HopFed Bancorp, Inc. Reports Second Quarter Results

HOPKINSVILLE, Ky., July 26, 2012 /PRNewswire/ --HopFed Bancorp, Inc. (NASDAQ: HFBC) (the "Company"), the holding company for Heritage Bank (the "Bank"), today reported results for the three and six month periods ended June 30, 2012. For the three month period ended June 30, 2012, the Company's net income available to common shareholders was $903,000, or $0.12 per share, basic and diluted, compared to net income available to common shareholders of $550,000, or $0.07 per share, basic and diluted, for the three month period ended June 30, 2011. For the six month period ended June 30, 2012, the Company's net income available to common shareholders was $1.4 million, or $0.18 per share, basic and diluted, compared to a net loss attributable to common shareholders of $1.5 million, or ($0.21) per share, basic and diluted, for the six month period ended June 30, 2011.

Commenting on the second quarter results, John E. Peck, President and Chief Executive Officer, said, "The Company's operating results improved modestly during the three month period ended June 30, 2012, as compared to the three month period ended March 31, 2012, and June 30, 2011, due to an increase in gains on the sales of securities and lower provision for loan loss expenses. Slight improvements in our local economy are tempered by drought concerns for our area farmers. At June30, 2012, the Company had $90.1 million in loans classified as substandard and $297,000 in loans classified as doubtful as compared to $47.5 million classified as substandard and $1.7 million classified as doubtful at December 31, 2012. The Company's main focus for the second half of 2012 will be to reduce its level of adversely classified assets."

Mr. Peck concluded, "The Company continues to improve its deposit mix as we reduce our level of time deposit funding. At June 30, 2012, time deposits account for 62.0% of total deposits, compared to 68.1% at June 30, 2011. Total brokered deposits are $51.2 million, or 6.51% of deposits, compared to $80.0 million at June 30, 2011. In the second half of 2012, the Company will experience an increase in the amount of liabilities that mature, offering the opportunity to further reduce our interest expense."

Financial Highlights

• The Company and Bank's capital ratios continue to strengthen. At June 30, 2012, the Company's tangible book value was $13.60 and our tangible common equity ratio is 10.14%. The Bank's tier 1 capital and total risk based capital ratios at June 30, 2012, are 10.47% and 19.12%, respectively. The Company's tier 1 capital and total risk based capital ratios are 11.89% and 21.77%, respectively.
• At June 30, 2012, the Company's and Bank's net classified asset to risk based capital ratios were 76.1% and 87.6%, respectively. At December 31, 2011, these ratios were 43.0% for the Company and 49.9% for the Bank. As compared to March 31, 2012, total classified assets increased by $8.8 million. The increase in classified assets consisted of a $5.0 million increase in loans secured by farmland, a $3.2 million increase in land development loans, a $2.4 million increase in multi-family loans and a $1.7 million increase in commercial real estate loans.
• At June 30, 2012, the Company's allowance for loan loss totaled $10.6 million, or 1.92% of total loans and 87.23% of non-accrual loans. In the six month period ended June 30, 2012, the Company's net charge offs totaled $2.2 million, or an annualized rate of 0.79% of average loans.
• For the three month period ended June 30, 2012, the Company's net interest margin was 2.87%, as compared to 3.06% for the three month period ended June 30, 2011, and 2.97% for the three month period ended March 31, 2012. The Company's net interest margin continues to decline as outstanding loan balances decline and higher yielding investments continued to be called.

Asset Quality

At June 30, 2012, the Company's level of non-accrual loans totaled $12.1 million, as compared to $6.1 million at December31, 2011. The increase in non-accrual loans is largely the result of two land development loans totaling $3.2 million and three non-residential real estate loans totaling $3.6 million being placed into non-accrual status.

A summary of non-accrual loans at June 30, 2012, and December 31, 2011, is as follows:

	6/30/2012		12/31/2011
	(Dollars in Thousands)
One-to-four family first mortgages	2,577		2,074
Home equity lines of credit	91		134
Junior liens	104		101
Multi-family	190		---
Construction	---		---
Land	4,290		1,330
Non-residential real estate	4,000		2,231
Farmland	727		---
Consumer loans	16		9
Commercial loans	121		254
Total non-accrual loans	12,116		6,133

A summary of the level of classified loans at June 30, 2012, is as follows:

