agreed to pay $139.00 million for the warrant held by Treasury which
entitled the holder of the warrant to purchase 32,679,102 shares of USB at a strike price of $30.29 per share.
The warrant had an expiration date of November 14, 2018.

US Bancorp (USB)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$191,000
$171,000
$151,000

Final Bid - $139,000,000

$131,000
First Bid - $115,000,000

Second Bid - $131,000,000

$111,000
$91,000
$71,000
$51,000
$31,000
$11,000
Market Quotes

USB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$12,091

$174,833

$127,122

Six market indications

Third Party

$107,514

$182,676

$144,442

External asset manager's valuation estimates

Model Valuation

$117,451

$164,038

$140,485

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

41

	
BB&T	Corporation	(BBT)	
Repurchase	of	BBT	Warrant	
	
On July 14, 2009, BB&T Corporation (BBT) agreed to pay $67.01 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 13,902,573 shares of BBT at a strike price of $33.81 per
share. The warrant had an expiration date of November 14, 2018.

$ Thousands

BB&T Corporation (BBT)
Fair Market Value Estimates of US Treasury's Warrant Position

$88,000

$78,000
Final Bid - $67,000,000

$68,000
Third Bid - $64,900,000
$58,000

$48,000
Second Bid - $41,700,000
$38,000

$28,000
First Bid - $20,854,000
$18,000
Market Quotes

BBT
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$22,939

$57,974

$36,341

Five market indications

Third Party

$42,681

$81,747

$61,588

External asset manager's valuation estimates

Model Valuation

$55,000

$78,000

$67,000

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

42

	
Goldman	Sachs	Group,	Inc.	(GS)	
Repurchase	of	GS	Warrant	
	
On July 21, 2009, Goldman Sachs Group, Inc. (GS) agreed to pay $1.10 billion for the warrant held by Treasury
which entitled the holder of the warrant to purchase 12,205,045 shares of GS at a strike price of $122.90 per
share. The warrant had an expiration date of October 28, 2018.

Goldman Sachs (GS)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$1,150,000
Final Bid - $1,100,000,000
$1,050,000

$950,000
Second Bid - $900,000,000
$850,000

$750,000

$650,000
First Bid - $600,000,000
$550,000
Market Quotes

GS
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$732,000

$917,000

$826,000

Seven market indications

Third Party

$899,000

$1,058,000

$993,000

External asset manager's valuation estimates

Model Valuation

$808,000

$995,000

$902,000

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the common share price of GS was $159.80 compared to the 20-day average price of $148.16.
This difference was taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

43

	
American	Express	Company	(AXP)	
Repurchase	of	AXP	Warrant	
	
On July 27, 2009, American Express Company (AXP) agreed to pay $340.00 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 24,264,129 shares of AXP at a strike price of
$20.95 per share. The warrant had an expiration date of January 9, 2019.

$ Thousands

American Express (AXP)
Fair Market Value Estimates of US Treasury's Warrant Position

$450,000

$400,000

$350,000

Final Bid - $340,000,000

$300,000
Second Bid - $260,000,000
$250,000
First Bid - $230,000,000
$200,000

$150,000
Market Quotes

AXP
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$175,400

$298,200

$218,700

Six market indications

Third Party

$269,384

$349,049

$309,000

External asset manager's valuation estimates

Model Valuation

$248,200

$321,600

$284,700

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

44

	
Bank	of	New	York	Mellon	Corporation	(BK)	
Repurchase	of	BK	Warrant	
	
On July 31, 2009, Bank of New York Mellon Corporation (BK) agreed to pay $136.00 million for the warrant
held by Treasury which entitled the holder of the warrant to purchase 14,516,129 shares of BK at a strike price
of $31.00 per share. The warrant had an expiration date of October 28, 2018.

$ Thousands

Bank of New York Mellon (BK)
Fair Market Value Estimates of US Treasury's Warrant Position

$165,000

$145,000
Final Bid - $136,000,000
Third Bid - $130,000,000

$125,000

Second Bid - $118,000,000

$105,000

$85,000
First Bid - $79,000,000
$65,000

$45,000
Market Quotes

BK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$55,000

$137,000

$94,000

Seven market indications

Third Party

$108,400

$164,100

$136,100

External asset manager's valuation estimates

Model Valuation

$109,500

$161,600

$135,200

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

45

	
Morgan	Stanley	(MS)	
Repurchase	of	MS	Warrant	
	
On August 5, 2009, Morgan Stanley (MS) agreed to pay $950.00 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 65,245,759 shares of MS at a strike price of $22.99 per
share. The warrant had an expiration date of October 28, 2018.

$ Thousands

Morgan Stanley (MS)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,100,000

$1,000,000
Final Bid - $950,000,000
Third Bid - $900,000,000

$900,000

Second Bid - $800,000,000
$800,000

$700,000

$600,000
First Bid - $500,000,000
$500,000

$400,000
Market Quotes

MS
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$495,000

$944,000

$731,000

Seven market indications

Third Party

$806,000

$1,002,000

$900,000

External asset manager's valuation estimates

Model Valuation

$749,915

$961,658

$855,218

Binomial option model adjusted for American style options

Note 1) At the time of the decision, the common share price of MS was $31.05 compared to the 20-day average price of $28.16. This
difference was taken under consideration in Treasury’s analysis of the company’s determination of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

46

	
Northern	Trust	Corporation	(NTRS)	
Repurchase	of	NTRS	Warrant	
	
On August 19, 2009, Northern Trust Corporation (NTRS) agreed to pay $87.00 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 3,824,624 shares of NTRS at a strike price of
$61.81 per share. The warrant had an expiration date of November 14, 2018.

$ Thousands

Northern Trust (NTRS)
Fair Market Value Estimates of US Treasury's Warrant Position

$120,000
$110,000
$100,000
Final Bid - $87,000,000

$90,000
$80,000

Second Bid - $75,000,000

$70,000
$60,000
$50,000
$40,000

First Bid - $37,000,000

$30,000
Market Quotes

NTRS
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$53,500

$79,700

$68,760

Six market indications

Third Party

$71,000

$101,000

$86,000

External asset manager's valuation estimates

Model Valuation

$70,800

$96,700

$83,800

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

47

	
Old	Line	Bancshares,	Inc.	(OLBK)	
Repurchase	of	OLBK	Warrant	
	
On August 20, 2009, Old Line Bancshares, Inc. (OLBK) agreed to pay $225,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 141,892 shares of OLBK at a strike price of $7.40
per share. The warrant had an expiration date of December 5, 2018.

Old Line Bancshares (OLBK)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$360

$310

$260
Final Bid - $225,000
$210
Second Bid - $205,000
First Bid - $175,000

$160

$110

$60

$10
Market Quotes

OLBK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$28

$167

$102

Four market indications

Third Party

$201

$308

$254

External asset manager's valuation estimates

Model Valuation

$172

$257

$214

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

48

	
Bancorp	Rhode	Island,	Inc.	(BARI)	
Repurchase	of	BARI	Warrant	
	
On September 21, 2009, Bancorp Rhode Island, Inc. (BARI) agreed to pay $1.40 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 192,967 shares of BARI at a strike price of $23.32
per share. The warrant had an expiration date of December 19, 2018.

Bancorp Rhode Island (BARI)
Fair Market Value Estimates of US Treasury's Warrant Position
$ Thousands
$1,800

$1,600
Final Bid - $1,400,000
$1,400

$1,200

Second Bid - $1,125,000

$1,000

First Bid - $856,773

$800

$600
Market Quotes

BARI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$703

$1,427

$1,166

Three market indications

Third Party

$1,196

$1,760

$1,476

External asset manager's valuation estimates

Model Valuation

$1,200

$1,643

$1,423

Binomial option model adjusted for American style options

Market Quotes

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

49

	
Manhattan	Bancorp	(MNHN)	
Repurchase	of	MNHN	Warrant	
	
On October 9, 2009, Manhattan Bancorp (MNHN) agreed to pay $63,364 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 29,480 shares of MNHN at a strike price of $8.65 per share.
The warrant had an expiration date of December 5, 2018.

$ Thousands

Manhattan Bancorp (MNHN)
Fair Market Value Estimates of US Treasury's Warrant Position

$78

$68

Final Bid - $63,364

$58

$48

$38

$28

$18

$8
Market Quotes

MNHN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$10

$57

$34

Two market indications

Third Party

$45

$54

$50

External asset manager's valuation estimates

Model Valuation

$48

$64

$56

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

50

	
CenterState	Banks,	Inc.	(CSFL)	
Repurchase	of	CSFL	Warrant	
	
On October 20, 2009, CenterState Banks, Inc. (CSFL) agreed to pay $212,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 125,413 shares of CSFL at a strike price of $16.67 per
share. The warrant had an expiration date of November 21, 2018.

$ Thousands

Centerstate Banks of Florida (CSFL)
Fair Market Value Estimates of US Treasury's Warrant Position

$290

$240
Final Bid - $212,000

$190
First Bid - $168,053

$140

$90
Market Quotes

CSFL
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$94

$143

$125

Three market indications

Third Party

$159

$268

$236

External asset manager's valuation estimates

Model Valuation

$153

$269

$206

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

51

	
CVB	Financial	Corp.	(CVBF)	
Repurchase	of	CVBF	Warrant	
	
On October 21, 2009, CVB Financial Corp. (CVBF) agreed to pay $1.31 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 834,761 shares of CVBF at a strike price of
$11.68 per share. The warrant had an expiration date of December 5, 2018.

$ Thousands

CVB Financial (CVBF)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,800

$1,600

$1,400
Final Bid - $1,307,000
$1,200
First Bid - $1,002,000

$1,000

$800

$600

$400
Market Quotes

CVBF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$551

$1,135

$917

Third Party

$785

$1,436

$1,110

External asset manager's valuation estimates

Model Valuation

$993

$1,711

$1,349

Binomial option model adjusted for American style options

Three market indications

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

52

	
Bank	of	the	Ozarks,	Inc.	(OZRK)	
Repurchase	of	OZRK	Warrant	
	
On November 18, 2009, Bank of the Ozarks, Inc. (OZRK) agreed to pay $2.65 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 379,811 shares of OZRK at a strike price of
$29.62 per share. The warrant had an expiration date of December 12, 2018.

$ Thousands

Bank of the Ozarks (OZRK)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,500

$3,000
Final Bid - $2,650,000
$2,500
First Bid - $2,160,743
$2,000

$1,500

$1,000
Market Quotes

OZRK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,230

$3,240

$2,210

Three market indications

Third Party

$1,880

$3,110

$2,480

External asset manager's valuation estimates

Model Valuation

$1,917

$3,095

$2,509

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

53

	
LSB	Corporation	(LSBX)	
Repurchase	of	LSBX	Warrant	
	
On December 8, 2009, LSB Corporation (LSBX) agreed to pay $560,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 209,497 shares of LSBX at a strike price of $10.74 per
share. The warrant had an expiration date of December 12, 2018.

$ Thousands
$1,000

LSB Corporation (LSBX)
Fair Market Value Estimates of US Treasury's Warrant Position

$900
$800
$700
$600

Final Bid - $560,000

$500

First Bid - $500,000

$400
$300
$200
$100
Market Quotes

LSBX
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$157

$883

$446

Four market indications

Third Party

$486

$773

$605

External asset manager's valuation estimates

Model Valuation

$459

$681

$569

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

54

	
Wainwright	Bank	of	Trust	Company	(WAIN)	
Repurchase	of	WAIN	Warrant	
	
On December 11, 2009, Wainwright Bank of Trust Company (WAIN) agreed to pay $568,700 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 390,071 shares of WAIN at a strike price
of $8.46 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands

Wainwright Bank and Trust (WAIN)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600
Final Bid - $568,700
$500

$400

$300

$200
Market Quotes

WAIN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$289

$780

$532

Four market indications

Third Party

$491

$776

$632

External asset manager's valuation estimates

Model Valuation

$449

$632

$541

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

55

	
WesBanco,	Inc.	(WSBC)	
Repurchase	of	WSBC	Warrant	
	
On December 11, 2009, WesBanco, Inc. (WSBC) agreed to pay $950,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 439,282 shares of WSBC at a strike price of $25.61 per
share. The warrant had an expiration date of December 5, 2018.

