	December 31, 2017
							Total Loans
						Total	> 90 Days
	30-59 Days	60-89 Days	Over 90	Total Past		Loans	Past Due and
	Past Due	Past Due	Days	Due	Current	Receivable	Still Accruing
	(In Thousands)

One- to four-family
residential construction	$ 250	$ --	$ --	$ 250	$ 20,543	$ 20,793	$ --
Subdivision construction	--	--	98	98	17,964	18,062	--
Land development	54	37	--	91	43,880	43,971	--
Commercial construction	--	--	--	--	1,068,352	1,068,352	--
Owner occupied one- to four-
family residential	1,927	71	904	2,902	187,613	190,515	--
Non-owner occupied one- to
four-family residential	947	190	1,816	2,953	116,515	119,468	58
Commercial real estate	8,346	993	1,226	10,565	1,224,764	1,235,329	--
Other residential	540	353	1,877	2,770	742,875	745,645	--
Commercial business	2,623	1,282	2,063	5,968	347,383	353,351	--
Industrial revenue bonds	--	--	--	--	21,859	21,859	--
Consumer auto	5,196	1,230	2,284	8,710	348,432	357,142	12
Consumer other	464	64	557	1,085	62,283	63,368	--
Home equity lines of credit	58	--	430	488	114,951	115,439	26
Acquired loans no longer covered by FDIC loss sharing agreements,
net of discounts	4,015	1,774	7,847	13,636	141,588	155,224	116
Acquired non-covered loans, net of discounts	434	177	2,828	3,439	51,006	54,445	156
	24,854	6,171	21,930	52,955	4,510,008	4,562,963	368
Less acquired loans no longer
covered by FDIC loss sharing agreements and acquired non-covered loans, net of discounts	4,449	1,951	10,675	17,075	192,594	209,669	272

Total	$ 20,405	$ 4,220	$ 11,255	$ 35,880	$ 4,317,414	$ 4,353,294	$ 96

	December 31, 2016
							Total Loans
						Total	> 90 Days Past
	30-59 Days	60-89 Days	Over 90	Total Past		Loans	Due and
	Past Due	Past Due	Days	Due	Current	Receivable	Still Accruing
	(In Thousands)

One- to four-family
residential construction	$ --	$ --	$ --	$ --	$ 21,737	$ 21,737	$ --
Subdivision construction	--	--	109	109	17,077	17,186	--
Land development	413	584	1,718	2,715	47,909	50,624	--
Commercial construction	--	--	--	--	780,614	780,614	--
Owner occupied one- to four-
family residential	1,760	388	1,125	3,273	197,067	200,340	--
Non-owner occupied one- to
four-family residential	309	278	404	991	135,933	136,924	--
Commercial real estate	1,969	1,988	4,404	8,361	1,178,545	1,186,906	--
Other residential	4,632	--	162	4,794	658,584	663,378	--
Commercial business	1,741	24	3,088	4,853	343,775	348,628	--
Industrial revenue bonds	--	--	--	--	25,065	25,065	--
Consumer auto	8,252	2,451	1,989	12,692	481,541	494,233	--
Consumer other	1,103	278	649	2,030	67,971	70,001	--
Home equity lines of credit	136	158	433	727	108,026	108,753	--
Acquired FDIC-covered loans, net of discounts	4,476	1,201	8,226	13,903	120,453	134,356	301
Acquired loans no longer covered by FDIC loss sharing agreements,
net of discounts	1,356	552	1,401	3,309	69,260	72,569	222
Acquired non-covered loans, net of discounts	851	173	2,854	3,878	72,356	76,234	--
	26,998	8,075	26,562	61,635	4,325,913	4,387,548	523
Less FDIC-supported loans,
and acquired non-covered loans, net of discounts	6,683	1,926	12,481	21,090	262,069	283,159	523

Total	$ 20,315	$ 6,149	$ 14,081	$ 40,545	$ 4,063,844	$ 4,104,389	$ --

	December 31,
	2017	2016
	(In Thousands)

One- to four-family residential construction	$ --	$ --
Subdivision construction	98	109
Land development	--	1,718
Commercial construction	--	--
Owner occupied one- to four-family residential	904	1,125
Non-owner occupied one- to four-family
residential	1,758	404
Commercial real estate	1,226	2,727
Other residential	1,877	162
Commercial business	2,063	4,765
Industrial revenue bonds	--	--
Consumer auto	2,272	1,989
Consumer other	557	649
Home equity lines of credit	404	433