							Specific	Reserve
			Impaired Loans				Reserve	for
June 30, 2012		Special					for	Performing
	Pass	Mention	Substandard		Doubtful	Total	Impairment	Loans
			(Dollars in Thousands)
One-to-four family mortgages	156,113	2,251	9,253		---	167,617	698	1,738
Home equity line of credit	35,480	1,542	1,072		91	38,185	37	348
Junior liens	4,624	453	485		---	5,562	---	47
Multi-family	19,610	4,719	8,276		---	32,605	666	494
Construction	11,298	---	3,974		---	15,272	---	138
Land	13,714	7,764	28,425		---	49,903	1,205	842
Non-residential real estate	137,110	2,895	31,321		206	171,532	853	2,501
Consumer loans	14,151	28	225		---	14,404	57	234
Commercial loans	46,262	2,306	7,040		---	55,608	215	495
Total	438,362	21,958	90,071		297	550,688	3,731	6,837

At June 30, 2012, non-accrual loans plus other real estate owned totaled $13.5 million, or 1.31% of total assets, as compared to $8.4 million, or 0.81% of total assets, at December 31, 2011. The Company's level of other real estate owned has declined from $2.3 million at December 31, 2011, to $1.3 million at June 30, 2012.

A summary of the activity in other real estate owned for the six month period ended June 30, 2012, is as follows:

		Activity During 2012
	Balance				Reduction	Gain (Loss)	Balance
	12/31/2011	Foreclosures		Sales	in Values	on Sales	6/30/2012
		(Dollars in Thousands)
One-to-four family mortgages	480	451		(134)	(104)	14	707
Multi-family	905	---		(875)	---	(30)	---
Construction	465	---		(235)	---	(14)	216
Land	248	383		(141)	(46)	(19)	425
Non-residential real estate	160	---		(140)	(20)	---	---
Consumer assets	9	---		(9)	---	---	---
Total	2,267	834		(1,534)	(170)	(49)	1,348

At June 30, 2012, the Company's level of loans classified as substandard and doubtful were $94.7 million and $300,000, respectively, as compared to $47.5 million and $1.7 million, respectively, at December 31, 2011. The Company's specific reserve for impaired loans was $3.7 million at June 30, 2012, and $4.1 million at December 31, 2011, respectively.

At June 30, 2012, the Company's level of performing Troubled Debt Restructurings ("TDRs") was $9.6 million, as compared to $6.2 million at December 31, 2011. A summary of the activity in loans classified as TDRs for the six month period ended June 30, 2012, is as follows:

		Balance at		New	Loss or	Removed due		Balance at
		December 31, 2011		TDR	Foreclosure	to performance		June 30, 2012
					(Dollars in Thousands)
One-to-four family mortgages		1,111		100	---	705		506
Home equity line of credit		---		244	---	37		207
Junior Lien		757		---	---	757		---
Multi-family		---		239	---	1		238
Construction		---		---	---	---		---
Land		941		4,850	7	934		4,850
Farmland		---		956	---	---		956
Non-residential real estate		3,366		---	253	589		2,524
Consumer loans		32		75	---	97		10
Commercial loans		20		931	---	570		381
Total TDR		6,227		7,395	260	3,690		9,672

A summary of TDRs and non-performing TDRs at June 30, 2012, and December 31, 2011, is stated below:

		June 30, 2012		December 31, 2011
		(Dollars in Thousands)
One-to-four family mortgages		$2,084		2,521
Home equity line of credit		$207		---
Junior lien		---		857
Multi-family		238		---
Construction		---		---
Land		7,175		941
Non-residential real estate		3,214		3,367
Farmland		956		---
Consumer loans		10		33
Commercial loans		381		125
Total TDR		$14,265		7,844
Less:
TDR in non-accrual status
One-to-four family mortgages		(1,578)		(1,410)
Home equity line of credit		---		---
Junior lien		---		(100)
Multi-family		---		---
Construction		---		---
Land		(2,325)		---
Non-residential real estate		(690)		(1)
Consumer loans		---		(1)
Commercial loans		---		(105)
Total performing TDR		$9,672		$6,227

Net Interest Income

For the three month period ended June 30, 2012, the Company's net interest income was $6.7 million, compared to $7.0million for the three month period ended June 30, 2011, and $6.9million for the three month period ended March31,2012. For the three month period ended June 30, 2012, the Company's net interest margin was 2.87%, as compared to 3.06% for the three month period ended June 30, 2011, and 2.98% for the three month period ended March 31, 2012.

For the six month period ended June 30, 2012, the Company's net interest income was $13.5 million, as compared to $13.8million for the six month period ended June 30, 2011. For the six month period ended June 30, 2012, the Company's net interest margin was 2.93%, as compared to 3.00% for the six month period ended June 30, 2011.

The decline in the Company's net interest income and net interest margin is largely to result of declining average loan balances and an increasingly high level of cash flow from our investment portfolio, resulting in an increase in premium amortizations and the reinvestment of funds at less attractive yields. During the first of 2012, assets have declined and re-priced more quickly than deposits. In the second half of 2012, the Company will experience an increase in the amount of time deposits maturing at rates that are significantly higher than current market rates. Given the poor climate for reinvesting excess funds, management anticipates that our currently pricing strategy may result in further reductions in both time and brokered deposits. Management will fund the reduction in assets by selling investment securities.

Non-interest Income

Non-interest income for the three month period ended June 30, 2012, was $2.6 million, as compared to $2.1 million for the three month periods ended June 30, 2011, and $1.9 million for the three month period ended March 31, 2012, respectively.

Non-interest income for the six month periods ended June 30, 2012, and June 30, 2011, was $4.6 million and $4.5 million, respectively.

The increase in non-interest income for the three month period ended June 30, 2012, as compared to the three month periods ended June 30, 2011, and March 31, 2012, was primarily the result of an increase in gains on the sale of securities. The Company recognized net gains on the sale of securities of $630,000, $329,000 and $44,000 for the three month periods ended June 30, 2012, June 30, 2011, and March 31, 2012, respectively. In the three month period ended June 30, 2012, the sale of securities and resulting gains were utilized to fund the reduction in higher costing time and brokered deposits.

For the three and six month periods ended June 30, 2012, the Company's revenue related to the origination and sale of fixed rate mortgage loans was $263,000 and $466,000, respectively, as compared to $58,000 and $130,000 for the same periods in 2011. The Company has experienced an increase in the amount of refinancing activity on single family homes as long term interest rates have reached historic lows.

Non-interest Expense

Non-interest expenses were $7.4 million, $7.4 million and $7.1 million for the three month periods ended June 30, 2012, June30, 2011, and March 31, 2012, respectively. For the six months ended June 30, 2012, and June 30, 2011, non-interest expenses were $14.5 million and $14.9 million, respectively.

On a linked quarter basis, professional services expenses increased by $110,000, deposit and examination fees increased by $130,000 and other operating expenses increased by $200,000. The increase in other operating expenses is the result of expenses related to the Company's annual meeting and reporting requirements as well as increases in training expenses. No other operating expense item increased by more than $100,000 from March 31, 2012, to June 30, 2012.

For the three and six month periods ended June 30, 2012, and June 30, 2011, the decline in the Company's losses on other real estate owned has largely been offset by increases in salaries and benefits and other operating expenses.

Balance Sheet

Total assets were $1.03 billion at June 30, 2012, a decrease of $14.7 million as compared to December 31, 2011. The decline in assets is largely the result of a $32.6 million reduction in time deposit balances. The reduction in time deposits included a $7.1 million decline in brokered deposits.

For the six month period ended June 30, 2012, gross loans declined by approximately $16.7 million, to $550.9 million as compared to $567.6 million at December 31, 2011. In the Company's market area, desirable lending opportunities remained limited at this time, making meaningful loan growth challenging.

The Company

HopFed Bancorp, Inc. is the holding company for Heritage Bank headquartered in Hopkinsville, Kentucky. TheBank haseighteen offices in western Kentucky and middle Tennessee in addition to its subsidiary, Fall & Fall Insurance of Fulton,Kentucky. The Company has two additional operating divisions including Heritage Solutions of Murray, Kentucky, Hopkinsville, Kentucky, Kingston Springs, Tennessee and Pleasant View,Tennessee, which offers a broad line of financial services. Heritage Mortgage Services of Clarksville, Tennessee offers long term fixed rate 1- 4 family mortgages loans that are sold into the secondary market in all communities in the Company's general market area. The Bank offers a broad line of banking and financialproducts and services with the personalized focus of a community banking organization. More information about HopFed Bancorpand Heritage Bank may be found on its website www.bankwithheritage.com.

Forward-Looking Information

Information contained in this press release, other than historical information, may be considered forward-'looking in nature andis subject to various risk, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, orshould the underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated orexpected. Among the key factors that may have a direct bearing on the Company's operating results, performance or financial condition are competition and the demand for the Company's products and services, and other factors as set forth infilings with the Securities and Exchange Commission.

HOPFED BANCORP, INC.
Balance Sheet
(Dollars in thousands)
Assets	June 30, 2012		December 31, 2011
	(Unaudited )
Cash and due from banks	$37,300		44,389
Interest-earning deposits in Federal Home Loan Bank	7,433		4,371
Cash and cash equivalents	44,733		48,760
Federal Home Loan Bank stock, at cost	4,428		4,428
Securities available for sale	391,782		383,782
Loans held for sale	130		---
Loans receivable, net of allowance for loan losses of
$10,568 at June 30, 2012, and $11,262 at December 31, 2011	540,303		556,360
Accrued interest receivable	5,374		6,183
Real estate and other assets owned	1,348		2,267
Bank owned life insurance	9,293		9,135
Premises and equipment, net	22,935		23,431
Deferred tax assets	---		1,132
Intangible asset	389		519
Other assets	5,371		4,823
Total assets	$1,026,086		1,040,820
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Non-interest-bearing accounts	$83,938		79,550
Interest-bearing accounts
NOW accounts	139,614		130,114
Savings and money market accounts	74,946		70,443
Other time deposits	487,411		519,988
Total deposits	785,909		800,095
Advances from Federal Home Loan Bank	64,484		63,319
Repurchase agreements	37,732		43,080
Subordinated debentures	10,310		10,310
Advances from borrowers for taxes and insurance	547		153
Dividends payable	179		176
Accrued expenses and other liabilities	5,539		5,204
Total liabilities	904,700		922,337
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Balance Sheet
(Dollars in thousands)
	June 30, 2012		December 31, 2011
	(Unaudited)
Stockholders' equity
Preferred stock, par value $0.01 per share;
authorized - 500,000 shares; 18,400 shares issued and
outstanding with a liquidation preference of $18,400,000
at June 30, 2012, and December 31, 2011	---		---
Common stock, par value $.01 per share; authorized
15,000,000 shares; 7,905,728 issued and 7,502,812
outstanding at June 30, 2012, and 7,895,336 issued
and 7,492,420 outstanding at December 31, 2011(a)	79		79
Common stock warrants (253,666 issued and outstanding) (a)	556		556
Additional paid-in-capital	76,077		75,967
Retained earnings-substantially restricted	40,662		39,591
Treasury stock (at cost, 402,916 shares at June 30, 2012,
and December 31, 2011)	(5,076)		(5,076)
Accumulated other comprehensive income, net of taxes	9,088		7,366
Total stockholders' equity	121,386		118,483
Total liabilities and stockholders' equity	$1,026,086		1,040,820
(a) Shares and warrants have been restated to reflect
stock dividends distributed through October 18, 2011
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Selected Financial Data
(Dollars in thousands)
		For the Three Month Periods				For the Six Month Periods
		Ended June 30,				Ended June 30,
		2012		2011		2012		2011
Interest and dividend income:
Loans receivable		7,413		8,440		15,214		16,922
Investment in securities, taxable		2,434		2,732		4,809		5,422
Nontaxable securities available for sale		547		590		1,122		1,201
Interest-earning deposits		6		4		14		8
Total interest and dividend income		10,400		11,766		21,159		23,553
Interest expense:
Deposits		2,755		3,731		5,639		7,636
Advances from Federal Home Loan Bank		565		627		1,138		1,321
Repurchase agreements		237		225		485		430
Subordinated debentures		181		180		368		365
Total interest expense		3,738		4,763		7,630		9,752
Net interest income		6,662		7,003		13,529		13,801
Provision for loan losses		400		452		1,269		4,970
Net interest income after
provision for loan losses		6,262		6,551		12,260		8,831
Non-interest income:
Service charges		973		952		1,911		1,808
Merchant card income		212		195		408		377
Mortgage origination revenue		263		58		466		130
Gain on sale of securities		630		329		674		1,050
Other than temporarily impairment
on available for sale securities		---		---		---		(14)
Income from bank owned life insurance		79		76		158		165
Financial services commission		271		232		498		419
Other operating income		211		276		441		548
Total non-interest income		2,639		2,118		4,556		4,483
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Selected Financial Data
(Dollars in thousands, except share and per share data)
	For the Three Month Periods				For the Six Month Periods
	Ended June 30,				Ended June 30,
	2012		2011		2012		2011
Non-interest expenses:
Salaries and benefits	3,561		3,352		7,068		6,678
Occupancy expense	884		797		1,739		1,585
Data processing expense	627		716		1,252		1,403
State deposit tax	162		157		324		325
Intangible amortization expense	65		81		130		162
Professional services expense	498		378		886		693
Deposit insurance and examination expense	549		567		853		1,159
Advertising expense	209		328		628		607
Postage and communications expense	157		133		298		281
Supplies expense	105		102		216		198
Loss on disposal of equipment	2		2		8		140
Loss on sale of real estate owned	72		563		219		1,072
Real estate owned expenses	25		127		71		200
Other operating expenses	523		133		846		382
Total non-interest expense	7,439		7,436		14,538		14,885
Income before income tax expense	1,462		1,233		2,278		(1,571)
Income tax expense	300		426		389		(534)
Net income	1,162		807		1,889		(1,037)
Less:
Dividend on preferred shares	231		229		460		456
Accretion dividend on preferred shares	28		28		56		55
Net income available to common shareholders	$903		$550		$1,373		($1,548)
Net income available to common shareholders
Per share, basic	$0.12		$0.07		$0.18		($0.21)
Per share, diluted	$0.12		$0.07		$0.18		($0.21)
Dividend per share	$0.02		$0.08		$0.04		$0.16
Weighted average shares outstanding - basic(a)	7,485,283		7,467,438		7,484,498		7,465,539
Weighted average shares outstanding - diluted(a)	7,485,283		7,467,438		7,484,498		7,465,539
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Selected Financial Data
(Dollars in thousands)
		For the Three
		Months Ended
						Change from
		6/30/2012		3/31/2012		Prior Quarter
Interest and dividend income:
Loans receivable		7,413		7,801		(388)
Investment in securities, taxable		2,434		2,375		59
Nontaxable securities available for sale		547		575		(28)
Interest-earning deposits		6		8		1
Total interest and dividend income		10,400		10,759		(356)
Interest expense:
Deposits		2,755		2,884		(129)
Advances from Federal Home Loan Bank		565		573		(8)
Repurchase agreements		237		248		(11)
Subordinated debentures		181		187		(6)
Total interest expense		3,738		3,892		(154)
Net interest income		6,662		6,867		(205)
Provision for loan losses		400		869		(469)
Net interest income after
provision for loan losses		6,262		5,998		264
Non-interest income:
Service charges		973		938		35
Merchant card income		212		196		16
Mortgage origination revenue		263		203		60
Gain on sale of securities		630		44		586
Income from bank owned life insurance		79		79		0
Financial services commission		271		227		44
Other operating income		211		230		(19)
Total non-interest income		2,639		1,917		722
This information is preliminary and based on company data available at the time of the presentation

HOPFED BANCORP, INC.
Selected Financial Data
(Dollars in thousands, except share and per share data)
	For the Three
	Months Ended
					Change from
	6/30/2012		3/31/2012		Prior Quarter
Non-interest expenses:
Salaries and benefits	$3,561		3,507		54
Occupancy expense	884		855		29
Data processing expense	627		625		2
State deposit tax	162		162		0
Intangible amortization expense	65		65		---
Professional services expense	498		388		110
Deposit insurance and examination expense	549		419		130
Advertising expense	209		304		---
Postage and communications expense	157		141		16
Supplies expense	105		111		(6)
Loss on disposal of equipment	2		6		(6)
Loss on sale of real estate owned	72		147		(75)
Real estate owned expenses	25		46		(21)
Other operating expenses	523		323		200
Total non-interest expense	7,439		7,099		340
Income before income tax expense	1,462		816		646
Income tax expense	300		89		211
Net income	1,162		727		435
Less:
Dividend on preferred shares	231		229		2
Accretion dividend on preferred shares	28		28		---
Net income (loss) available (attributable)
to common stockholders	$903		470		433
Net income (loss) available (attributable)
to common stockholders
Per share, basic	$0.12		$0.06		0.06
Per share, diluted	$0.12		$0.06		0.06
Dividend per share	$0.02		$0.02
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Selected Financial Data

The table below adjusts tax-free investment income for the six month periods ended June 30, 2012, and June 30, 2011, by $533,000 and $560,000, respectively; for a tax equivalent rate using a cost of funds rate of 1.80% for the six month period ended June 30, 2012, and 2.20% for the six month period ended June 30, 2011. The table adjusts tax-free loan income by $5,000 for the six month period ended June 30, 2012, and $17,000 for the six month period ended June 30, 2011, for a tax equivalent rate using the same cost of funds rate:

			Average	Income and	Average		Average	Income and	Average
			Balance	Expense	Rates		Balance	Expense	Rates
			6/30/2012	6/30/2012	6/30/2012		6/30/2011	6/30/2011	6/30/2011
			(Table Amounts in Thousands, Except Percentages)
Loans			$547,815	15,219	5.56%		$585,625	16,939	5.78%
Investments AFS taxable			329,809	4,809	2.92%		296,122	5,422	3.66%
Investment AFS tax free			66,852	1,655	4.95%		67,978	1,761	5.18%
Federal funds			14,762	14	0.19%		8,471	8	0.19%
Total interest earning assets			959,238	21,697	4.52%		958,196	24,130	5.04%
Other assets			89,115				118,070
Total assets			$1,048,353				$1,076,266
Retail time deposits			451,622	4,459	1.97%		472,620	5,703	2.41%
Brokered deposits			54,265	510	1.88%		87,992	971	2.21%
Saving & MMDA			73,453	66	0.18%		66,685	116	0.35%
Now accounts			147,336	604	0.82%		140,370	847	1.21%
FHLB borrowings			62,537	1,138	3.64%		73,564	1,321	3.59%
Repurchase agreements			41,915	485	2.31%		39,852	430	2.16%
Subordinated debentures			10,310	368	7.14%		10,310	365	7.08%
Total interest bearing liabilities			841,438	7,630	1.81%		891,393	9,753	2.19%
Non-interest bearing deposits			82,153				67,313
Other liabilities			5,212				5,196
Stockholders' equity			119,550				112,364
Total liabilities
and stockholders' equity			$1,048,353				$1,076,266
Net change in interest earning
assets and interest bearing liabilities				14,067	2.71%			14,377	2.85%
Net interest margin				2.93%				3.00%
This information is preliminary and based on company data available at the time of the presentation.

HOPFED BANCORP, INC.
Selected Financial Data

The table below adjusts tax-free investment income for the three month periods ended June 30, 2012, and June 30, 2011, by$260,000 and $275,000, respectively; for a tax equivalent rate using a cost of funds rate of 1.80% for the threemonthperiod ended June 30, 2012, and 2.20% for the three month period ended June 30, 2011. The table adjusts tax-'free loanincome by $3,000 for three month period ended June 30, 2012, and $9,000 for the three month period ended June30,2011, fora tax equivalent rate using the same cost of funds rate:

			Average	Income and	Average		Average	Income and	Average
			Balance	Expense	Rates		Balance	Expense	Rates
			6/30/2012	6/30/2012	6/30/2012		6/30/2011	6/30/2011	6/30/2011
			(Table Amounts in Thousands, Except Percentages)
Loans			$544,056	7,416	5.45%		$578,815	8,449	5.84%
Investments AFS taxable			339,125	2,434	2.87%		299,228	2,732	3.65%
Investment AFS tax free			68,035	807	4.74%		68,580	865	5.05%
Federal funds			13,632	6	0.18%		7,062	4	0.23%
Total interest earning assets			964,848	10,663	4.42%		953,685	12,050	5.05%
Other assets			79,426				113,166
Total assets			$1,044,274				$1,066,851
Retail time deposits			445,784	2,186	1.96%		474,583	2,808	2.37%
Brokered deposits			51,185	226	1.77%		83,626	455	2.18%
Savings & MMDA			74,472	33	0.18%		67,906	60	0.35%
Now accounts			150,813	310	0.82%		135,890	410	1.21%
FHLB borrowings			62,105	565	3.64%		70,595	627	3.55%
Repurchase agreements			39,788	237	2.38%		39,082	225	2.30%
Subordinated debentures			10,310	181	7.02%		10,310	180	6.98%
Total interest bearing liabilities			834,457	3,738	1.79%		881,992	4,765	2.16%
Non-interest bearing deposits			83,803				67,906
Other liabilities			4,158				5,549
Stockholders' equity			121,856				111,404
Total liabilities
and stockholders' equity			$1,044,274				$1,066,851
Net change in interest earning
assets and interest bearing liabilities				6,925	2.63%			7,285	2.89%
Net yield on interest earning assets				2.87%				3.06%

SOURCE HopFed Bancorp, Inc.