$ Thousands
$1,400

WesBanco, Inc. (WSBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,200

$1,000

Final Bid - $950,000
First Bid - $500,000

$800

$600

$400

$200

$0
Market Quotes

WSBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$132

$1,204

$577

Four market indications

Third Party

$371

$955

$643

External asset manager's valuation estimates

Model Valuation

$585

$1,119

$851

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

56

	
Union	Bankshares	Corporation	(UBSH)	
Repurchase	of	UBSH	Warrant	
	
On December 16, 2009, Union Bankshares Corporation (UBSH) agreed to pay $450,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 211,318 shares of UBSH at a strike price of
$20.94 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands

Union Bankshares (UBSH)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600

$500

Final Bid - $450,000

$400
First Bid - $400,000
$300

$200

$100
Market Quotes

UBSH
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$188

$687

$448

Four market indications

Third Party

$267

$595

$424

External asset manager's valuation estimates

Model Valuation

$279

$564

$410

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

57

	
Flushing	Financial	Corporation	(FFIC)	
Repurchase	of	FFIC	Warrant	
	
On December 28, 2009, Flushing Financial Corporation (FFIC) agreed to pay $900,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 375,806 shares of FFIC at a strike price of $13.97
per share. The warrant had an expiration date of December 19, 2018.

$ Thousands
$1,400

Flushing Financial (FFIC)
Estimates of Fair Market Value for US Treasury's Warrant Position

$1,300
$1,200
$1,100
$1,000
Final Bid - $900,000
$900
Third Bid - $860,000

$800
$700

Second Bid - $700,000

$600

First Bid - $597,000

$500
$400
$300
Market Quotes

FFIC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Low

High

Estimate

Market Quotes

$459

$1,240

$742

Third Party

$883

$1,131

$1,007

Model Valuation

$623

$1,090

$850

Model Valuation

Details
Three market indications
External asset manager's valuation estimates
Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

58

	
Trustmark	Corporation	(TRMK)	
Repurchase	of	TRMK	Warrant	
	
On December 29, 2009, Trustmark Corporation (TRMK) agreed to pay $10.00 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,647,931 shares of TRMK at a strike price of
$19.57 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands

Trustmark Corporation (TRMK)
Estimates of Fair Market Value of US Treasury's Warrant Position

$13,000
$12,000
$11,000
Final Bid - $10,000,000

$10,000

Third Bid - $9,600,000

$9,000

Second Bid - $9,200,000

$8,000

First Bid - $8,167,000

$7,000
$6,000
$5,000
$4,000
$3,000
Market Quotes

TRMK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$4,120

$10,547

$7,601

Four market indications

Third Party

$7,103

$10,942

$9,014

External asset manager's valuation estimates

Model Valuation

$7,876

$11,551

$9,704

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

59

	
OceanFirst	Financial	Corp.	(OCFC)	
Repurchase	of	OCFC	Warrant	
	
On January 21, 2010, OceanFirst Financial Corp. (OCFC) agreed to pay $430,797 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 190,427 shares of OCFC at a strike price of
$15.07 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands
$650

OceanFirst Financial Corp. (OCFC)
Fair Market Value Estimates of US Treasury's Warrant Position

$550

$450
Final Bid - $430,797
$350

$250

$150

$50
Market Quotes

OCFC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$152

$392

$281

Three market indications

Third Party

$308

$468

$388

External asset manager's valuation estimates

Model Valuation

$269

$508

$381

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

60

	
Monarch	Financial	Holdings,	Inc.	(MNRK)	
Repurchase	of	MNRK	Warrant	
	
On February 1, 2010, Monarch Financial Holdings, Inc. (MNRK) agreed to pay $260,000 for the warrant held
by Treasury which entitled the holder of the warrant to purchase 132,353 shares of MNRK at a strike price of
$8.33 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands

Monarch Financial Holdings, Inc. (MNRK)
Fair Market Value Estimates of US Treasury's Warrant Position

$450
$400
$350
$300
Final Bid - $260,000
$250

Second Bid - $250,000

$200

First Bid - $209,118

$150
$100
$50
$0
Market Quotes

MNRK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$132

$394

$263

Two market indications

Third Party

$201

$297

$260

External asset manager's valuation estimates

Model Valuation

$230

$321

$275

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

61

	
Umpqua	Holdings	Corporation	(UMPQ)	
Repurchase	of	UMPQ	Warrant	
	
On March 22, 2010, Umpqua Holdings Corporation (UMPQ) agreed to pay $4.50 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 1,110,898 shares of UMPQ at a strike price of
$14.46 per share. The warrant had an expiration date of November 14, 2018.

$ Thousands

Umpqua Holdings Corporation (UMPQ)
Fair Market Value Estimates of US Treasury's Warrant Position

$6,000
$5,500
$5,000
Final Bid - $4,500,000

$4,500
Third Bid - $4,250,000

$4,000
$3,500

Second Bid - $3,610,419

$3,000
$2,500
$2,000
First Bid - $2,055,161
$1,500
$1,000
Market Quotes

UMPQ
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$3,210

$344

$3,327

Two market indications

Third Party

$3,255

$5,088

$4,155

External asset manager's valuation estimates

Model Valuation

$3,361

$5,103

$4,265

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

62

	
City	National	Corporation	(CYN)	
Repurchase	of	CYN	Warrant	
	
On April 6, 2010, City National Corporation (CYN) agreed to pay $18.50 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,128,668 shares of CYN at a strike price of
$53.16 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands
$25,000

City National Corporation (CYN)
Fair Market Value Estimates of US Treasury's Warrant Position

$23,000
$21,000
Final Bid - $18,500,000

$19,000
$17,000

Second Bid - $17,500,000

$15,000
$13,000

First Bid - $11,900,000

$11,000
$9,000
Market Quotes

CYN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$12,585

$15,338

$14,278

Three market indications

Third Party

$14,298

$21,800

$18,016

External asset manager's valuation estimates

Model Valuation

$14,816

$21,947

$18,365

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

63

	
SVB	Financial	Group	(SIVB)	
Repurchase	of	SIVB	Warrant	
	
On June 8, 2010, SVB Financial Group (SIVB) agreed to pay $6.82 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 354,058 shares of SIVB at a strike price of $49.78 per
share. The warrant had an expiration date of December 12, 2018.

$Thousands
$10,000

SVB Financial Group (SIVB)
Fair Market Value Estimates of US Treasury's Warrant Position

$9,000
$8,000
Final Bid - $6,820,000

$7,000
$6,000

Second Bid - $6,200,000

$5,000
$4,000
First Bid - $3,800,000
$3,000
$2,000
Market Quotes

SIVB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$4,483

$6,289

$5,524

Three market indications

Third Party

$7,690

$9,040

$8,364

External asset manager's valuation estimates

Model Valuation

$5,704

$7,897

$6,782

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

64

	
Discover	Financial	Services	(DFS)	
Repurchase	of	DFS	Warrant	
	
On June 29, 2010, Discover Financial Services (DFS) agreed to pay $172.00 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 20,500,413 shares of DFS at a strike price of
$8.96 per share. The warrant had an expiration date of March 13, 2019.

$ Thousands
$220,000

Discover Financial Services (DFS)
Fair Market Value Estimates of US Treasury's Warrant Position

$210,000
$200,000
$190,000
$180,000
Second Bid - $172,000,000
$170,000
$160,000

First Bid - $165,000,000

$150,000
$140,000
$130,000
$120,000
Market Quotes

DFS
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$163,700

$168,103

$166,020

Three market indications

Third Party

$151,276

$187,655

$169,255

External asset manager's valuation estimates

Model Valuation

$137,293

$168,159

$152,404

Binomial option model adjusted for American style options

Note: The chart above shows Treasury’s warrant valuation analysis at the time of DFS’s last bid in late June 2010. Two months
earlier, DFS had placed bids of $165 million and $180 million on 4/23/10 and 5/4/10, respectively. At that time, DFS’s stock price
was approximately 10 percent higher than it was in late June 2010. Accordingly, the bids were below the midpoints of Treasury’s
various valuation metrics and were not accepted. When considering the $180 million bid in early May 2010, the midpoint valuation
estimates were as follows: market indications $189 million, third party $198 million, and Treasury’s model $186 million.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

65

	
Bar	Harbor	Bankshares	(BHB)	
Repurchase	of	BHB	Warrant	
	
On July 22, 2010, Bar Harbor Bankshares (BHB) agreed to pay $250,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 52,455 shares of BHB at a strike price of $26.81 per share.
The warrant had an expiration date of January 16, 2019.

$ Thousands
$500

Bar Harbor Bankshares (BHB)
Fair Market Value Estimates of US Treasury's Warrant Position

$450
$400
$350
$300
Second Bid - $250,000
$250
First Bid - $225,000

$200
$150
$100
$50
$0

Market Quotes

BHB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$189

$196

$193

Two market indications

Third Party

$239

$393

$315

External asset manager's valuation estimates

Model Valuation

$182

$329

$255

Binomial option model adjusted for American style options

Note: The chart above shows Treasury’s warrant valuation analysis at the time of BHB’s last bid of July 2010. Months earlier, BHB
had placed bids of $67,000 and $175,000 on 3/10/10 and 4/23/10, respectively. The bids were below Treasury’s various valuation
metrics at that time and were not accepted.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

66

	
Citizens	&	Northern	Corporation	(CZNC)	
Repurchase	of	CZNC	Warrant	
	
On August 25, 2010, Citizens & Northern Corporation (CZNC) agreed to pay $400,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 194,794 shares of CZNC at a strike price of
$20.36 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands
$1,000

Citizens and Northern Corporation (CZNC)
Fair Market Value Estimates of US Treasury's Warrant Position

$900
$800
$700
$600
$500
$400
First Bid - $400,000
$300
$200
$100
$0
Market Quotes

CZNC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$127

$378

$245

Three market indications

Third Party

$620

$890

$753

External asset manager's valuation estimates

Model Valuation

$217

$415

$316

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

67

	
Columbia	Banking	System	(COLB)	
Repurchase	of	COLB	Warrant	
	
On August 25, 2010, Columbia Banking System (COLB) agreed to pay $3.30 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 398,023 shares of COLB at a strike price of
$14.49 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands

Columbia Banking System, Inc. (COLB)
Fair Market Value Estimates of US Treasury's Warrant Position

$4,000
$3,500
$3,000
$2,500
First Bid - $3,301,647
$2,000
$1,500
$1,000
$500
$0
Market Quotes

COLB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,950

$3,383

$2,632

Four market indications

Third Party

$2,639

$3,454

$3,042

External asset manager's valuation estimates

Model Valuation

$2,497

$3,299

$2,893

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

68

	
The	Bancorp,	Inc.	(TBBK)	
Repurchase	of	TBBK	Warrant	
	
On September 2, 2010, The Bancorp, Inc. (TBBK) agreed to pay $4.75 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 980,203 shares of TBBK at a strike price of $3.46 per
share. The warrant had an expiration date of December 12, 2018.

$ Thousands
$6,000

The Bancorp, Inc. (TBBK)
Fair Market Value Estimates of US Treasury's Warrant Position

$5,500
$5,000
$4,500
First Bid - $4,753,985
$4,000
$3,500
$3,000
$2,500
$2,000
Market Quotes

TBBK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$3,666

$4,578

$4,122

Two market indications

Third Party

$4,558

$5,048

$4,960

External asset manager's valuation estimates

Model Valuation

$3,323

$3,881

$3,742

Binomial option model adjusted for American style options

Note: The chart above shows Treasury’s warrant valuation analysis at the time of TBBK’s last bid in early September 2010. Months
earlier, TBBK had placed bids of $3.55 million and $4.85 million on 3/15/10 and 3/29/10, respectively. At that time, TBBK’s stock
price was more than 20 percent higher than it was in September 2010. Accordingly the bids were below some of the midpoints of
Treasury’s various valuation metrics and were not accepted. When considering the $4.85 million bid in late March 2010, the midpoint
valuation estimates were as follows: market indications $6.0 million, third party $4.6 million, and Treasury’s model $4.8 million.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

69

	
Fulton	Financial	Corporation	(FULT)	
Repurchase	of	FULT	Warrant	
	
On September 3, 2010, Fulton Financial Corporation (FULT) agreed to pay $10.80 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 5,509,756 shares of FULT at a strike price of
$10.25 per share. The warrant had an expiration date of December 23, 2018.