Total	$ 11,159	$ 14,081

The following tables present the activity in the allowance for loan losses by portfolio segment for the years ended December 31, 2017, 2016 and 2015, respectively. Also presented are the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of the years ended December 31, 2017, 2016, and 2015, respectively:

	December 31, 2017
	One- to Four-
	Family
	Residential
	and	Other	Commercial	Commercial	Commercial
	Construction	Residential	Real Estate	Construction	Business	Consumer	Total
	(In Thousands)

Allowance for Loan Losses
Balance, January 1, 2017	$ 2,322	$ 5,486	$ 15,938	$ 2,284	$ 3,015	$ 8,355	$ 37,400
Provision (benefit) charged to expense	(158)	(2,356)	4,234	(643)	1,475	6,548	9,100
Losses charged off	(165)	(488)	(1,656)	(420)	(1,489)	(11,859)	(16,077)
Recoveries	109	197	123	546	580	4,514	6,069

Balance,
December 31, 2017	$ 2,108	$ 2,839	$ 18,639	$ 1,767	$ 3,581	$ 7,558	$ 36,492

Ending balance:
Individually evaluated
for impairment	$ 513	$ --	$ 599	$ --	$ 2,140	$ 699	$ 3,951
Collectively evaluated
for impairment	$ 1,564	$ 2,813	$ 17,843	$ 1,690	$ 1,369	$ 6,802	$ 32,081
Loans acquired and
accounted for under
ASC 310-30	$ 31	$ 26	$ 197	$ 77	$ 72	$ 57	$ 460

Loans
Individually evaluated
for impairment	$ 6,950	$ 2,907	$ 8,315	$ 15	$ 3,018	$ 4,129	$ 25,334
Collectively evaluated
for impairment	$ 341,888	$ 742,738	$ 1,227,014	$ 1,112,308	$ 372,192	$ 531,820	$ 4,327,960
Loans acquired and
accounted for under
ASC 310-30	$ 120,295	$ 14,877	$ 39,210	$ 3,806	$ 5,275	$ 26,206	$ 209,669

	December 31, 2016
	One- to Four-
	Family
	Residential
	and	Other	Commercial	Commercial	Commercial
	Construction	Residential	Real Estate	Construction	Business	Consumer	Total
	(In Thousands)

Allowance for Loan Losses
Balance, January 1, 2016	$ 4,900	$ 3,190	$ 14,738	$ 3,019	$ 4,203	$ 8,099	$ 38,149
Provision (benefit) charged to expense	(2,407)	2,260	5,632	(827)	(926)	5,549	9,281
Losses charged off	(229)	(16)	(5,653)	(31)	(589)	(8,751)	(15,269)
Recoveries	58	52	1,221	123	327	3,458	5,239

Balance,
December 31, 2016	$ 2,322	$ 5,486	$ 15,938	$ 2,284	$ 3,015	$ 8,355	$ 37,400

Ending balance:
Individually evaluated
for impairment	$ 570	$ --	$ 2,209	$ 1,291	$ 1,295	$ 997	$ 6,362
Collectively evaluated
for impairment	$ 1,628	$ 5,396	$ 13,507	$ 953	$ 1,681	$ 7,248	$ 30,413
Loans acquired and
accounted for under
ASC 310-30	$ 124	$ 90	$ 222	$ 40	$ 39	$ 110	$ 625

Loans
Individually evaluated
for impairment	$ 6,015	$ 3,812	$ 10,507	$ 6,023	$ 4,539	$ 3,385	$ 34,281
Collectively evaluated
for impairment	$ 370,172	$ 659,566	$ 1,176,399	$ 825,215	$ 369,154	$ 669,602	$ 4,070,108
Loans acquired and
accounted for under
ASC 310-30	$ 155,378	$ 29,600	$ 54,208	$ 2,191	$ 6,429	$ 35,353	$ 283,159

	December 31, 2015
	One- to Four-
	Family
	Residential
	and	Other	Commercial	Commercial	Commercial
	Construction	Residential	Real Estate	Construction	Business	Consumer	Total
	(In Thousands)

Allowance for Loan Losses
Balance, January 1, 2015	$ 3,455	$ 2,941	$ 19,773	$ 3,562	$ 3,679	$ 5,025	$ 38,435
Provision (benefit) charged to expense	1,428	193	(2,753)	(619)	1,450	5,820	5,519
Losses charged off	(80)	(2)	(2,584)	(329)	(1,202)	(5,315)	(9,512)
Recoveries	97	58	302	405	276	2,569	3,707

Balance,
December 31, 2015	$ 4,900	$ 3,190	$ 14,738	$ 3,019	$ 4,203	$ 8,099	$ 38,149

