Several financial ratios relating to asset quality are available in the UBPR. These ratios provide detail on balance sheet composition, off-balance sheet commitments, delinquencies, charge-offs, and portfolio mix. Four ratios to focus on when assessing asset quality include: 1. Asset Growth Rate - This ratio details the change in total assets over the past 12 months. 2. Non-current Loans and Leases to Gross Loans and Leases - This ratio reflects the percentage of loans that are 90 days or more past due, or are no longer accruing interest. . Net Losses to Average Total Loans and Leases - This ratio presents the level of net losses, on an annualized basis, as a percentage of the total portfolio. It takes into consideration any recoveries on prior period losses. 4. Loan and Lease Allowance to Total Loans - This ratio measures the allowance available to absorb loan losses relative to total loans outstanding.

In relation to these ratios, answer the following questions: -

Asset Growth Rate - What is the rate of asset growth and how would you characterize this growth? - What category dominated asset growth? -

Non-current Loans to Gross Loans - How would you characterize the level of delinquencies? -

Net Losses to Average Total Loans - What has the trend been?

- Loan and Lease Allowance to Total Loans and Leases - What conclusions can you draw about the adequacy of the allowance?

FDIC Certificate 17093 OCC Charter # 15000 FRB DistricvID RSSD 61 794336 County: MIAMI-DADE FIRST NATIONAL BANK OF SOUTH MIAMI:MIAMI,FL Summary Ratios-Page 1 rend 12/31/2016 12/31/2015 Earnings and Profitabilty PG 5 PG 5 PG 5 Assets 3.94 3.53 2.84 Provision: Loan & Lease Losses Provision: Credt Loss Oth Assets NA 0.00 1.38 0.02 +Realized Gains/Losses Sec Unrealized Gains/ Losses Equity Sec Pretax Net Operating Income (TE) 1.06 Net Inc Attrib to Min Ints 0.00 0.93 1.05 Net Income Adjusted Sub S Avg Earning Assets to Avg Assets 24.81 94.55 94.21 4.03 g Funds to Avg Assets 74.26 75.04 Int Inc (TE) to Avg Eam Assets 4.51 Int Expense to Avg Earn Assets 28 Net Int Ino-TE to Avg Earn Assets Loan & Lease Analysis: Net Loss to Average Total LN&LS Eamings Coverage of Net Losses 00 LN&LS Allowance to LN&LS Not HFS LN&LS Allowance to Net Losses px) LN&LS Allowance to Total LN&LS Total LN&LS-0+ Days Past Due 32.40 63.08 47.80 34.73 24.20 -Nonaccrual Net Non Core Fund Dep New $250M Net Loans& Leases to Assets 75.88 09.91 07.85 08.10 07.05 10.32 8.4367 10.26 10.20 Tier One Leverage Capital Cash Dividends to Net Income Retained Earnings to Avg Total Equity 10.4160 10.65 .5388 8.4087 38.95 39.16 37.08 10.57 Growth Rates Total Assets Tier One Capital Net Loans & Leases Short Tenm Investments Short Temm Non Core Funding 0.48 10.56 40.56 24.65 23.35 105.17 21.46 26.48 21.80 -40.40 38.70 Average Total Assets 713,088 072.318 623,451 000.504 Growth Rates Total Assets Tier One Capital Net Loans & Leases Short Tem Investments Short Term Non Core Funding 3.50 10.50 .74 20.74 38.70 4.72 5.48 40.58 26.43 -29.68 5.62 12.06 25.70 21.51 105.17 7.70 .00 0.89 8.01 21.46 20.80 6.35 0.90 8.84 21.80 15.44 0.48 4.81 24.65 -40.40 9.37 6.34 7.71 8.94 19.21 16.76 47 7.40 23.35 Average Total Assets Total Equity Capital Net Income 713,888 73.042 0,847 872 318 66.128 3.790 623.451 52.308 2,788 600,504 48.602 2,338 Number of banks in Peer Group 1.184 1.223 FDIC Certificate 17093 OCC Charter # 15000 FRB DistricvID RSSD 61 794336 County: MIAMI-DADE FIRST NATIONAL BANK OF SOUTH MIAMI:MIAMI,FL Summary Ratios-Page 1 rend 12/31/2016 12/31/2015 Earnings and Profitabilty PG 5 PG 5 PG 5 Assets 3.94 3.53 2.84 Provision: Loan & Lease Losses Provision: Credt Loss Oth Assets NA 0.00 1.38 0.02 +Realized Gains/Losses Sec Unrealized Gains/ Losses Equity Sec Pretax Net Operating Income (TE) 1.06 Net Inc Attrib to Min Ints 0.00 0.93 1.05 Net Income Adjusted Sub S Avg Earning Assets to Avg Assets 24.81 94.55 94.21 4.03 g Funds to Avg Assets 74.26 75.04 Int Inc (TE) to Avg Eam Assets 4.51 Int Expense to Avg Earn Assets 28 Net Int Ino-TE to Avg Earn Assets Loan & Lease Analysis: Net Loss to Average Total LN&LS Eamings Coverage of Net Losses 00 LN&LS Allowance to LN&LS Not HFS LN&LS Allowance to Net Losses px) LN&LS Allowance to Total LN&LS Total LN&LS-0+ Days Past Due 32.40 63.08 47.80 34.73 24.20 -Nonaccrual Net Non Core Fund Dep New $250M Net Loans& Leases to Assets 75.88 09.91 07.85 08.10 07.05 10.32 8.4367 10.26 10.20 Tier One Leverage Capital Cash Dividends to Net Income Retained Earnings to Avg Total Equity 10.4160 10.65 .5388 8.4087 38.95 39.16 37.08 10.57 Growth Rates Total Assets Tier One Capital Net Loans & Leases Short Tenm Investments Short Temm Non Core Funding 0.48 10.56 40.56 24.65 23.35 105.17 21.46 26.48 21.80 -40.40 38.70 Average Total Assets 713,088 072.318 623,451 000.504 Growth Rates Total Assets Tier One Capital Net Loans & Leases Short Tem Investments Short Term Non Core Funding 3.50 10.50 .74 20.74 38.70 4.72 5.48 40.58 26.43 -29.68 5.62 12.06 25.70 21.51 105.17 7.70 .00 0.89 8.01 21.46 20.80 6.35 0.90 8.84 21.80 15.44 0.48 4.81 24.65 -40.40 9.37 6.34 7.71 8.94 19.21 16.76 47 7.40 23.35 Average Total Assets Total Equity Capital Net Income 713,888 73.042 0,847 872 318 66.128 3.790 623.451 52.308 2,788 600,504 48.602 2,338 Number of banks in Peer Group 1.184 1.223