$ Thousands

Fulton Financial Corporation (FULT)
Fair Market Value Estimates of US Treasury's Warrant Position

$20,000
$18,000
$16,000
$14,000
$12,000
Third Bid - $10,800,000
$10,000
Second Bid - $9,500,000
$8,000
First Bid - $8,000,000
$6,000
$4,000
$2,000
Market Quotes

FULT
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$8,525

$11,648

$10,288

Four market indications

Third Party

$6,832

$13,168

$9,918

External asset manager's valuation estimates

Model Valuation

$7,976

$13,155

$10,537

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

70

	
First	PacTrust	Bancorp,	Inc.	(FPTB)	
Repurchase	of	FPTB	Warrant	
	
On December 30, 2010, First PacTrust Bancorp, Inc. (FPTB) agreed to pay $1.00 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 280,795 shares of FPTB at a strike price of
$10.31 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands

First PacTrust Bancorp, Inc. (FPTB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,400

$1,200
Final Bid - $1,003,227
$1,000

$800

$600

$400
First Bid - $291,152
$200
Market Quotes

FPTB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Low

High

Estimate

Market Quotes

$686

$1,253

$966

Third Party

$848

$1,231

$1,034

Model Valuation

$693

$989

$837

Model Valuation

Details
Three market indications
External asset manager's valuation estimates
Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

71

	
Susquehanna	Bancshares,	Inc.	(SUSQ)	
Repurchase	of	SUSQ	Warrant	
	
On January 12, 2011, Susquehanna Bancshares, Inc. (SUSQ) agreed to pay $5.27 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 3,028,264 shares of SUSQ at a strike price of
$14.86per share. The warrant had an expiration date of December 12, 2018.

$ Thousands

Susquehanna Bancshares, Inc. (SUSQ)
Fair Market Value Estimates of US Treasury's Warrant Position

$8,000

$7,000

$6,000
Final Bid - $5,269,179
$5,000

First Bid - $4,481,804

$4,000

$3,000

$2,000
Market Quotes

SUSQ
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$4,282

$477

$4,572

Three market indications

Third Party

$4,421

$7,235

$5,441

External asset manager's valuation estimates

Model Valuation

$3,350

$6,720

$5,029

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

72

	
Huntington	Bancshares	Incorporated	(HBAN)	
Repurchase	of	HBAN	Warrant	
	
On January 13, 2011, Huntington Bancshares Incorporated (HBAN) agreed to pay $49.10 million for the
warrant held by Treasury which entitled the holder of the warrant to purchase 23,562,994 shares of HBAN at a
strike price of $8.90per share. The warrant had an expiration date of November 14, 2018.

$ Thousands

Huntington Bancshares Incorporated (HBAN)
Fair Market Value Estimates of US Treasury's Warrant Position

$70,000
$65,000
$60,000
$55,000
$50,000
Final Bid - $49,100,000
$45,000
$40,000
$35,000
$30,000
$25,000
$20,000
$15,000
$10,000
Market Quotes

HBAN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$41,235

$63,149

$48,125

Four market indications

Third Party

$32,069

$52,284

$42,038

External asset manager's valuation estimates

Model Valuation

$37,220

$57,182

$46,895

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

73

	
East	West	Bancorp,	Inc.	(EWBC)	
Repurchase	of	EWBC	Warrant	
	
On January 21, 2011, East West Bancorp, Inc. (EWBC) agreed to pay $14.50 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,517,555 shares of EWBC at a strike price of
$15.15 per share. The warrant had an expiration date of December 5, 2018.

$ Thousands

East West Bancorp, Inc. (EWBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$18,000
$17,000
$16,000
$15,000
Final Bid - $14,500,000
$14,000
$13,000
First Bid - $12,000,000
$12,000
$11,000
$10,000
Market Quotes

EWBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$12,645

$14,596

$13,655

Three market indications

Third Party

$12,701

$16,585

$14,588

External asset manager's valuation estimates

Model Valuation

$12,036

$15,754

$13,851

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

74

	
Sandy	Spring	Bancorp,	Inc.	(SASR)	
Repurchase	of	SASR	Warrant	
	
On February 11, 2011, Sandy Spring Bancorp, Inc. (SASR) agreed to pay $4.45 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 651,547 shares of SASR at a strike price of
$19.13 per share. The warrant had an expiration date of December 5, 2018.

$ Thousands

Sandy Spring Bancorp, Inc. (SASR)
Fair Market Value Estimates of US Treasury's Warrant Position

$6,000
$5,500
$5,000
Final Bid - $4,450,000

$4,500
Fourth Bid - $4,200,000

$4,000

Third Bid - $3,750,000

$3,500
Second Bid - $3,430,000
$3,000

First Bid - $3,076,946

$2,500
$2,000
$1,500
$1,000
Market Quotes

SASR
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$3,999

$4,291

$4,140

Three market indications

Third Party

$3,538

$5,021

$4,277

External asset manager's valuation estimates

Model Valuation

$3,582

$5,073

$4,323

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

75

	
Washington	Banking	Company	(WBCO)	
Repurchase	of	WBCO	Warrant	
	
On February 16, 2011, Washington Banking Company (WBCO) agreed to pay $1.63 million for the warrant
held by Treasury which entitled the holder of the warrant to purchase 246,082 shares of WBCO at a strike price
of $8.04 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands

Washington Banking Company (WBCO)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,900
$1,800
$1,700
Final Bid - $1,625,000
$1,600
Second Bid - $1,575,000
$1,500
$1,400
First Bid - $1,370,000
$1,300
$1,200
$1,100
Market Quotes

WBCO
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,599

$1,696

$1,647

Four market indications

Third Party

$1,405

$1,773

$1,585

External asset manager's valuation estimates

Model Valuation

$1,430

$1,708

$1,559

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

76

	
1st	Source	Corporation	(SRCE)	
Repurchase	of	SRCE	Warrant	
	
On March 2, 2011, 1st Source Corporation (SRCE) agreed to pay $3.75 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 837,947 shares of SRCE at a strike price of $19.87 per
share. The warrant had an expiration date of January 23, 2019.

$ Thousands

1st Source Corporation (SRCE)
Fair Market Value Estimates of US Treasury's Warrant Position

$5,500

$5,000

$4,500

$4,000
Second and Final Bids $3,750,000

$3,500

First Bid - $3,250,000

$3,000

$2,500

$2,000
Market Quotes

SRCE
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$3,233

$4,019

$3,755

Four market indications

Third Party

$2,566

$4,528

$3,527

External asset manager's valuation estimates

Model Valuation

$3,173

$4,820

$3,996

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

77

	
First	Horizon	National	Corporation	(FHN)	
Repurchase	of	FHN	Warrant	
	
On March 4, 2011, First Horizon National Corporation (FHN) agreed to pay $79.70 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 14,842,321 shares of FHN at a strike price of
$8.76 per share. The warrant had an expiration date of November 14, 2018.

$ Thousands

First Horizon National Corporation (FHN)
Fair Market Value Estimates of US Treasury's Warrant Position

$110,000
$105,000
$100,000
$95,000
$90,000
$85,000
Final Bid - $79,700,000

$80,000
$75,000
$70,000
$65,000
$60,000
$55,000
$50,000

First Bid - $51,948,124

$45,000
$40,000
Market Quotes

FHN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$57,240

$84,085

$70,318

Four market indications

Third Party

$64,119

$79,258

$74,063

External asset manager's valuation estimates

Model Valuation

$74,165

$95,802

$84,485

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

78

	
Fifth	Third	Bancorp	(FITB)	
Repurchase	of	FITB	Warrant	
	
On March 14, 2011, Fifth Third Bancorp (FITB) agreed to pay $280.03 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 43,617,747 shares of FITB at a strike price of $11.72 per
share. The warrant had an expiration date of December 31, 2018.

$ Thousands

Fifth Third Bancorp (FITB)
Fair Market Value Estimates of US Treasury's Warrant Position

$400,000
$380,000
$360,000
$340,000
$320,000
$300,000

Second and Final Bids $280,025,936

$280,000
First Bid - $273,919,451

$260,000
$240,000
$220,000
$200,000

Market Quotes

FITB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Estimate

Model Valuation

Low

High

Details

Market Quotes

$260,454

$298,019

$275,665 Three market indications

Third Party

$237,281

$312,739

$278,717 External asset manager's valuation estimates

Model Valuation

$250,920

$333,588

$273,919 Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

79

	
National	Penn	Bancshares,	Inc.	(NPBC)	
Repurchase	of	NPBC	Warrant	
	
On April 8, 2011, National Penn Bancshares, Inc. (NPBC) agreed to pay $1.00 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 735,294 shares of NPBC at a strike price of
$15.30 per share. The warrant had an expiration date of December 12, 2018.

$ Thousands
$1,800

National Penn Bancshares, Inc. (NPBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,600
$1,400
$1,200
Final Bid - $1,000,000
$1,000
Third Bid - $882,353
$800
Second Bid - $764,705
$600
First Bid - $485,924

$400
$200
Market Quotes

NPBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$791

$1,717

$1,187

Three market indications

Third Party

$538

$1,187

$847

External asset manager's valuation estimates

Model Valuation

$494

$1,142

$816

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

80

	
Bridge	Capital	Holdings	(BBNK)	
Repurchase	of	BBNK	Warrant	
	
On April 8, 2011, Bridge Capital Holdings (BBNK) agreed to pay $1.40 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 396,412 shares of BBNK at a strike price of $9.03
per share. The warrant had an expiration date of December 23, 2018.

$ Thousands

Bridge Capital Holdings (BBNK)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,000

$1,800

$1,600
Final Bid - $1,395,000

$1,400

$1,200
First Bid - $1,150,000
$1,000

$800

$600
Market Quotes

BBNK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$949

$1,700

$1,150

Three market indications

Third Party

$960

$1,323

$1,150

External asset manager's valuation estimates

Model Valuation

$999

$1,305

$1,150

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

81

	
KeyCorp	(KEY)	
Repurchase	of	KEY	Warrant	
	
On April 18, 2011,KeyCorp (KEY) agreed to pay $70.00 million for the warrant held by Treasury which
entitled the holder of the warrant to purchase 35,244,361 shares of KEY at a strike price of $10.64 per share.
The warrant had an expiration date of November 14, 2018.

$ Thousands

KeyCorp (KEY)
Fair Market Value Estimates of US Treasury's Warrant Position

$100,000

$90,000

$80,000
Final Bid - $70,000,000
$70,000
First Bid - $63,000,000
$60,000

$50,000

$40,000

$30,000
Market Quotes

KEY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$56,623

$69,843

$62,763

Three market indications

Third Party

$43,498

$80,467

$61,658

External asset manager's valuation estimates

Model Valuation

$46,886

$84,263

$65,537

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

82

	
Financial	Institutions,	Inc.	(FISI)	
Repurchase	of	FISI	Warrant	
	
On May 2, 2011, Financial Institutions, Inc. (FISI) agreed to pay $2.08 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 378,175 shares of FISI at a strike price of $14.88 per share.
The warrant had an expiration date of December 23, 2018.

$ Thousands

Financial Institutions, Inc. (FISI)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,500

$3,000

$2,500
Final Bid - $2,079,963
$2,000
Second Bid - $1,853,058
$1,500
First Bid - $1,418,156
$1,000

$500
Market Quotes

FISI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,275

$1,940

$1,669

Five market indications

Third Party

$2,090

$2,769

$2,428

External asset manager's valuation estimates

Model Valuation

$1,763

$2,391

$2,075

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

83

	
Sterling	Bancorp	(STL)	
Repurchase	of	STL	Warrant	
	
On May 13, 2011, Sterling Bancorp (STL) agreed to pay $945,775 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 516,817 shares of STL at a strike price of $12.19 per share. The
warrant had an expiration date of December 23, 2018.

$ Thousands

Sterling Bancorp (STL)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,500

$1,300

$1,100
Final Bid - $945,775
$900

$700

$500

$300
Market Quotes

STL
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$444

$734

$633

Four market indications

Third Party

$673

$1,193

$926

External asset manager's valuation estimates

Model Valuation

$657

$1,214

$935

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

84

	
Whitney	Holding	Company	/	Hancock	Holding	Company	(WTNY/HBHC)	
Repurchase	of	WTNY/HBHC	Warrant	
	
On May 13, 2011, Hancock Holding Company (HBHC) agreed to pay $6.90 million for the Whitney Holding
Company (WTNY) warrant held by Treasury which entitled the holder of the warrant to purchase 1,100,000
shares of HBHC at a strike price of $40.91 per share. The warrant had an expiration date of December 19,
2018.