Ending balance:
Individually evaluated
for impairment	$ 731	$ --	$ 2,556	$ 1,391	$ 1,115	$ 300	$ 6,093
Collectively evaluated
for impairment	$ 3,464	$ 3,122	$ 11,888	$ 1,570	$ 2,862	$ 7,647	$ 30,553
Loans acquired and
accounted for under
ASC 310-30	$ 705	$ 68	$ 294	$ 58	$ 226	$ 152	$ 1,503

Loans
Individually evaluated
for impairment	$ 6,129	$ 9,533	$ 34,629	$ 7,555	$ 2,365	$ 1,950	$ 62,161
Collectively evaluated
for impairment	$ 316,052	$ 410,016	$ 1,008,845	$ 651,679	$ 392,577	$ 596,740	$ 3,375,909
Loans acquired and
accounted for under
ASC 310-30	$ 194,697	$ 35,945	$ 73,148	$ 4,981	$ 10,500	$ 43,574	$ 362,845

The portfolio segments used in the preceding three tables correspond to the loan classes used in all other tables in Note 3 as follows:

· The one- to four-family residential and construction segment includes the one- to four-family residential construction, subdivision construction, owner occupied one- to four-family residential and non-owner occupied one- to four-family residential classes.

· The commercial real estate segment includes the commercial real estate and industrial revenue bonds classes.

· The commercial construction segment includes the land development and commercial construction classes.

· The commercial business segment corresponds to the commercial business class.

· The consumer segment includes the consumer auto, consumer other and home equity lines of credit classes.

The weighted average interest rate on loans receivable at December 31, 2017 and 2016, was 4.74% and 4.58%, respectively.

Loans serviced for others are not included in the accompanying consolidated statements of financial condition. The unpaid principal balances of loans serviced for others were $254.0 million and $266.2 million at December 31, 2017 and 2016, respectively. In addition, available lines of credit on these loans were $37.8 million and $60.5 million at December 31, 2017 and 2016, respectively.

A loan is considered impaired, in accordance with the impairment accounting guidance (FASB ASC 310-10-35-16) when, based on current information and events, it is probable the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include not only nonperforming loans but also loans modified in troubled debt restructurings where concessions have been granted to borrowers experiencing financial difficulties.

The following summarizes information regarding impaired loans at and during the years ended December 31, 2017, 2016 and 2015:

						Year Ended
		December 31, 2017				December 31, 2017
					Average
			Unpaid		Investment		Interest
	Recorded		Principal	Specific	in Impaired		Income
	Balance		Balance	Allowance	Loans		Recognized
	(In Thousands)

One- to four-family residential construction	$ --		$ --	$ --	$ 193		$ --
Subdivision construction	349		367	114	584		22
Land development	15		18	--	1,793		24
Commercial construction	--		--	--	--		--
Owner occupied one- to four-family
residential	3,405		3,723	331	3,405		166
Non-owner occupied one- to four-family
residential	3,196		3,465	68	2,419		165
Commercial real estate	8,315		8,490	599	9,075		567
Other residential	2,907		2,907	--	3,553		147
Commercial business	3,018		4,222	2,140	5,384		173
Industrial revenue bonds	--		--	--	--		--
Consumer auto	2,713		2,898	484	2,383		222
Consumer other	825		917	124	906		69
Home equity lines of credit	591		648	91	498		33

Total	$ 25,334		$ 27,655	$ 3,951	$ 30,193		$ 1,588

				Year Ended
	December 31, 2016			December 31, 2016
				Average
		Unpaid		Investment	Interest
	Recorded	Principal	Specific	in Impaired	Income
	Balance	Balance	Allowance	Loans	Recognized
	(In Thousands)

One- to four-family residential construction	$ --	$ --	$ --	$ --	$ --
Subdivision construction	818	829	131	948	46
Land development	6,023	6,120	1,291	8,020	304
Commercial construction	--	--	--	--	--
Owner occupied one- to four-family
residential	3,290	3,555	374	3,267	182
Non-owner occupied one- to four-family
residential	1,907	2,177	65	1,886	113
Commercial real estate	10,507	12,121	2,209	23,928	984
Other residential	3,812	3,812	--	6,813	258
Commercial business	4,539	4,652	1,295	2,542	185
Industrial revenue bonds	--	--	--	--	--
Consumer auto	2,097	2,178	629	1,307	141
Consumer other	812	887	244	884	70
Home equity lines of credit	476	492	124	417	32