$ Thousands

Whitney Holding Corporation (WTNY)
Fair Market Value Estimates of US Treasury's Warrant Position

$10,000

$9,000

$8,000
Final Bid - $6,900,000

$7,000

$6,000
First Bid - $6,000,000
$5,000

$4,000

$3,000
Market Quotes

WTNY / HBHC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$3,810

$6,259

$4,920

Three market indications

Third Party

$4,290

$8,360

$6,193

External asset manager's valuation estimates

Model Valuation

$4,411

$8,334

$6,367

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

85

	
Home	Bancshares,	Inc.	(HOMB)	
Repurchase	of	HOMB	Warrant	
	
On July 21, 2011, Home Bancshares, Inc. (HOMB) agreed to pay $1.30 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 158,472 shares of HOMB at a strike price of
$23.66 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands
$2,000

Home Bancshares, Inc. (HOMB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,800
$1,600
$1,400

Final Bid - $1,300,000

$1,200
$1,000
$800
First Bid - $697,275
$600
$400
$200
Market Quotes

HOMB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,000

$1,297

$1,149

Four market indications

Third Party

$1,137

$1,644

$1,386

External asset manager's valuation estimates

$999

$1,446

$1,220

Binomial option model adjusted for American style options

Model Valuation

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

86

	
MidWestOne	Financial	Group,	Inc.	(MOFG)	
Repurchase	of	MOFG	Warrant	
	
On July 21, 2011,MidWestOne Financial Group, Inc. (MOFG) agreed to pay $1.00 million for the warrant held
by Treasury which entitled the holder of the warrant to purchase 198,675.5 shares of MOFG at a strike price of
$10.31 per share. The warrant had an expiration date of February 6, 2019.

$ Thousands

MidWestOne Financial Group, Inc. (MOFG)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,400
$1,300
$1,200
$1,100
Final Bid - $1,000,000

$1,000

Second Bid - $950,000

$900
$800
First Bid - $800,000
$700
$600
$500
$400
Market Quotes

MOFG
Valuation Estimates for Warrant
($ Thousands)
Market Quotes
Third Party
Model Valuation

Third Party

Low

High

Estimate

$703

$946

$861

$1,011

$1,347

$1,177

$735

$1,024

$878

Model Valuation

Details
Three market indications
External asset manager's valuation estimates
Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

87

	
Heritage	Financial	Corporation	(HFWA)	
Repurchase	of	HFWA	Warrant	
	
On August 5, 2011, Heritage Financial Corporation (HFWA) agreed to pay $450,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 138,037 shares of HFWA at a strike price of
$13.04 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands

Heritage Financial Corporation (HFWA)
Fair Market Value Estimates of US Treasury's Warrant Position

$600

$500
Final Bid - $450,000
Third Bid - $390,000

$400

Second Bid - $372,000
First Bid - $285,737

$300

$200

$100

$0
Market Quotes

HFWA
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$287

$469

$391

Three market indications

Third Party

$366

$567

$465

External asset manager's valuation estimates

Model Valuation

$318

$515

$413

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

88

	
First	California	Financial	Group,	Inc.	(FCAL)	
Repurchase	of	FCAL	Warrant	
	
On August 9, 2011, First California Financial Group, Inc. (FCAL) agreed to pay $599,042 for the warrant held
by Treasury which entitled the holder of the warrant to purchase 599,042 shares of FCAL at a strike price of
$6.26 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands

First California Financial Group, Inc. (FCAL)
Fair Market Value Estimates of US Treasury's Warrant Position

$800
$700
Final Bid - $599,042

$600
$500
$400
$300
$200
$100
$0

Market Quotes

FCAL
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$150

$419

$262

Four market indications

Third Party

$497

$752

$646

External asset manager's valuation estimates

Model Valuation

$341

$556

$464

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

89

	
West	Bancorporation,	Inc.	(WTBA)	
Repurchase	of	WTBA	Warrant	
	
On August 23, 2011, West Bancorporation, Inc. (WTBA) agreed to pay $700,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 474,100 shares of WTBA at a strike price of
$11.39 per share. The warrant had an expiration date of December 31, 2018.

$ Thousands
$1,100

West Bancorporation, Inc. (WTBA)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,000
$900
$800
Final Bid - $700,000
$700
$600

Second Bid - $559,438

$500
$400

First Bid - $355,575

$300
$200
$100
Market Quotes

WTBA
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$583

$920

$743

Three market indications

Third Party

$488

$896

$687

External asset manager's valuation estimates

Model Valuation

$526

$907

$713

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

90

	
Codorus	Valley	Bancorp,	Inc.	(CVLY)	
Repurchase	of	CVLY	Warrant	
	
On August 31, 2012, Codorus Valley Bancorp, Inc. (CVLY) agreed to pay $526,604 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 263,859 shares of CVLY at a strike price of $9.38
per share. The warrant had an expiration date of January 9, 2019.

$ Thousands

Codorus Valley Bancorp, Inc. (CVLY)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600
Final Bid - $526,604
$500

$400

$300

$200

$100
Market Quotes

CVLY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$225

$526

$397

Three market indications

Third Party

$325

$469

$396

External asset manager's valuation estimates

Model Valuation

$414

$606

$508

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

91

	
DNB	Financial	Corporation	(DNBF)	
Repurchase	of	DNBF	Warrant	
	
On August 31, 2011, DNB Financial Corporation (DNBF) agreed to pay $458,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 186,311 shares of DNBR at a strike price of $9.46
per share. The warrant had an expiration date of January 30, 2019.

$ Thousands

DNB Financial Corporation (DNBF)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600

$500

Final Bid - $458,000

$400
First Bid - $373,000
$300

$200

$100
Market Quotes

DNBF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$279

$723

$521

Three market indications

Third Party

$266

$341

$305

External asset manager's valuation estimates

Model Valuation

$390

$539

$464

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

92

	
Summit	State	Bank	(SSBI)	
Repurchase	of	SSBI	Warrant	
	
On September 8, 2011, Summit State Bank (SSBI) agreed to pay $315,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 239,212 shares of SSBI at a strike price of $5.33 per share.
The warrant had an expiration date of December 19, 2018.

$ Thousands

Summit State Bank (SSBI)
Fair Market Value Estimates of US Treasury's Warrant Position

$500
$450
$400
$350
Final Bid - $315,000
$300

Second Bid - $303,000
First Bid - $270,000

$250
$200
$150
$100

Market Quotes

SSBI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$248

$367

$311

Three market indications

Third Party

$242

$368

$305

External asset manager's valuation estimates

Model Valuation

$269

$383

$324

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

93

	
Central	Valley	Community	Bancorp	(CVCY)	
Repurchase	of	CVCY	Warrant	
	
On September 9, 2011, Central Valley Community Bancorp (CVCY) agreed to pay $185,017 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 79,067 shares of CVCY at a strike price
of $6.64 per share. The warrant had an expiration date of January 30, 2019.

$ Thousands

Central Valley Community Bancorp (CPBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$350

$300

$250

$200
Final Bid - $185,017
$150

$100

$50

$0
Market Quotes

CVCY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$75

$153

$108

Three market indications

Third Party

$184

$229

$206

External asset manager's valuation estimates

Model Valuation

$128

$174

$156

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

94

	
Great	Southern	Bancorp	(GSBC)	
Repurchase	of	GSBC	Warrant	
	
On September 15, 2011, Great Southern Bancorp (GSBC) agreed to pay $6.44 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 909,091 shares of GSBC at a strike price of $9.57
per share. The warrant had an expiration date of December 5, 2018.

$ Thousands

Great Southern Bancorp, Inc. (GSBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$8,000
$7,500
$7,000
Second and Final Bids - $6,436,364

$6,500
$6,000
$5,500
$5,000
$4,500

First Bid - $4,500,000
$4,000
$3,500
$3,000
Market Quotes

GSBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$6,198

$7,480

$6,669

Three market indications

Third Party

$5,255

$6,318

$5,791

External asset manager's valuation estimates

Model Valuation

$6,080

$6,717

$6,296

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

95

	
Heartland	Financial	USA,	Inc.	(HTLF)	
Repurchase	of	HTFL	Warrant	
	
On September 16, 2011, Heartland Financial USA, Inc. (HTLF) agreed to pay $1.80 million for the warrant
held by Treasury which entitled the holder of the warrant to purchase 609,687 shares of HTLF at a strike price
of $20.10 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands
$2,600

Heartland Financial USA, Inc. (HTLF)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,400
$2,200
$2,000
Final Bid - $1,800,000
$1,800
$1,600
$1,400
$1,200
$1,000
$800
$600
$400
Market Quotes

HTLF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$854

$1,634

$1,296

Four market indications

Third Party

$878

$1,725

$1,286

External asset manager's valuation estimates

$1,339

$2,156

$1,732

Binomial option model adjusted for American style options

Model Valuation

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

96

	
MutualFirst	Financial,	Inc.	(MFSF)	
Repurchase	of	MFSF	Warrant	
	
On September 20, 2011, MutualFirst Financial, Inc. (MFSF) agreed to pay $900,194 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 625,135 shares of MFSF at a strike price of
$7.77per share. The warrant had an expiration date of December 23, 2018.

$ Thousands

MutualFirst Financial, Inc. (MFSF)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,500

$1,300

$1,100
Final Bid - $900,194

$900

$700
Second Bid - $562,622
$500
First Bid - $312,567
$300

$100
Market Quotes

MFSF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$499

$1,048

$748

Three market indications

Third Party

$662

$1,018

$838

External asset manager's valuation estimates

Model Valuation

$700

$1,113

$906

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

97

	
Oak	Valley	Bancorp	(OVLY)	
Repurchase	of	OVLY	Warrant	
	
On September 20, 2011, Oak Valley Bancorp (OVLY) agreed to pay $560,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 350,346 shares of OVLY at a strike price of $5.78 per
share. The warrant had an expiration date of December 5, 2018.

$ Thousands

Oak Valley Bancorp (OVLY)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600
Final Bid - $560,000
Second Bid - $507,464
$500

First Bid - $408,316
$400

$300

$200
Market Quotes

OVLY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$395

$683

$548

Three market indications

Third Party

$488

$642

$564

External asset manager's valuation estimates

Model Valuation

$396

$549

$472

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

98

	
Community	Bank	Shares	of	Indiana,	Inc.	(CBIN)	
Repurchase	of	CBIN	Warrant	
	
On October 4, 2011, Community Bank Shares of Indiana, Inc. (CBIN) agreed to pay $1.10 million for the
warrant held by Treasury which entitled the holder of the warrant to purchase 386,270 shares of CBIN at a
strike price of $7.56 per share. The warrant had an expiration date of May 29, 2019.

$ Thousands

Community Bank Shares of Indiana, Inc. (CBIN)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,400
$1,300
$1,200
Final Bid - $1,100,870

$1,100
$1,000
$900
$800
$700
$600
$500
$400

Market Quotes

CBIN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$707

$1,004

$858

Three market indications

Third Party

$684

$838

$758

External asset manager's valuation estimates

Model Valuation

$882

$1,156

$1,014

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

99

	
Stewardship	Financial	Corporation	(SSFN)	
Repurchase	of	SSFN	Warrant	
	
On October 11, 2011, Stewardship Financial Corporation (SSFN) agreed to pay $107,398 for the warrant held
by Treasury which entitled the holder of the warrant to purchase 133,475 shares of SSFN at a strike price of
$11.24 per share. The warrant had an expiration date of January 30, 2019.

$ Thousands

Stewardship Financial Corporation (SSFN)
Fair Market Value Estimates of US Treasury's Warrant Position

$160
$140
$120
Final Bid - $107,398
$100
$80
$60
$40
$20
$0
Market Quotes

SSFN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$8

$95

$60

Four market indications

Third Party

$47

$101

$72

External asset manager's valuation estimates

Model Valuation

$60

$120

$89

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

100

	
Central	Bancorp	(CEBK)	
Repurchase	of	CEBK	Warrant	
	
On October 12, 2011, Central Bancorp (CEBK) agreed to pay $2.53 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 234,742 shares of CEBK at a strike price of $6.39 per
share. The warrant had an expiration date of December 5, 2018.

$ Thousands

Central Bancorp (CEBK)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,700

$2,600
Final Bid - $2,525,000
$2,500

Intrinsic Value

Fourth Bid - $2,400,000

$2,400

Third Bid - $2,300,000

$2,300

Discounted Intrinsic Value

Second Bid - $2,200,000

$2,200

First Bid - $2,100,000

$2,100

$2,000
Market Quotes

CEBK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2,405

$2,539

$2,497

Four market indications

Third Party

$2,288

$2,288

$2,288

External asset manager's valuation estimates

Model Valuation

$2,526

$2,526

$2,526

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

101

	
Bank	of	Commerce	Holdings	(BOCH)	
Repurchase	of	BOCH	Warrant	
	
On October 17, 2011, Bank of Commerce Holdings (BOCH) agreed to pay $125,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 405,405 shares of BOCH at a strike price of $6.29
per share. The warrant had an expiration date of November 14, 2019.

$ Thousands

Bank of Commerce Holdings (BOCH)
Fair Market Value Estimates of US Treasury's Warrant Position

$250

$200

$150
Final Bid - $125,000

$100
First Bid - $95,640

$50

$0
Market Quotes

BOCH
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$50

$142

$101

Four market indications

Third Party

$69

$138

$101

External asset manager's valuation estimates

Model Valuation

$76

$170

$122

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

102

	
Community	Partners	Bancorp	(CPBC)	
Repurchase	of	CPBC	Warrant	
	
On October 18, 2011, Community Partners Bancorp (CPBC) agreed to pay $460,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 311,972 shares of CPBC at a strike price of $4.33
per share. The warrant had an expiration date of January 30, 2019.

$ Thousands

Community Partners Bancorp (CPBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$700

$600

$500
Final Bid - $460,000
Fourth Bid - $415,000
$400

Third Bid - $385,000
Second Bid - $375,000

$300

First Bid - $200,000

$200

$100
Market Quotes

CPBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$357

$578

$459

Three market indications

Third Party

$381

$481

$446

External asset manager's valuation estimates

Model Valuation

$382

$534

$457

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

103

	
Ameriserv	Financial,	Inc.	(ASRV)	
Repurchase	of	ASRV	Warrant	
	
On October 27, 2011, Ameriserv Financial, Inc. (ASRV) agreed to pay $825,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,312,500 shares of ASRV at a strike price of
$2.40 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands
$1,200

Ameriserv Financial, Inc. (ASRV)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,100
$1,000
$900
Final Bid - $825,000
$800

Fourth Bid - $812,000
Third Bid - $708,000

$700

Second Bid - $658,847

$600
$500
First Bid - $392,000

$400
$300

Market Quotes

ASRV
Valuation Estimates for Warrant
($ Thousands)

Third Party

Low

High

Estimate

Market Quotes

$515

$978

$708

Third Party

$893

$1,168

$1,108

Model Valuation

$598

$851

$722

Model Valuation

Details
Four market indications
External asset manager's valuation estimates
Binomial option model adjusted for American style options

Note: The third party asset manager’s volatility assumption did not reflect the market limits on volatility realized by Treasury in the
warrant auctions held to date.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

104

	
First	Northern	Community	Bancorp	(FNRN)	
Repurchase	of	FNRN	Warrant	
	
On October 28, 2011, First Northern Community Bancorp (FNRN) agreed to pay $375,000for the warrant held
by Treasury which entitled the holder of the warrant to purchase 352,977 shares of FNRN at a strike price of
$7.39 per share. The warrant had an expiration date of March 13, 2019.

$ Thousands

First Northern Community Bancorp (FNRN)
Fair Market Value Estimates of US Treasury's Warrant Position

$700

$600

$500

$400
Final Bid - $375,000
$300
Second Bid - $300,000
First Bid - $230,000

$200

$100

$0
Market Quotes

FNRN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$49

$382

$248

Four market indications

Third Party

$407

$581

$508

External asset manager's valuation estimates

Model Valuation

$281

$415

$359

Binomial option model adjusted for American style options

Note: The third party asset manager’s volatility assumption did not reflect the market limits on volatility realized by Treasury in the
warrant auctions held to date.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

105

	
Salisbury	Bancorp,	Inc.	(SAL)
Repurchase	of	SAL	Warrant	
	
On October 28, 2011, Salisbury Bancorp, Inc. (SAL) agreed to pay $205,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 57,671 shares of SAL at a strike price of $22.93 per share.
The warrant had an expiration date of March 13, 2019.

$ Thousands

Salisbury Bancorp, Inc. (SAL)
Fair Market Value Estimates of US Treasury's Warrant Position

$400
$350
$300
$250
Final Bid - $205,000
$200
Second & Third Bids - $201,849
$150
$100

First Bid - $112,747

$50
$0
Market Quotes

SAL
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$50

$235

$159

Three market indications

Third Party

$236

$345

$311

External asset manager's valuation estimates

Model Valuation

$129

$222

$175

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

106

	
Citizens	South	Banking	Corporation	(CSBC)	
Repurchase	of	CSBC	Warrant	
	
On November 2, 2011, Citizens South Banking Corporation (CSBC) agreed to pay $225,157 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 450,314 shares of CSBC at a strike price
of $6.83 per share. The warrant had an expiration date of December 19, 2018.

$ Thousands

Citizens South Banking Corporation (CSBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$450
$400
$350
$300
$250
Final Bid - $223,157
$200
First Bid - $144,100

$150
$100
$50

Market Quotes

CSBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$89

$268

$183

Three market indications

Third Party

$207

$360

$284

External asset manager's valuation estimates

Model Valuation

$138

$289

$223

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

107

	
Shore	Bancshares,	Inc.	(SHBI)	
Repurchase	of	SHBI	Warrant	
	
On November 2, 2011, Shore Bancshares, Inc. (SHBI) agreed to pay $25,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 172,970 shares of SHBI at a strike price of $21.68 per
share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$50

Shore Bancshares, Inc. (SHBI)
Fair Market Value Estimates of US Treasury's Warrant Position

$40

$30

Final Bid - $25,000

$20

$10

$0
Market Quotes

SHBI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2

$43

$25

Four market indications

Third Party

$3

$31

$13

External asset manager's valuation estimates

Model Valuation

$9

$46

$22

Binomial option model adjusted for American style options

Note: SHBI’s initial determination of $254,495 was placed in May 2009 at which time the 20-day average stock price was $18.37 and
the bank’s determination was significantly below all of Treasury’s various valuation metrics of fair market value.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

108

	
QCR	Holdings,	Inc.	(QCRH)	
Repurchase	of	QCRH	Warrant	
	
On November 8, 2011, QCR Holdings, Inc. (QCRH) agreed to pay $1.10 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 521,888 shares of QCRH at a strike price of
$10.99 per share. The warrant had an expiration date of February 13, 2019.

$ Thousands

QCR Holdings, Inc. (QCRH)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,000
$1,800
$1,600
$1,400
$1,200

Final Bid - $1,100,000

$1,000
Second Bid - $850,000
$800
$600
First Bid - $550,400
$400
$200
$0
Market Quotes

QCRH
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$647

$1,462

$1,086

Four market indications

Third Party

$731

$1,242

$981

External asset manager's valuation estimates

Model Valuation

$660

$1,087

$862

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

109

	
Emclaire	Financial	Corp.	(EMCF)	
Repurchase	of	EMCF	Warrant	
	
On November 16 2011, Emclaire Financial Corp. (EMCF) agreed to pay $51,113 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 50,111 shares of EMCF at a strike price of $22.45
per share. The warrant had an expiration date of December 23, 2018.

$ Thousands

Emclaire Financial Corp. (EMCF)
Fair Market Value Estimates of US Treasury's Warrant Position

$100
$90
$80
$70
$60
$50
Final Bid - $51,113
$40
$30
$20
$10
$0
Market Quotes

EMCF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2

$64

$34

Three market indications

Third Party

$23

$58

$40

External asset manager's valuation estimates

Model Valuation

$37

$90

$61

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

110

	
Center	Bancorp,	Inc.	(CNBC)	
Repurchase	of	CNBC	Warrant	
	
On November 22, 2011, Center Bancorp, Inc. (CNBC) agreed to pay $245,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 86,705 shares of CNBC at a strike price of $8.65 per share.
The warrant had an expiration date of January 9, 2019.

$ Thousands

Center Bancorp, Inc. (CNBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$400

$350

$300

Final Bid $245,000

$250

Third Bid - $221,824

$200

Second Bid - $200,288
$150
First Bid - $143,063
$100

$50
Market Quotes

CNBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$142

$324

$217

Four market indications

Third Party

$176

$261

$218

External asset manager's valuation estimates

Model Valuation

$194

$277

$235

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

111

	
First	Midwest	Bancorp,	Inc.	(FMBI)	
Repurchase	of	FMBI	Warrant	
	
On December 6, 2011, First Midwest Bancorp, Inc. (FMBI) agreed to pay $900,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,305,230 shares of FMBI at a strike price of
$22.18 per share. The warrant had an expiration date of December 15, 2018.

$ Thousands

First Midwest Bancorp, Inc. (FMBI)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,000
$1,800
$1,600
$1,400
$1,200
$1,000

Final Bid - $900,000

$800
$600
$400
$200
$0
Market Quotes

FMBI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$451

$1,788

$939

Four market indications

Third Party

$326

$1,266

$718

External asset manager's valuation estimates

Model Valuation

$436

$1,415

$835

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

112

	
North	Central	Bancshares,	Inc.	(FFFD)	
Repurchase	of	FFFD	Warrant	
	
On January 4, 2012, North Central Bancshares, Inc. (FFFD) agreed to pay $600,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 99,157 shares of FFFD at a strike price of $15.43
per share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$900

North Central Bancshares, Inc. (FFFD)
Fair Market Value Estimates of US Treasury's Warrant Position

$800

$700

$600
Final Bid - $600,000
$500
Second Bid - $500,000
$400
First Bid - $396,628
$300

$200
Market Quotes

FFFD
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$389

$752

$603

Four market indications

Third Party

$402

$639

$513

External asset manager's valuation estimates

Model Valuation

$472

$683

$574

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

113

	
Pathfinder	Bancorp,	Inc.	(PBHC)	
Repurchase	of	PBHC	Warrant	
	
On January 27, 2012, Pathfinder Bancorp, Inc. (PBHC) agreed to pay $537,633 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 154,354 shares of PBHC at a strike price of $6.58
per share. The warrant had an expiration date of September 11, 2019.

$ Thousands
$750

Pathfinder Bancorp, Inc. (PBHC)
Fair Market Value Estimates of US Treasury's Warrant Position

$700
$650
$600
$550
Final Bid - $537,633
$500
$450
First Bid - $453,801
$400
$350
$300
Market Quotes

PBHC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$450

$543

$488

Three market indications

Third Party

$520

$642

$580

External asset manager's valuation estimates

Model Valuation

$413

$522

$467

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

	
114

	
Peoples	Bancorp,	Inc.	(PEBO)	
Repurchase	of	PEBO	Warrant	
	
On February 3, 2012, Peoples Bancorp, Inc. (PEBO) agreed to pay $1.20 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 313,505 shares of PEBO at a strike price of
$18.66 per share. The warrant had an expiration date of January 30, 2019.

$ Thousands
$1,600

Peoples Bancorp Inc. (PEBO)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,500
$1,400
$1,300
Final Bid - $1,200,724

$1,200
$1,100

Second Bid - $950,000

$1,000
$900
$800
$700
$600

First Bid - $475,000

$500
$400
$300
$200

Market Quotes

PEBO
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$633

$1,236

$1,008

Three market indications

Third Party

$875

$1,376

$1,122

External asset manager's valuation estimates

Model Valuation

$863

$1,341

$1,101

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

115

	
New	Hampshire	Thrift	Bancshares,	Inc.	(NHTB)	
Repurchase	of	NHTB	Warrant	
	
On February 9, 2012, New Hampshire Thrift Bancshares, Inc. (NHTB) agreed to pay $737,100 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 184,275 shares of NHTB at a strike price
of $8.14 per share. The warrant had an expiration date of January 16, 2019.

$ Thousands
$1,200

New Hampshire Thrift Bancshares (NHTB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,100
$1,000
$900
$800

Final Bid - $737,100

$700
$600
First Bid - $552,825

$500
$400
$300
$200
Market Quotes

NHTB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$382

$752

$633

Four market indications

Third Party

$717

$866

$771

External asset manager's valuation estimates

Model Valuation

$713

$788

$713

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

116

	
Lakeland	Bancorp,	Inc.	(LBAI)	
Repurchase	of	LBAI	Warrant	
	
On February 24, 2012, Lakeland Bancorp, Inc. (LBAI) agreed to pay $2.80 million for the warrant held by
Treasury which entitled the holder of the warrant to purchase 997,050 shares of LBAI at a strike price of $8.876
per share. The warrant had an expiration date of February 6, 2019.

$ Thousands
$3,300

Lakeland Bancorp, Inc. (LBAI)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,100
$2,900

Final Bid - $2,800,000

$2,700
$2,500
$2,300
$2,100
First Bid - $2,043,636

$1,900
$1,700
$1,500

Market Quotes

LBAI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2,362

$2,933

$2,662

Four market indications

Third Party

$2,114

$3,051

$2,582

External asset manager's valuation estimates

Model Valuation

$2,157

$3,004

$2,572

Binomial option model adjusted for American style options

	

	
WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

117

	
Peapack‐Gladstone	(PGC)	
Repurchase	of	PGC	Warrant	
	
On March 26, 2012, Peapack-Gladstone Financial Corporation (PGC) agreed to pay $110,000 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 150,296 shares of PGC at a strike price of
$28.629 per share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$225

Peapack-Gladstone Financial Corporation (PGC)
Fair Market Value Estimates of US Treasury's Warrant Position

$200
$175
$150
$125

Final Bid - $110,000

$100
Fourth Bid - $95,000

Third Bid - $75,000

$75

Second Bid - $70,000
$50
First Bid - $40,000
$25
$0
Market Quotes

PGC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$51

$87

$73

Three market indications

Third Party

$44

$182

$102

External asset manager's valuation estimates

Model Valuation

$42

$183

$97

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

118

	
The	Connecticut	Bank	and	Trust	Company/Berkshire	Hills	Bancorp,	Inc.	
(CTBC/BHLB)	
Repurchase	of	CTBC/BHLB	Warrant	
	
On March 23, 2012, Berkshire Hills Bancorp, Inc. (BHLB) agreed to pay $792,783 for the Connecticut Bank
and Trust Company (CTBC) warrant held by Treasury which entitled the holder of the warrant to purchase
175,742 shares of CTBC at a strike price of $4.65 per share. The warrant had an expiration date of December
19, 2018.

$ Thousands
$900

The Connecticut Bank and Trust Company (CTBC/BHLB)
Fair Market Value Estimates of US Treasury's Warrant Position

$850
Final Bid - $792,783

$800
$750
$700
$650
$600
$550
$500

Market Quotes

CTBC / BHLB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$645

$791

$716

Four market indications

Third Party

$716

$775

$743

External asset manager's valuation estimates

Model Valuation

$733

$825

$780

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

119

	
Regions	Financial	Corp.		(RF)	
Repurchase	of	RF	Warrant	
	
On April 25, 3012, Regions Financial Corp. (RF)agreed to pay $45.00 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 48,253,677 shares of RF at a strike price of $10.88 per
share. The warrant had an expiration date of November 14, 2018.

$ Thousands
$80,000

Regions Financial Corp. (RF)
Fair Market Value Estimates of US Treasury's Warrant Position

$ 000s

$70,000
$60,000
$50,000

Final Bid - $45,000,000

$40,000
Second Bid - $39,000,000
$30,000

First Bid - $32,000,000

$20,000
$10,000
$0
Market Quotes

RF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$32,102

$75,783

$51,018

Three market indications

Third Party

$13,994

$41,016

$28,470

External asset manager's valuation estimates

Model Valuation

$24,171

$55,731

$39,854

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

120

	
Park	National	Corporation	(PRK)	
Repurchase	of	PRK	Warrant	
	
On April 25, 2012, Park National Corporation (PRK) $2.84 million for the warrant held by Treasury which
entitled the holder of the warrant to purchase 227,376 shares of PRK at a strike price of $65.97 per share. The
warrant had an expiration date of December 23, 2018.

$ Thousands
$4,000

Park National Corporation (PRK)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,500

$3,000
Final Bid - $2,842,000
$2,500

$2,000

$1,500

$1,000
Market Quotes

PRK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2,058

$2,408

$2,185

Three market indications

Third Party

$1,880

$3,257

$2,556

External asset manager's valuation estimates

Model Valuation

$1,768

$3,145

$2,449

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

121

	
MB	Financial,	Inc.	(MBFI)	
Repurchase	of	MBFI	Warrant	
	
On April 26, 2012, MB Financial, Inc. (MBFI) agreed to pay $1.52 million for the warrant held by Treasury
which entitled the holder of the warrant to purchase 506,024 shares of MBFI at a strike price of $29.05 per
share. The warrant had an expiration date of December 5, 2018.

$ Thousands
$2,500

MB Financial Inc. (MBFI)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,000

Final Bid - $1,518,072
$1,500
Second Bid - $1,300,482
$1,000

First Bid - $541,446
$500

$0
Market Quotes

MBFI
Valuation Estimates for Warrant
($ Thousands)
Market Quotes
Third Party
Model Valuation

Third Party

Model Valuation

Low

High

Estimate

Details

$948

$1,800

$1,375

Three market indications

$1,098

$2,373

$1,706

External asset manager's valuation estimates

$929

$2,079

$1,481

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

	
122

	
Seacoast	Banking	Corporation	of	Florida	(SBCF)	
Repurchase	of	SBCF	Warrant	
	
On May 15, 2012, Seacoast Banking Corporation of Florida (SBCF) agreed to pay $55,000 for the warrant held
by Treasury which entitled the holder of the warrant to purchase 589,623 shares of SBCF at a strike price of
$6.36 per share. The warrant had an expiration date of December 19, 2018.

$Thousands
$80

Seacoast Banking Corporation of Florida (SBCF)
Fair Market Value Estimates of US Treasury's Warrant Position

$70
$60
Final Bid - $55,000

$50
$40

First Bid - $40,000
$30
$20
$10
$0
Market Quotes

SBCF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$20

$68

$40

Five market indications

Third Party

$0

$24

$8

External asset manager's valuation estimates

Model Valuation

$17

$65

$38

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

123

	
Wilshire	Bancorp	(WIBC)	
Repurchase	of	WIBC	Warrant	
	
On June 11, 2012, Wilshire Bancorp (WIBC) agreed to pay $760,000 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 494,460 shares of WIBC at a strike price of $9.82 per share. The
warrant had an expiration date of December 12, 2018.

$ Thousands
$1,000

Wilshire Bancorp, Inc. (WIBC)
Fair Market Value Estimates of US Treasury's Warrant Position

$900
$800
Final Bid - $760,000

$700

First Bid - $664,622

$600
$500
$400
$300
$200
$100
$0
Market Quotes

WIBC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$477

$698

$570

Three market indications

Third Party

$416

$884

$637

External asset manager's valuation estimates

Model Valuation

$581

$761

$670

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

124

Mercantile	Bank	Corporation	(MBWM)	
Repurchase	of	MBWM	Warrant	
	
On June 26, 2012, Mercantile Bank Corporation (MBWM) agreed to pay $7,465,100 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 616,438 shares of MBWM at a strike price of
$5.11 per share. The warrant had an expiration date of May 15, 2019.

$ Thousands

Mercantile Bank Corporation (MBWM)
Fair Market Value Estimates of US Treasury's Warrant Position

$8,500
$8,000
Final Bid- $7,465,100

$7,500

Second Bid- $7,280,000
$7,000
$6,500
$6,000
$5,500
First Bid - $5,100,000
$5,000
$4,500
Market Quotes

MBWM
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$7,492

$8,035

$7,719

Three market indications

Third Party

$5,862

$5,992

$5,862

External asset manager's valuation estimates

Model Valuation

$7,465

$7,465

$7,465

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

125

United	Bancorp,	Inc.	(UBMI)	
Repurchase	of	UBMI	Warrant	
	
On June 29, 2012, United Bancorp, Inc. (UBMI) agreed to pay $38,000 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 311,492 shares of UBMI at a strike price of $9.92 per share. The
warrant had an expiration date of January 16, 2019.

$ Thousands

United Bancorp, Inc. (UBMI)
Fair Market Value Estimates of US Treasury's Warrant Position

$80
$70
$60
$50
Final Bid - $38,000

$40
$30
$20
$10
$0

Market Quotes

UBMI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$10

$19

$14

Four market indications

Third Party

$14

$63

$36

External asset manager's valuation estimates

Model Valuation

$15

$66

$36

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

126

Taylor	Capital	Group,	Inc.	(TAYC)	
Repurchase	of	TAYC	Warrant	
	
On July 11, 2012, Taylor Capital Group, Inc. (TAYC) agreed to pay $9,839,273 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 1,462,647 shares of TAYC at a strike price of
$10.75 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands

Taylor Capital Group, Inc. (TAYC)
Fair Market Value Estimates of US Treasury's Warrant Position

$13,000

$12,000

$11,000

Final Bid - $9,839,273

$10,000

$9,000
First Bid - $8,196,660
$8,000

$7,000

$6,000
Market Quotes

TAYC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$10,658

$12,627

$11,653

Four market indications

Third Party

$6,991

$8,410

$7,708

External asset manager's valuation estimates

Model Valuation

$8,555

$10,846

$9,639

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

127

	
Farmers	Capital	Bank	Corporation	(FFKT)	
Repurchase	of	FFKT	Warrant	
	
On July 9, 2012, Farmers Capital Bank Corporation (FFKT) agreed to pay $75,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 223,992 shares of FFKT at a strike price of $20.09
per share. The warrant had an expiration date of January 9, 2019.

$ Thousands
$200

Farmers Capital Bank Corporation (FFKT)
Fair Market Value Estimates of US Treasury's Warrant Position

$180
$160
$140
$120
$100
Final Bid - $75,000

$80
$60

First Bid - $50,000

$40
$20
$0
Market Quotes

FFKT
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$67

$174

$109

Three market indications

Third Party

$34

$83

$51

External asset manager's valuation estimates

Model Valuation

$28

$119

$62

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Pinnacle	Financial	Partners,	Inc.	(PNFP)	
Repurchase	of	PNFP	Warrant	
	
On June 21, 2012, Pinnacle Financial Partners, Inc. (PNFP) agreed to pay $755,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 267,455 shares of PNFP at a strike price of $26.64
per share. The warrant had an expiration date of December 12, 2018.

$ Thousands
$1,400

Pinnacle Financial Partners, Inc. (PNPF)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,200

$1,000

$800

Final Bid - $755,000

$600

$400

$200

$0
Market Quotes

PNFP
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$412

$1,107

$743

Three market indications

Third Party

$658

$1,177

$947

External asset manager's valuation estimates

Model Valuation

$489

$1,045

$752

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
LNB	Bancorp	Inc.	(LNBB)	
Repurchase	of	LNBB	Warrant	
	
On June 27, 2012, LNB Bancorp Inc. (LNBB) agreed to pay $860,326 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 561,343 shares of LNBB at a strike price of $6.74 per share. The
warrant had an expiration date of December 12, 2018.

$ Thousands
$1,200

LNB Bancorp Inc. (LNBB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,000
Final Bid - $860,326
$800

$600

$400

$200

$0
Market Quotes

LNBB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$937

$1,059

$1,018

Three market indications

Third Party

$466

$776

$618

External asset manager's valuation estimates

Model Valuation

$546

$900

$721

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Firstbank	Corporation	(FBMI)	
Repurchase	of	FBMI	Warrant	
	
On July 10, 2012, Firstbank Corporation (FBMI) agreed to pay $1,946,670 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 578,947 shares of FBMI at a strike price of $8.55 per share.
The warrant had an expiration date of January 30, 2019.

$ Thousands
$2,500

Firstbank Corporation (FBMI)
Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $1,946,670

$2,000

$1,500

$1,000

$500

$0
Market Quotes

FBMI
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$880

$2,200

$1,593

Four market indications

Third Party

$854

$1,349

$1,094

External asset manager's valuation estimates

$1,553

$1,865

$1,706

Binomial option model adjusted for American style options

Model Valuation

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Southern	First	Bancshares,	Inc.	(SFST)	
Repurchase	of	SFST	Warrant	
	
On July 11, 2012, Southern First Bancshares, Inc. (SFST) agreed to pay $1,100,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 363,609 shares of SFST at a strike price of $7.14
per share. The warrant had an expiration date of February 27, 2019.

$ Thousands
$1,600

Southern First Bancshares, Inc. (SFST)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,400

$1,200
Final Bid - $1,100,000
$1,000

$800

$600

$400
Market Quotes

SFST
Valuation Estimates for Warrant
($ Thousands)

Third Party

Low

High

Estimate

Details

$1,064

$1,480

$1,225

Four market indications

Third Party

$822

$983

$902

Model Valuation

$912

$1,144

$1,054

Model Valuation

Market Quotes

External asset manager's valuation estimates
Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
VIST	Financial	Corporation	(VIST)	
Repurchase	of	VIST	Warrant	
	
On July 25, 2012, VIST Financial Corporation (VIST) agreed to pay $1,189,813 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 115,069 shares of VIST at a strike price of $32.59
per share. The warrant had an expiration date of December 19, 2018.

$ Thousands
$1,400

$1,200

VIST Financial Corporation (VIST)
Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $1,189,813

$1,000

$800

$600

$400

$200

$0
Market Quotes

VIST
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$834

$1,164

$979

Four market indications

Third Party

$754

$1,103

$921

External asset manager's valuation estimates

Model Valuation

$861

$1,285

$1,067

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Peoples	Bancorp	of	North	Carolina,	Inc.*	(PEBK)	
Repurchase	of	PEBK	Warrant	
	
On July 12, 2012, Peoples Bancorp of North Carolina, Inc.* (PEBK) agreed to pay $425,000 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 357,234 shares of PEBK at a strike price
of $10.52 per share. The warrant had an expiration date of December 23, 2018.

$ Thousands
$800

Peoples Bancorp of North Carolina, Inc. (PEBK)
Fair Market Value Estimates of US Treasury's Warrant Position

$600

Final Bid - $425,000
$400
First Bid - $282,000

$200

$0
Market Quotes

PEBK
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$379

$751

$629

Four market indications

Third Party

$314

$496

$415

External asset manager's valuation estimates

Model Valuation

$200

$436

$314

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Pulaski	Financial	Corp	(PULB)	
Repurchase	of	PULB	Warrant	
	
On July 12, 2012, Pulaski Financial Corp (PULB) agreed to pay $1,100,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 778,421 shares of PULB at a strike price of $6.27 per share.
The warrant had an expiration date of January 16, 2019.

$ Thousands
$1,600

Pulaski Financial Corp. (PULB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,400
$1,200
Final Bid - $1,100,000
Second Bid - $990,000

$1,000
$800

First Bid - $610,330
$600
$400
$200
$0
Market Quotes

PULB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$532

$1,434

$1,075

Four market indications

Third Party

$1,125

$1,502

$1,297

External asset manager's valuation estimates

Model Valuation

$1,028

$1,157

$1,041

Binomial option model adjusted for American style options

Market Quotes

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
BBCN	Bancorp,	Inc./Nara	Bancorp	(BBCN)	
Repurchase	of	BBCN	Warrant	
	
On July 31, 2012, BBCN Bancorp, Inc./Nara Bancorp (BBCN) agreed to pay $2,189,317 for the warrant held
by Treasury which entitled the holder of the warrant to purchase 1,042,531 shares of BBCN at a strike price of
$9.64 per share. The warrant had an expiration date of November 21, 2018.

$ Thousands
$2,800

BBCN Bancorp, Inc. (BBCN) - Nara Bancorp, Inc.
Fair Market Value Estimates of US Treasury's Warrant Position

$2,600
$2,400
Final Bid - $2,189,317.20

$2,200
$2,000

Second Bid - $1,902,620.90

$1,800
First Bid - $1,753,815.70
$1,600
$1,400
$1,200
$1,000
Market Quotes

BBCN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,751

$2,648

$2,075

Four market indications

Third Party

$1,903

$2,533

$2,210

External asset manager's valuation estimates

Model Valuation

$1,656

$2,296

$1,972

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Ameris	Bancorp	(ABCB)	
Repurchase	of	ABCB	Warrant	
	
On August 15, 2012, Ameris Bancorp (ABCB) agreed to pay $2,670,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 698,554 shares of ABCB at a strike price of $11.17 per
share. The warrant had an expiration date of November 21, 2018.

$ Thousands
$3,500

Ameris Bancorp (ABCB)
Fair Market Value Estimates of US Treasury's Warrant Position

$3,000
Third Bid - $2,690,000
Second Bid - $2,670,000

$2,500

Final Bid - $2,670,000

First Bid - $2,250,000
$2,000

$1,500

$1,000
Market Quotes

ABCB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2,039

$2,783

$2,379

Three market indications

Third Party

$1,732

$2,480

$2,159

External asset manager's valuation estimates

Model Valuation

$2,094

$2,964

$2,526

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
First	Citizens	Banc	Corp.	(FCZA)	
Repurchase	of	FCZA	Warrant	
	
On August 16, 2012, First Citizens Banc Corp. (FCZA) agreed to pay $563,174 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 469,312 shares of FCZA at a strike price of $7.41
per share. The warrant had an expiration date of January 23, 2019.

$ Thousands
$700

First Citizens Banc Corp. (FCZA)
Fair Market Value Estimates of US Treasury's Warrant Position

$600

Final Bid - $563,174

$500

$400

$300

$200

$100

$0
Market Quotes

FCZA
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$117

$587

$356

Four market indications

Third Party

$371

$544

$451

External asset manager's valuation estimates

Model Valuation

$349

$558

$454

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
WSFS	Financial	Corporation	(WSFS)	
Repurchase	of	WSFS	Warrant	
	
On August 29, 2012, WSFS Financial Corporation (WSFS) agreed to pay $1,800,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 175,105 shares of WSFS at a strike price of
$45.08 per share. The warrant had an expiration date of January 23, 2019.

$ Thousands
$2,200

WSFS Financial Corporation (WSFS)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,000

Final Bid - $1,800,000

$1,800

$1,600

Third Bid - $1,410,000
$1,400
Second Bid - $1,250,000
$1,200

First Bid - $1,160,000

$1,000
Market Quotes

WSFS
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,388

$1,880

$1,707

Four market indications

Third Party

$1,184

$2,026

$1,587

External asset manager's valuation estimates

Model Valuation

$1,394

$1,912

$1,640

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Indiana	Community	Bancorp	(INCB)	
Repurchase	of	INCB	Warrant	
	
On September 7, 2012, Indiana Community Bancorp (INCB) agreed to pay $1,800,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 188,707 shares of INCB at a strike price of $17.09
per share. The warrant had an expiration date of December 12, 2018.

$ Thousands
$2,400

Indiana Community Bancorp (INCB)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,200

$2,000
Final Bid - $1,800,000

$1,800

$1,600

$1,400

$1,200

$1,000
Market Quotes

INCB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,587

$2,288

$1,917

Five market indications

Third Party

$1,451

$1,761

$1,581

External asset manager's valuation estimates

Model Valuation

$1,605

$1,864

$1,725

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
BNC	Bancorp	(BNCN)	
Repurchase	of	BNCN	Warrant	
	
On September 6, 2012, BNC Bancorp (BNCN) agreed to pay $939,920 for the warrant held by Treasury which
entitled the holder of the warrant to purchase 543,337 shares of BNCN at a strike price of $8.63 per share. The
warrant had an expiration date of December 5, 2018.

$ Thousands
$1,200

$1,000

BNC Bancorp (BNCN)
Fair Market Value Estimates of US Treasury's Warrant Position

Final Bid - $939,920

$800

$600

$400

$200

$0
Market Quotes

BNCN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$532

$810

$679

Three market indications

Third Party

$397

$584

$490

External asset manager's valuation estimates

Model Valuation

$723

$1,088

$904

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Sterling	Financial	Corporation	(STSA)	
Repurchase	of	STSA	Warrant	
	
On September 11, 2012, Sterling Financial Corporation (STSA) agreed to pay $825,000 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 97,541 shares of STSA at a strike price of $13.20
per share. The warrant had an expiration date of December 5, 2018.

$ Thousands
$1,000

Sterling Financial Corporation (STSA)
Fair Market Value Estimates of US Treasury's Warrant Position

$950
$900
$850
Final Bid - $825,000
$800
First Bid - $773,900
$750
$700
$650
$600
Market Quotes

STSA
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$835

$884

$855

Three market indications

Third Party

$696

$846

$768

External asset manager's valuation estimates

Model Valuation

$752

$858

$789

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
First	Community	Corporation	(FCCO)	
Repurchase	of	FCCO	Warrant	
	
On October 25, 2012, First Community Corporation (FCCO) agreed to pay $297,500 for the warrant held by
Treasury which entitled the holder of the warrant to purchase 195,915 shares of FCCO at a strike price of $8.69
per share. The warrant had an expiration date of November 21, 2018.

$ Thousands
$370

First Community Corporation (FCCO)
Fair Market Value Estimates of US Treasury's Warrant Position

$350
$330
$310
Final Bid - $297,500
Sixth Bid - $290,500

$290

Fifth Bid - $285,000
Fourth Bid - $278,000
Third Bid - $270,000

$270

Second Bid - $260,000
$250

First Bid - $244,055

$230
$210
Market Quotes

FCCO
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$218

$282

$244

Four market indications

Third Party

$228

$365

$296

External asset manager's valuation estimates

Model Valuation

$276

$371

$322

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
PrivateBancorp,	Inc.	(PVTB)	
Repurchase	of	PVTB	Warrant	
	
On November 7, 2012, PrivateBancorp, Inc. (PVTB) agreed to pay $1,225,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 645,013 shares of PVTB at a strike price of $28.35 per
share. The warrant had an expiration date of January 30, 2019.

$ Thousands
$2,000

PrivateBancorp, Inc. (PVTB)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,800
$1,600
$1,400
Final Bid - $1,225,000
$1,200
$1,000

First Bid - $1,000,000

$800
$600
$400
$200
$0
Market Quotes

PVTB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Market Quotes

$703

$876

$789

Third Party

$672

$1,705

$1,152

External asset manager's valuation estimates

$1,263

$1,959

$1,573

Binomial option model adjusted for American style options

Model Valuation

Details
Four market indications

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Mackinac	Financial	Corporation	(MFNC)	
Repurchase	of	MFNC	Warrant	
	
On December 11, 2012, Mackinac Financial Corporation (MFNC) agreed to pay $1,300,000 for the warrant
held by Treasury which entitled the holder of the warrant to purchase 379,310 shares of MFNC at a strike price
of $4.35 per share. The warrant had an expiration date of April 24, 2019.

$ Thousands

Mackinac Financial Corporation (MFNC)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,500
$1,450
$1,400
$1,350
Final Bid - $1,300,000

$1,300
$1,250
$1,200

First Bid - $1,180,253

$1,150
$1,100
$1,050
$1,000
Market Quotes

MFNC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,026

$1,385

$1,234

Four market indications

Third Party

$1,212

$1,392

$1,324

External asset manager's valuation estimates

Model Valuation

$1,214

$1,384

$1,289

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

	
Northeast	Bancorp	(NBN)	
Repurchase	of	NBN	Warrant	
	
On November 29, 2012, Northeast Bancorp (NBN) agreed to pay $95,000 for the warrant held by Treasury
which entitled the holder of the warrant to purchase 67,958 shares of NBN at a strike price of $9.33 per share.
The warrant had an expiration date of December 12, 2018.

$ Thousands

Northeast Bancorp (NBN)
Fair Market Value Estimates of US Treasury's Warrant Position

$160
$140
$120
$100

Final Bid - $95,000

$80
First Bid - $70,000
$60
$40
$20
$0
Market Quotes

NBN
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$38

$136

$77

Four market indications

Third Party

$81

$143

$111

External asset manager's valuation estimates

Model Valuation

$65

$96

$80

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

1

Capital	One	Financial	Corp.	(COF)	
Sale	of	COF	Warrant	
	
On December 3, 2009, Treasury auctioned the Capital One Financial Corp. (COF) warrant for $148.73 million
in gross proceeds. The warrant entitled the holder to purchase 12,657,960 shares of COF at a strike price of
$42.13 per share and expired on November 14, 2018

$ Thousands

Capital One Financial (COF)
Estimates of Fair Market Value of US Treasury's Warrant Position

$175,000

$150,000

$125,000

$100,000

$75,000
First Bid - $46,500,000

$50,000

$25,000

$0
Market Quotes

COF
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$1,500

$70,400

$30,200

Seven market indications

Third Party

$107,100

$148,100

$124,500

External asset manager's valuation estimates

Model Valuation

$85,800

$130,700

$107,500

Binomial option model adjusted for American style options

Market Quotes

Note: Above analysis was done to evaluate COF’s bid on 6/30/09 and is not directly comparable to the auction results on 12/3/09 as
market conditions changed over the intervening five months. In particular, COF’s stock price appreciated 69 percent while short-term
implied volatility in the sock declined slightly.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

2

	
JP	Morgan	Chase	&	Co.	(JPM)	
Sale	of	JPM	Warrant	
	
On December 10, 2009, Treasury auctioned the JPMorgan Chase & Co. (JPM) warrant for $950.32 million in
gross proceeds. The warrant entitled the holder to purchase 88,401,697 shares of JPM at a strike price of
$42.42 per share and expired on October 28, 2018.

$ Thousands
$1,400,200

JPMorgan (JPM)
Estimates of Fair Market Value of US Treasury's Warrant Position

$1,200,200

$1,000,200

$800,200
First Bid - $825,539,247
$600,200

$400,200

$200,200

$200
Market Quotes

JPM
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$488,000

$1,137,000

$658,000

Seven market indications

Third Party

$875,000

$1,252,000 $1,063,000 External asset manager's valuation estimates

Model Valuation

$900,000

$1,097,000

$998,000

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

3

	
TCF	Financial	Corporation	(TCB)	
Sale	of	TCB	Warrant	
	
On December 15, 2009, Treasury auctioned the TCF Financial Corporation (TCB) warrant for $9.59 million in
gross proceeds. The warrant entitled the holder to purchase 3,199,988 shares of TCB at a strike price of $16.93
per share and expired on November 14, 2018.

$ Thousands

TCF Financial (TCB)
Estimates of Fair Market Value of US Treasury's Warrant Position

$25,000

$20,000

$15,000

$10,000

$5,000

First Bid - $3,200,000

$0
Market Quotes

TCB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$12,146

$20,480

$15,942

Three market indications

Third Party

$13,376

$19,072

$16,224

External asset manager's valuation estimates

Model Valuation

$11,349

$17,234

$14,282

Binomial option model adjusted for American style options

Note: Above analysis was done to evaluate TCB’s bid on 5/5/09 and is not directly comparable to the auction results on 12/15/09 as
market conditions changed over the intervening seven months. In particular, TCB’s stock price declined 16 percent while short-term
implied volatility in the stock declined more than 40 percent.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

4

	
Valley	National	Bancorp	(VLY)	
Sale	of	VLY	Warrant	
	
On May 18, 2010 Treasury auctioned the Valley National Bancorp (VLY) warrant for $5.57 million in gross
proceeds. The warrant entitled the holder to purchase 2,532,542 shares of VLY at a strike price of $17.77 per
share and expired on November 14, 2018.

$ Thousands
$8,500

Valley National Bancorp (VLY)
Fair Market Value Estimates of US Treasury's Warrant Position

$7,500
$6,500
$5,500
$4,500
$3,500
$2,500
First Bid - $2,291,348
$1,500
$500
Market Quotes

VLY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

$723

$3,714

$1,801

Three market indications

Third Party

$4,607

$7,791

$6,160

External asset manager's valuation estimates

Model Valuation

$2,723

$6,564

$4,616

Binomial option model adjusted for American style options

Market Quotes

Note: The above analysis was done to evaluate VLY’s bid on 1/7/10 and is not directly comparable to the auction results on 5/18/10
as market conditions changed over the intervening five months.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

5

	
Wells	Fargo	&	Company	(WFC)	
Sale	of	WFC	Warrant	
	
On May 20, 2010, Treasury auctioned the Wells Fargo & Company (WFC) warrant for $849.02 million in gross
proceeds. The warrant entitled the holder to purchase 110,261,688 shares of WFC at a strike price of $34.01
per share and expired on October 28, 2010.

$ Thousands

Wells Fargo & Company (WFC)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,200,000
$1,100,000
$1,000,000
$900,000
$800,000

Third Bid - $750,000,000

$700,000
Second Bid - $700,000,000
$600,000
First Bid - $593,600,000
$500,000
$400,000
$300,000
Market Quotes

WFC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$496,182

$871,075

$686,201

Seven market indications

Third Party

$690,000

$1,071,000

$879,000

External asset manager's valuation estimates

Model Valuation

$551,000

$946,000

$739,000

Binomial option model adjusted for American style options

Note: The above analysis was done to evaluate WFC’s bid on 2/22/10 and is not directly comparable to the auction results on 5/20/10
as market conditions changed over the intervening three months. When considering WFC’s offer to repurchase its warrant, Treasury
concluded the market value realized through an auction would likely be in the high end of the valuation range. The results of past
auctions have indicated that warrants associated with large well-known companies, such as WFC, attract high levels of investor
interest and competitive bidding.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

6

	
Sterling	Bancshares,	Inc.	(SBIB)	
Sale	of	SBIB	Warrant	
	
On June 9, 2010, Treasury auctioned the Sterling Bancshares, Inc. (SBIB) warrant for $3.01 million in gross
proceeds. The warrant entitled the holder to purchase 2,615,557 shares of SBIB at a strike price of $7.18 per
share and expired on December 12, 2018

$ Thousands
$10,000

Sterling Bancshares, Inc. (SBIB)
Fair Market Value Estimates of US Treasury's Warrant Position

$9,000
$8,000
$7,000
$6,000
$5,000
First Bid - $4,000,000
$4,000
$3,000
$2,000
Market Quotes

SBIB
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$2,877

$6,120

$4,467

Five market indications

Third Party

$6,828

$9,092

$7,955

External asset manager's valuation estimates

Model Valuation

$5,491

$6,458

$5,988

Binomial option model adjusted for American style options

Note: The above analysis was done to evaluate SBIB’s bid on 6/5/09 and is not directly comparable to the auction results on 6/9/10 as
market conditions changed over the intervening twelve months. Specifically, SBIB’s stock price declined 28 percent from $7.02 on
6/5/09 to $5.00 on 6/9/10.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

7

	
Boston	Private	Financial	Holdings,	Inc.	(BPFH)	
Sale	of	BPFH	Warrant	
	
On February 1, 2011, Treasury auctioned the Boston Private Financial Holdings, Inc. (BPFH) warrant for $6.35
million in gross proceeds. The warrant entitled the holder to purchase 2,887,500 shares of BPFH at a strike
price of $8.00per share and expired on November 21, 2018.

$ Thousands
$11,000

Boston Private Financial Holdings (BPFH)
Fair Market Value Estimates of US Treasury's Warrant Position

$10,000
$9,000
$8,000
$7,000
$6,000
$5,000
$4,000
First Bid - $4,300,000
$3,000
$2,000
$1,000
Market Quotes

BPFH
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$7,125

$9,818

$8,391

Three market indications

Third Party

$4,780

$6,950

$5,852

External asset manager's valuation estimates

Model Valuation

$6,073

$8,493

$7,273

Binomial option model adjusted for American style options

Note: The above analysis was done to evaluate BPFH’s bid on 7/12/10 and is not directly comparable to the auction results on
2/01/11 as market conditions changed over the intervening seven months.

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

8

	
Bank	of	Marin	Bancorp	(BMRC)	
Sale	of	BMRC	Warrant	
	
On November 17, 2011, Treasury auctioned the Bank of Marin Bancorp (BMRC) warrant for $1.70 million in
gross proceeds. The warrant entitled the holder to purchase 154,908 shares of BMRC at a strike price of $11.00
per share and expired on December 5, 2018

$ Thousands

Bank of Marin Bancorp (BMRC)
Fair Market Value Estimates of US Treasury's Warrant Position

$2,500
$2,300
$2,100
$1,900
$1,700
$1,500

First Bid - $1,368,000

$1,300
$1,100
$900
$700
Market Quotes

BMRC
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$1,576

$2,064

$1,870

Four market indications

Third Party

$1,463

$2,029

$1,743

External asset manager's valuation estimates

Model Valuation

$1,507

$2,028

$1,764

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

9

	
First	Constitution	Bancorp	(FCCY)	
Sale	of	FCCY	Warrant	
	
On November 17, 2011, Treasury auctioned the First Constitution Bancorp (FCCY) warrant for $326,576 in
gross proceeds. The warrant entitled the holder to purchase 231,782 shares of FCCY at a strike price of $7.77
per share and expired on December 23, 2018.

$ Thousands
$800

1st Constitution Bancorp (FCCY)
Fair Market Value Estimates of US Treasury's Warrant Position

$700

$600

$500
Second Bid - $415,500
$400

$300
First Bid - $216,500
$200

$100
Market Quotes

FCCY
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$533

$632

$583

Two market indications

Third Party

$503

$687

$649

External asset manager's valuation estimates

Model Valuation

$443

$581

$529

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

10

	
First	Busey	Corporation	(BUSE)	
Sale	of	BUSE	Warrant	
	
On November 17, 2011, Treasury auctioned the First Busey Corporation (BUSE) warrant for $63,677 in gross
proceeds. The warrant entitled the holder to purchase 573,833 shares of BUSE at a strike price of $13.07 per
share and expired on March 6, 2019.

$ Thousands

First Busey Corporation (BUSE)
Fair Market Value Estimates of US Treasury's Warrant Position

$400
$350
$300
$250
$200
$150
$100
Second Bid - $57,833
$50
First Bid - $41,000
$0
Market Quotes

BUSE
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$181

$332

$259

Three market indications

Third Party

$52

$230

$126

External asset manager's valuation estimates

Model Valuation

$79

$271

$166

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

11

	
Western	Alliance	Bancorporation	(WAL)	
Sale	of	WAL	Warrant	
	
On November 17, 2011, Treasury auctioned the Western Alliance Bancorporation (WAL) warrant for $415,000
in gross proceeds. The warrant entitled the holder to purchase 787,107 shares of WAL at a strike price of
$13.34 per share and expired on November 21, 2018.

$ Thousands
$1,400

Western Alliance Bancorporation (WAL)
Fair Market Value Estimates of US Treasury's Warrant Position

$1,200

$1,000

Third Bid - $750,000

$800

$600

Second Bid - $650,000

$400
First Bid - $320,000
$200

$0
Market Quotes

WAL
Valuation Estimates for Warrant
($ Thousands)

Third Party

Model Valuation

Low

High

Estimate

Details

Market Quotes

$314

$1,256

$849

Three market indications

Third Party

$433

$937

$700

External asset manager's valuation estimates

Model Valuation

$563

$1,098

$823

Binomial option model adjusted for American style options

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

12

	
	
	
	
	
	
	
Appendix	III	–	Outstanding	Warrants	

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

13

Outstanding	Warrant	Portfolio	

	
The table below lists the outstanding warrants held in institutions that have fully redeemed the CPP investment
as of December 31, 2012.

Institution Name

Ticker

Commerce National Bank
United Bancorporation of Alabama, Inc.*
The First Bancshares, Inc.*
First M&F Corporation*
Security Federal Corporation*
BCSB Bancorp, Inc.
Southern Missouri Bancorp, Inc.
The Elmira Savings Bank, FSB
TowneBank
The Bank of Kentucky Financial Corporation
S&T Bancorp, Inc.
Valley National Bancorp (State Bancorp, Inc.)
StellarOne Corporation
Heritage Commerce Corp.
Banner Corporation**
First Financial Holdings, Inc.**
MainSource Financial Group, Inc.**
C&F Financial Corporation
First Defiance Financial Corp.**
BBCN Bancorp, Inc. (Center Financial Corporation)
First Capital Bancorp, Inc.**
Fidelity Southern Corporation**
MetroCorp Bancshares, Inc.**
Premier	Financial	Bancorp,	Inc.
Southwest	Bancorp,	Inc.
Yadkin	Valley	Financial	Corporation**
Yadkin	Valley	Financial	Corporation**
Oak	Ridge	Financial	Services,	Inc.
Timberland	Bancorp	Inc.
Alaska	Pacific	Bancshares	Inc.
Carolina	Trust	Bank
Parke	Bancorp	Inc.
Community	West	Bancshares
Virginia	Commerce	Bancorp
TOTAL

CNBF
UBAB
FBMS
FMFC
SFDL
BCSB
SMBC
ESBK
TOWN
BKYF
STBA
VLY
STEL
HTBK
BANR
FFCH
MSFG
CFFI
FDEF
BBCN
FCVA
LION
MCBI
PFBI
OKSB
YAVY
YAVY
BKOR
TSBK
AKPB
CART
PKBK
CWBC
VCBI
34

Preferred
Repurchase
Date

Preferred Investment
Redeemed/Received
through Auction
($thousands)

10/7/2009
9/3/2010
9/29/2010
9/29/2010
9/29/2010
1/26/2011
7/21/2011
8/25/2011
9/22/2011
11/23/2011
12/7/2011
12/14/2011
12/28/2011
3/7/2012
4/3/2012
4/3/2012
4/3/2012
4/11/2012
6/19/2012
6/27/2012
6/19/2012
7/3/2012
7/3/2012
8/10/2012
8/8/2012
9/18/2012
9/18/2012
10/31/2012
11/13/2012
11/29/2012
11/30/2012
11/29/2012
12/11/2012
12/11/2012

5,000
10,300
5,000
30,000
18,000
10,800
9,550
9,090
76,458
34,000
108,676
36,842
30,000
40,000
108,072
55,926
52,277
20,000
35,084
55,000
9,931
42,758
43,490
19,849
70,000
31,843
11,644
7,025
14,209
4,218
3,362
11,596
11,181
71,000
$1,109,182

Warrant
Shares
87,209
108,264
54,705
513,113
137,966
183,465
114,326
116,538
554,330
274,784
517,012
488,848
302,623
462,963
243,998
241,696
571,906
167,504
550,595
337,480
250,947
2,462,439
771,429
628,588
703,753
385,990
273,534
163,830
370,899
175,772
86,957
399,006
521,158
2,696,203

Strike
Price
8.60
14.27
13.71
8.77
19.57
$8.83
12.53
11.70
20.69
18.56
31.53
11.31
14.87
12.96
76.23
20.17
14.95
17.91
10.08
12.22
6.55
2.94
8.75
5.31
14.92
13.99
7.30
7.05
6.73
4.08
6.90
6.12
4.49
3.95

QEO? (i.e.
warrants cut
by 50%)
Yes
Yes
‐
‐
‐
‐
‐
‐
‐
‐
‐
‐
‐
2

* Institution converted to the Community Development Capital Initiative program; warrants are still held by the CPP
** CPP preferred auction participant

WARRANT DISPOSITION REPORT – UPDATE JUNE 30, 2012
 

14