Total	$ 34,281	$ 36,823	$ 6,362	$ 50,012	$ 2,315

				Year Ended
	December 31, 2015			December 31, 2015
				Average
		Unpaid		Investment	Interest
	Recorded	Principal	Specific	in Impaired	Income
	Balance	Balance	Allowance	Loans	Recognized
	(In Thousands)

One- to four-family residential construction	$ --	$ --	$ --	$ 633	$ 35
Subdivision construction	1,061	1,061	214	3,533	109
Land development	7,555	7,644	1,391	7,432	287
Commercial construction	--	--	--	--	--
Owner occupied one- to four-family
residential	3,166	3,427	389	3,587	179
Non-owner occupied one- to four-family
residential	1,902	2,138	128	1,769	100
Commercial real estate	34,629	37,259	2,556	28,610	1,594
Other residential	9,533	9,533	--	9,670	378
Commercial business	2,365	2,539	1,115	2,268	138
Industrial revenue bonds	--	--	--	--	--
Consumer auto	791	829	119	576	59
Consumer other	802	885	120	672	74
Home equity lines of credit	357	374	61	403	27

Total	$ 62,161	$ 65,689	$ 6,093	$ 59,153	$ 2,980

At December 31, 2017, $12.7 million of impaired loans had specific valuation allowances totaling $4.0 million. At December 31, 2016, $18.1 million of impaired loans had specific valuation allowances totaling $6.4 million. At December 31, 2015, $25.1 million of impaired loans had specific valuation allowances totaling $6.1 million. For impaired loans which were nonaccruing, interest of approximately $1.2 million, $1.5 million and $1.0 million would have been recognized on an accrual basis during the years ended December 31, 2017, 2016 and 2015, respectively.

Included in certain loan categories in the impaired loans are troubled debt restructurings that were classified as impaired. Troubled debt restructurings are loans that are modified by granting concessions to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. The types of concessions made are factored into the estimation of the allowance for loan losses for troubled debt restructurings primarily using a discounted cash flows or collateral adequacy approach.

The following table presents newly restructured loans during 2017, 2016 and 2015 by type of modification:

At December 31, 2017, the Company had $15.0 million of loans that were modified in troubled debt restructurings and impaired, as follows: $266,000 of construction and land development loans, $6.2 million of single family and multi-family residential mortgage loans, $7.1 million of commercial real estate loans, $867,000 million of commercial business loans and $617,000 of consumer loans. Of the total troubled debt restructurings at December 31, 2017, $12.3 million were accruing interest and $8.8 million were classified as substandard using the Company’s internal grading system which is described below. The Company had no troubled debt restructurings which were modified in the previous 12 months and subsequently defaulted during the year ended December 31, 2017. When loans modified as troubled debt restructuring have subsequent payment defaults, the defaults are factored into the determination of the allowance for loan losses to ensure specific valuation allowances reflect amounts considered uncollectible. At December 31, 2016, the Company had $21.1 million of loans that were modified in troubled debt restructurings and impaired, as follows: $5.0 million of construction and land development loans, $7.4 million of single family and multi-family residential mortgage loans, $7.1 million of commercial real estate loans, $1.3 million of commercial business loans and $296,000 of consumer loans. Of the total troubled debt restructurings at December 31, 2016, $18.6 million were accruing interest and $7.9 million were classified as substandard using the Company’s internal grading system. At December 31, 2015, the Company had $45.0 million of loans that were modified in troubled debt restructurings and impaired, as follows: $7.9 million of construction and land development loans, $13.5 million of single family and multi-family residential mortgage loans, $21.3 million of commercial real estate loans, $2.0 million of commercial business loans and $311,000 of consumer loans. Of the total troubled debt restructurings at December 31, 2015, $39.0 million were accruing interest and $12.2 million were classified as substandard using the Company’s internal grading system.

During the year ended December 31, 2017, borrowers with loans designated as troubled debt restructurings totaling $998,000 met the criteria for placement back on accrual status. This criteria is generally a minimum of six months of consistent and timely payment performance under original or modified terms. The $998,000 was made up of $629,000 of residential mortgage loans, $285,000 of commercial real estate loans and $84,000 of consumer loans.

The Company reviews the credit quality of its loan portfolio using an internal grading system that classifies loans as “Satisfactory,” “Watch,” “Special Mention,” “Substandard” and “Doubtful.” Loans classified as watch are being monitored because of indications of potential weaknesses or deficiencies that may require future classification as special mention or substandard. Special mention loans possess potential weaknesses that deserve management’s close attention but do not expose the Bank to a degree of risk that warrants substandard classification. Substandard loans are characterized by the distinct possibility that the Bank will sustain some loss if certain deficiencies are not corrected. Doubtful loans are those having all the weaknesses inherent to those classified Substandard with the added characteristics that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. Loans not meeting any of the criteria previously described are considered satisfactory. The FDIC-assisted acquired loans are evaluated using this internal grading system. These loans are accounted for in pools. Minimal adverse classification in these acquired loan pools was identified as of December 31, 2017 and 2016, respectively. See Note 4 for further discussion of the acquired loan pools and termination of the loss sharing agreements.

The Company evaluates the loan risk internal grading system definitions and allowance for loan loss methodology on an ongoing basis. The general component of the allowance for loan losses is affected by several factors, including, but not limited to, average historical losses, average life of the loans, the current composition of the loan portfolio, current and expected economic conditions, collateral values and internal risk ratings. Management considers all these factors in determining the adequacy of the Company’s allowance for loan losses. No significant changes were made to the loan risk grading system definitions and allowance for loan loss methodology during the past year.

	December 31, 2017
			Special
	Satisfactory	Watch	Mention	Substandard	Doubtful	Total
	(In Thousands)

One- to four-family residential
construction	$ 20,275	$ 518	$ --	$ --	$ --	$ 20,793
Subdivision construction	15,602	2,362	--	98	--	18,062
Land development	39,171	4,800	--	--	--	43,971
Commercial construction	1,068,352	--	--	--	--	1,068,352
Owner occupied one- to-four-
family residential	188,706	--	--	1,809	--	190,515
Non-owner occupied one- to-
four-family residential	117,103	389	--	1,976	--	119,468
Commercial real estate	1,218,431	9,909	--	6,989	--	1,235,329
Other residential	742,237	1,532	--	1,876	--	745,645
Commercial business	344,479	6,306	--	2,066	500	353,351
Industrial revenue bonds	21,859	--	--	--	--	21,859
Consumer auto	354,588	--	--	2,554	--	357,142
Consumer other	62,682	--	--	686	--	63,368
Home equity lines of credit	114,860	--	--	579	--	115,439
Acquired loans no longer covered
by FDIC loss sharing
agreements, net of discounts	155,212	--	--	12	--	155,224
Acquired non-covered loans,
net of discounts	54,445	--	--	--	--	54,445

Total	$ 4,518,002	$ 25,816	$ --	$ 18,645	$ 500	$ 4,562,963

	December 31, 2016
			Special
	Satisfactory	Watch	Mention	Substandard	Doubtful	Total
	(In Thousands)

One- to four-family residential
construction	$ 20,771	$ 966	$ --	$ --	$ --	$ 21,737
Subdivision construction	14,059	2,729	--	398	--	17,186
Land development	39,925	5,140	--	5,559	--	50,624
Commercial construction	780,614	--	--	--	--	780,614
Owner occupied one- to-four-
family residential	198,835	67	--	1,438	--	200,340
Non-owner occupied one- to-
four-family residential	135,930	465	--	529	--	136,924
Commercial real estate	1,160,280	20,154	--	6,472	--	1,186,906
Other residential	658,846	4,370	--	162	--	663,378
Commercial business	342,685	2,651	--	3,292	--	348,628
Industrial revenue bonds	25,065	--	--	--	--	25,065
Consumer auto	492,165	--	--	2,068	--	494,233
Consumer other	69,338	--	--	663	--	70,001
Home equity lines of credit	108,290	--	--	463	--	108,753
Acquired FDIC-covered loans,
net of discounts	134,356	--	--	--	--	134,356
Acquired loans no longer covered
by FDIC loss sharing
agreements, net of discounts	72,552	--	--	17	--	72,569
Acquired non-covered loans,
net of discounts	76,234	--	--	--	--	76,234

Total	$ 4,329,945	$ 36,542	$ --	$ 21,061	$ --	$ 4,387,548

Certain of the Bank’s real estate loans are pledged as collateral for borrowings as set forth in Notes 9 and 11.

Certain directors and executive officers of the Company and the Bank are customers of and had transactions with the Bank in the ordinary course of business. Except for the interest rates on loans secured by personal residences, in the opinion of management, all loans included in such transactions were made on substantially the same terms as those prevailing at the time for comparable transactions with unrelated parties. Generally, residential first mortgage loans and home equity lines of credit to all employees and directors have been granted at interest rates equal to the Bank’s cost of funds, subject to annual adjustments in the case of residential first mortgage loans and monthly adjustments in the case of home equity lines of credit. At December 31, 2017 and 2016, loans outstanding to these directors and executive officers are summarized as follows: