GlobeNewswire Inc | Jan 20, 2022 04:01PM EST

January 20, 2022

LITTLE ROCK, Arkansas, Jan. 20, 2022 (GLOBE NEWSWIRE) -- Bank OZK (the Bank) (Nasdaq: OZK) today announced that net income for the fourth quarter of 2021 was $149.8 million, a 24.3% increase from $120.5 million for the fourth quarter of 2020. Diluted earnings per common share for the fourth quarter of 2021 were a quarterly record $1.17, a 25.8% increase from $0.93 for the fourth quarter of 2020.

For the full year of 2021, net income was a record $579.0 million, a 98.4% increase from $291.9 million for the full year of 2020. Diluted earnings per common share for the full year of 2021 were a record $4.47, a 97.8% increase from $2.26 for the full year of 2020.

As a result of improved economic conditions and prospects for improvement in the U. S. economy, management recorded negative provision for credit losses of $8.0 million during the fourth quarter and $77.9 million for the full year of 2021, reducing the Banks total allowance for credit losses (ACL) from $377.3 million at December 31, 2020 to $289.0 million at December 31, 2021. The Banks provision for credit losses was $6.8 million during the fourth quarter and $203.6 million for the full year of 2020.

Pre-tax pre-provision net revenue (PPNR) was $186.0 million for the fourth quarter of 2021, a 14.2% increase from $162.9 million for the fourth quarter of 2020. PPNR was $675.0 million for the full year of 2021, a 16.4% increase from $579.8 million for the full year of 2020. The calculation of PPNR and the reconciliation to generally accepted accounting principles (GAAP) are included in the schedules accompanying this release.

The Banks annualized returns on average assets, average common stockholders equity and average tangible common stockholders equity for the fourth quarter of 2021 were 2.25%, 13.08% and 15.34%, respectively, compared to 1.79%, 11.36% and 13.53%, respectively, for the fourth quarter of 2020. The Banks returns on average assets, average common stockholders equity and average tangible common stockholders equity for the full year of 2021 were 2.17%, 13.01% and 15.32%, respectively, compared to 1.13%, 7.04% and 8.41%, respectively, for the full year of 2020. The calculation of the Banks returns on average common stockholders equity and average tangible common stockholders equity and the reconciliations to GAAP are included in the schedules accompanying this release.

George Gleason, Chairman and Chief Executive Officer stated, We are pleased to report our excellent results for the fourth quarter and full year of 2021 results that were record setting in many respects. We were particularly pleased to report our highest ever level of quarterly RESG loan originations, as organic growth is an important component of our long-term strategy to increase shareholder value. Our strong capital and liquidity, disciplined credit culture and outstanding team have us well positioned for the future.

KEY BALANCE SHEET METRICS

Total loans were $18.31 billion at December 31, 2021, a 4.7% decrease from $19.21 billion at December 31, 2020. Non-purchased loans were $17.79 billion at December 31, 2021, a 3.3% decrease from $18.40 billion at December 31, 2020. Purchased loans, which consist of loans acquired in previous acquisitions, were $0.52 billion at December 31, 2021, a 36.1% decrease from $0.81 billion at December 31, 2020.

Deposits were $20.21 billion at December 31, 2021, a 5.8% decrease from $21.45 billion at December 31, 2020. Total assets were $26.53 billion at December 31, 2021, a 2.3% decrease from $27.16 billion at December 31, 2020.

Common stockholders equity was $4.50 billion at December 31, 2021, a 5.3% increase from $4.27 billion at December 31, 2020. Tangible common stockholders equity was $3.83 billion at December 31, 2021, a 6.4% increase from $3.60 billion at December 31, 2020. Book value per common share was $35.85 at December 31, 2021, an 8.5% increase from $33.03 at December 31, 2020. Tangible book value per common share was $30.52 at December 31, 2021, a 9.7% increase from $27.81 at December 31, 2020. The calculations of the Banks common stockholders equity, tangible common stockholders equity and tangible book value per common share and the reconciliations to GAAP are included in the schedules accompanying this release.

The Banks ratio of total common stockholders equity to total assets was 16.95% at December 31, 2021, compared to 15.73% at December 31, 2020. Its ratio of total tangible common stockholders equity to total tangible assets was 14.80% at December 31, 2021, compared to 13.58% at December 31, 2020. The calculation of the Banks ratio of total tangible common stockholders equity to total tangible assets and the reconciliation to GAAP are included in the schedules accompanying this release.

PREFERRED STOCK OFFERING

On November 4, 2021, the Bank completed its public offering of 14,000,000 shares of its 4.625% Series A Non-Cumulative Perpetual Preferred Stock (Preferred Stock), par value $0.01 per share, with a liquidation preference of $25 per share, which represents $350 million in aggregate liquidation preference. The Bank received net proceeds from the Preferred Stock, after deducting the initial purchaser discount and offering expenses, of $339.0 million.

SUBORDINATED DEBT REDEMPTION AND OFFERING

In July 2021, the Bank redeemed all of its $225 million of 5.50% Fixed-to-Floating rate Subordinated Notes at a redemption price equal to 100% of the principal amount of the subordinated notes plus accrued and unpaid interest. As a result of the subordinated debt redemption, the Bank recognized approximately $0.8 million in remaining unamortized debt issue cost as non-interest expense during the third quarter of 2021.

In September 2021, the Bank completed its public offering of $350 million in aggregate principal amount of its 2.75% Fixed-to-Floating rate Subordinated Notes (the 2.75% Notes) due 2031, which bear interest at a fixed rate of 2.75% per annum until September 30, 2026. On October 1, 2026, the 2.75% Notes will bear interest at a floating rate equal to a benchmark (which is expected to be three-month SOFR) plus 209 basis points. The 2.75% Notes are unsecured, subordinated debt obligations and mature on October 1, 2031. As of December 31, 2021, the 2.75% Notes had a carrying value of $346.1 million and remaining unamortized debt issuance cost of $3.9 million.

STOCK REPURCHASE PROGRAM

In July 2021, the Bank adopted a stock repurchase program. In conjunction with the Banks Preferred Stock offering, its Board of Directors increased the size of its stock repurchase program from $300 million up to $650 million of the Banks outstanding common stock. During the quarter just ended, the Bank repurchased 3,387,421 shares at a weighted average cost of $46.16, for a total of $156.4 million. During 2021, the Bank repurchased 4,275,988 shares at a weighted average cost of $45.21, for a total of $193.4 million. The timing and amount of future repurchases will be determined by management based on a variety of factors such as the Banks capital position, liquidity, financial performance and alternative uses of capital, stock price, regulatory requirements and general market and economic conditions. The repurchase program may be suspended by the Bank at any time.

MANAGEMENTS COMMENTS, CONFERENCE CALL, TRANSCRIPT AND FILINGS

In connection with this release, the Bank released managements comments on its quarterly results, which are available at http://ir.ozk.com. This release should be read in conjunction with managements comments on the quarterly results.

Management will conduct a conference call to take questions on these quarterly results and managements comments at 10:00 a.m. CT (11:00 a.m. ET) on January 21, 2022. Interested parties may listen to this call by dialing 1-844-818-5110 (U.S. and Canada) or 210-229-8841 (internationally) and asking for the Bank OZK conference call. A recorded playback of the call will be available for one week following the call at 1-855-859-2056 (U.S. and Canada) or 404-537-3406 (internationally). The conference ID for this playback is 5324497. The call will be available live or in a recorded version on the Banks Investor Relations website at ir.ozk.com under Company News/Webcasts. The Bank will also provide a transcript of the conference call on its Investor Relations website.

The Bank files with the Federal Deposit Insurance Corporation (FDIC) annual, quarterly and current reports, proxy materials and other information required by the Securities Exchange Act of 1934, copies of which are available electronically at the FDICs website at https://efr.fdic.gov/fcxweb/efr/index.html and are also available on the Banks Investor Relations website at http://ir.ozk.com. To receive automated email alerts for these materials, please visit http://ir.ozk.com/EmailNotification to sign up.

NON-GAAP FINANCIAL MEASURES

This release contains certain non-GAAP financial measures.The Bank uses these non-GAAP financial measures, specifically return on average tangible common stockholders equity, tangible book value per common share, total common stockholders equity, total tangible common stockholders equity, the ratio of total tangible common stockholders equity to total tangible assets, and PPNR, to assess the strength of its capital, its ability to generate earnings on tangible capital invested by its shareholders and trends in its net revenue. These measures typically adjust GAAP financial measures to exclude intangible assets or provision for credit losses. Management believes presentation of these non-GAAP financial measures provides useful supplemental information which contributes to a proper understanding of the financial results and capital levels of the Bank. These non-GAAP disclosures should not be viewed as a substitute for financial results determined in accordance with GAAP, and they are not necessarily comparable to non-GAAP performance measures that may be presented by other banks. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the tables at the end of this release under the caption Reconciliation of Non-GAAP Financial Measures.

FORWARD-LOOKING STATEMENTS

This release and other communications by the Bank include certain forward-looking statements regarding the Banks plans, expectations, thoughts, beliefs, estimates, goals and outlook for the future that are intended to be covered by the Private Securities Litigation Reform Act of 1995.Forward-looking statements are based on managements expectations as well as certain assumptions and estimates made by, and information available to, management at the time. Those statements are not guarantees of future results or performance and are subject to certain known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements.These risks, uncertainties and other factors include, but are not limited to: potential delays or other problems implementing the Banks growth, expansion and acquisition strategies, including delays in identifying satisfactory sites, hiring or retaining qualified personnel, obtaining regulatory or other approvals, obtaining permits and designing, constructing and opening new offices or relocating, selling or closing existing offices; the ability to enter into and/or close additional acquisitions; the availability of and access to capital; possible downgrades in the Banks credit ratings or outlook which could increase the costs of or decrease the availability of funding from capital markets; the ability to attract new or retain existing or acquired deposits or to retain or grow loans, including growth from unfunded closed loans; the ability to generate future revenue growth or to control future growth in non-interest expense; interest rate fluctuations, including changes in the yield curve between short-term and long-term interest rates or changes in the relative relationships of various interest rate indices; the potential impact of the phase-out of the London Interbank Offered Rate (LIBOR) or other changes involving LIBOR; competitive factors and pricing pressures, including their effect on the Banks net interest margin or core spread; general economic, unemployment, credit market and real estate market conditions, and the effect of such conditions on the creditworthiness of borrowers, collateral values, the value of investment securities and asset recovery values; changes in legal, financial and/or regulatory requirements; recently enacted and potential legislation and regulatory actions and the costs and expenses to comply with new and/or existing legislation and regulatory actions, including those in response to the COVID-19 pandemic such as the Coronavirus Aid, Relief and Economic Security Act, the Consolidated Appropriations Act of 2021, the American Rescue Plan Act of 2021, and any similar or related laws, rules and regulations; the impact of any future federal government shutdown and uncertainty regarding the federal governments debt limit or changes in U.S. government monetary and fiscal policy; FDIC special assessments or changes to regular assessments; the ability to keep pace with technological changes, including changes regarding maintaining cybersecurity; the impact of failure in, or breach of, the Banks operational or security systems or infrastructure, or those of third parties with whom it does business, including as a result of cyber-attacks or an increase in the incidence or severity of fraud, illegal payments, security breaches or other illegal acts impacting the Bank or its customers; natural disasters or acts of war or terrorism; the adverse effects of the COVID-19 pandemic, including the duration of the pandemic and actions taken to contain or treat COVID-19, on the Bank, the Banks customers, the Banks staff, the global economy and financial markets; potential impact of supply chain disruptions or inflation; national, international or political instability; impairment of the Banks goodwill or other intangible assets; adoption of new accounting standards, or changes in existing standards; and adverse results (including costs, fines, reputational harm and/or other negative effects) from current or future litigation, regulatory examinations or other legal and/or regulatory actions or rulings as well as other factors identified in this press release or as detailed from time to time in the other public reports the Bank files with the FDIC, including those factors described in the disclosures under the headings Forward-Looking Information and Item 1A. Risk Factors in the Banks most recent Annual Report on Form 10-K for the year ended December 31, 2020 and its quarterly reports on Form 10-Q. Should one or more of the foregoing risks materialize, or should underlying assumptions prove incorrect, actual results or outcomes may vary materially from those projected in, or implied by, such forward-looking statements. The Bank disclaims any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information or otherwise.

GENERAL INFORMATION

Bank OZK (Nasdaq: OZK) is a regional bank providing innovative financial solutions delivered by expert bankers with a relentless pursuit of excellence. Headquartered in Little Rock, Arkansas, Bank OZK conducts operations with over 240 offices in eight states including Arkansas, Georgia, Florida, North Carolina, Texas, California, New York and Mississippi. Bank OZK can be found at www.ozk.com and on Facebook, Twitter and LinkedIn or contacted at (501) 978-2265 or P. O. Box 8811, Little Rock, Arkansas 72231-8811.

Investor Contact: Tim Hicks (501) 978-2336Media Contact: Candace Graham (501) 320-4165

Bank OZKConsolidated Balance SheetsUnaudited

December 31, 2021 2020 (Dollars in thousands, except per share amounts)ASSETS Cash and cash equivalents $ 2,053,829 $ 2,393,662 Investment securities ? available for 3,916,733 3,405,351 sale ("AFS")Investment securities ? trading 14,957 ? Federal Home Loan Bank of Dallas and 40,788 38,486 other bankers' bank stocksNon-purchased loans 17,791,610 18,401,495 Purchased loans 516,215 807,673 Allowance for loan losses (217,380 ) (295,824 )Net loans 18,090,445 18,913,344 Premises and equipment, net 695,857 738,842 Foreclosed assets 5,744 11,085 Accrued interest receivable 83,025 88,077 Bank owned life insurance (?BOLI?) 774,822 758,071 Goodwill and other intangible assets, net 669,063 675,458 Other, net 185,167 140,220 Total assets $ 26,530,430 $ 27,162,596 LIABILITIES AND STOCKHOLDERS? EQUITY Deposits: Demand non-interest bearing $ 4,983,788 $ 3,996,546 Savings and interest bearing transaction 9,245,727 8,160,982 Time 5,979,619 9,292,828 Total deposits 20,209,134 21,450,356 Repurchase agreements with customers 6,115 8,013 Other borrowings 750,206 750,928 Subordinated notes 346,133 224,047 Subordinated debentures 121,033 120,475 Reserve for losses on unfunded loan 71,609 81,481 commitmentsAccrued interest payable and other 186,840 251,940 liabilitiesTotal liabilities 21,691,070 22,887,240 Commitments and contingencies Stockholders? equity: Preferred stock; $0.01 par value;100,000,000 shares authorized;14,000,000 and no shares issued and 338,980 ? outstanding at December 31,2021 and 2020, respectivelyCommon stock; $0.01 par value;300,000,000 shares authorized;125,443,748 and 129,350,448 shares issued 1,254 1,294 and outstanding atDecember 31, 2021 and 2020, respectivelyAdditional paid-in capital 2,093,702 2,265,850 Retained earnings 2,378,466 1,946,875 Accumulated other comprehensive income 23,841 58,252 Total stockholders? equity before 4,836,243 4,272,271 noncontrolling interestNoncontrolling interest 3,117 3,085 Total stockholders? equity 4,839,360 4,275,356 Total liabilities and stockholders? $ 26,530,430 $ 27,162,596 equity

Bank OZKConsolidated Statements of IncomeUnaudited

Three Months Ended Year Ended December 31, December 31, 2021 2020 2021 2020 (Dollars in thousands, except per share amounts) Interest income: Non-purchased loans $ 256,021 $ 243,064 $ 972,660 $ 944,354 Purchased loans 11,190 16,069 46,174 70,812 Investment securities:Taxable 9,448 9,066 36,234 40,547 Tax-exempt 2,869 4,767 13,729 19,403 Deposits with banksand federal funds 953 428 2,510 5,665 soldTotal interest income 280,481 273,394 1,071,307 1,080,781 Interest expense: Deposits 9,514 30,607 64,422 171,813 Repurchase agreements 3 6 17 23 with customersOther borrowings 1,017 1,011 4,012 3,179 Subordinated notes 2,631 3,207 9,386 12,758 Subordinated 935 963 3,750 4,384 debenturesTotal interest 14,100 35,794 81,587 192,157 expense Net interest income 266,381 237,600 989,720 888,624 Provision for credit (7,992 ) 6,750 (77,938 ) 203,639 lossesNet interest incomeafter provision for 274,373 230,850 1,067,658 684,985 credit losses Non-interest income: Service charges on deposit accounts:NSF/Overdraft fees 4,315 4,024 14,962 14,782 All other service 7,149 5,959 27,656 22,917 chargesTrust income 2,141 1,909 8,506 7,544 BOLI income: Increase in cash 4,901 5,034 19,640 20,239 surrender valueDeath benefits 618 ? 2,028 608 Loan service,maintenance and other 3,148 3,797 13,959 14,257 feesGains on sales of 1,330 5,189 9,962 6,863 other assetsNet gains on 504 ? 504 4,467 investment securitiesOther 5,589 2,749 18,321 12,931 Total non-interest 29,695 28,661 115,538 104,608 income Non-interest expense: Salaries and employee 55,034 53,832 214,567 206,834 benefitsNet occupancy and 17,004 15,617 66,801 63,379 equipmentOther operating 38,068 33,945 148,907 143,200 expensesTotal non-interest 110,106 103,394 430,275 413,413 expense Income before taxes 193,962 156,117 752,921 376,180 Provision for income 44,197 35,607 173,888 84,314 taxesNet income 149,765 120,510 579,033 291,866 Earnings attributableto noncontrolling (5 ) 3 (32 ) 32 interestNet income availableto common $ 149,760 $ 120,513 $ 579,001 $ 291,898 stockholders Basic earnings per $ 1.17 $ 0.93 $ 4.49 $ 2.26 common share Diluted earnings per $ 1.17 $ 0.93 $ 4.47 $ 2.26 common share

Bank OZKConsolidated Statements of Stockholders EquityUnaudited

Additional Accumulated Non- Preferred Common Paid-In Retained Other Controlling Total Stock Stock Capital Earnings Comprehensive Interest Income (Dollars in thousands, except per share amounts) Three months ended December 31, 2021: Balances ?September 30, $ ? $ 1,288 $ 2,245,012 $ 2,266,234 $ 40,706 $ 3,112 $ 4,556,352 2021Net income ? ? ? 149,765 ? ? 149,765 Earningsattributable to ? ? ? (5 ) ? 5 ? noncontrollinginterestTotal othercomprehensive ? ? ? ? (16,865 ) ? (16,865 )lossCommon stockdividends, $0.29 ? ? ? (37,528 ) ? ? (37,528 )pershareIssuance of14,000,000 sharesof 338,980 ? ? ? ? ? 338,980 preferred stock,net of offeringcostsIssuance of31,400 shares ofcommon ? ? 1,131 ? ? ? 1,131 stock forexercise of stockoptionsRepurchase andcancellation of3,387,421shares of common ? (34 ) (156,410 ) ? ? ? (156,444 )stock under sharerepurchaseprogramStock-basedcompensation ? ? 3,969 ? ? ? 3,969 expenseForfeitures of18,050 shares ofunvested ? ? ? ? ? ? ? restricted commonstockBalances ? $ 338,980 $ 1,254 $ 2,093,702 $ 2,378,466 $ 23,841 $ 3,117 $ 4,839,360 December 31, 2021 Year endedDecember 31, 2021:Balances ? $ ? $ 1,294 $ 2,265,850 $ 1,946,875 $ 58,252 $ 3,085 $ 4,275,356 December 31, 2020Net income ? ? ? 579,033 ? ? 579,033 Earningsattributable to ? ? ? (32 ) ? 32 ? noncontrollinginterestTotal othercomprehensive ? ? ? ? (34,411 ) ? (34,411 )lossCommon stockdividends, ? ? ? (147,410 ) ? ? (147,410 )$1.1325 pershareIssuance of14,000,000 sharesof 338,980 ? ? ? ? ? 338,980 preferred stock,net of offeringcostsIssuance of207,650 shares ofcommon ? 2 7,224 ? ? ? 7,226 stock forexercise of stockoptionsIssuance of332,831 shares ofunvested ? 3 (3 ) ? ? ? ? restricted commonstockRepurchase andcancellation of4,275,988shares of common ? (43 ) (193,401 ) ? ? ? (193,444 )stock under sharerepurchaseprogramRepurchase andcancellation of55,893shares of commonstock withheld ? (1 ) (1,976 ) ? ? ? (1,977 )fortaxes pursuant torestricted stockvestingStock-basedcompensation ? ? 16,007 ? ? ? 16,007 expenseForfeitures of115,300 shares ofunvested ? (1 ) 1 ? ? ? ? restricted commonstockBalances ? $ 338,980 $ 1,254 $ 2,093,702 $ 2,378,466 $ 23,841 $ 3,117 $ 4,839,360 December 31, 2021

Bank OZKConsolidated Statements of Stockholders EquityUnaudited

Additional Accumulated Non- Common Paid-In Retained Other Controlling Total Stock Capital Earnings Comprehensive Interest Income (Dollars in thousands, except per share amounts) Three months ended December 31, 2020:Balances ? September $ 1,293 $ 2,261,864 $ 1,862,012 $ 61,116 $ 3,088 $ 4,189,373 30, 2020Net income ? ? 120,510 ? ? 120,510 Earnings attributableto noncontrolling ? ? 3 ? (3 ) ? interestTotal other ? ? ? (2,864 ) ? (2,864 )comprehensive lossCommon stockdividends, $0.275 per ? ? (35,650 ) ? ? (35,650 )shareIssuance of 39,900shares of common ? 991 ? ? ? 991 stock for exercise ofstock optionsStock-based ? 2,996 ? ? ? 2,996 compensation expenseForfeitures of 31,525shares of unvested 1 (1 ) ? ? ? ? restricted commonstockBalances ? December $ 1,294 $ 2,265,850 $ 1,946,875 $ 58,252 $ 3,085 $ 4,275,356 31, 2020 Year ended December 31, 2020:Balances ? December $ 1,289 $ 2,251,824 $ 1,869,983 $ 27,255 $ 3,117 $ 4,153,468 31, 2019Cumulative effect ofchange ? ? (75,344 ) ? ? (75,344 )in accountingprincipleBalances ? January 1, 1,289 2,251,824 1,794,639 27,255 3,117 4,078,124 2020Net income ? ? 291,866 ? ? 291,866 Earnings attributableto noncontrolling ? ? 32 ? (32 ) ? interestTotal other ? ? ? 30,997 ? 30,997 comprehensive incomeCommon stockdividends, ? ? (139,662 ) ? ? (139,662 )$1.0775 per shareIssuance of 44,200shares of common ? 1,036 ? ? ? 1,036 stock for exercise ofstock optionsIssuance of 493,761shares of unvested 5 (5 ) ? ? ? ? restricted commonstockRepurchase andcancellation of 61,873shares of common stockwithheld for (1 ) (1,852 ) ? ? ? (1,853 )taxes pursuant torestricted stockvestingStock-based ? 14,848 ? ? ? 14,848 compensation expenseForfeitures of 76,664shares of unvested 1 (1 ) ? ? ? ? restricted commonstockBalances ? December $ 1,294 $ 2,265,850 $ 1,946,875 $ 58,252 $ 3,085 $ 4,275,356 31, 2020

Bank OZKSummary of Non-Interest ExpenseUnaudited

Three Months Ended Year Ended December 31, December 31, 2021 2020 2021 2020 (Dollars in thousands) Salaries and $ 55,034 $ 53,832 $ 214,567 $ 206,834 employee benefitsNet occupancy and 17,004 15,617 66,801 63,379 equipmentOther operating expenses:Professional and 7,880 6,988 29,013 29,605 outside servicesSoftware and data 6,165 5,729 23,860 21,279 processingDeposit insurance 2,125 3,647 11,185 15,247 and assessmentsTelecommunication 2,064 2,296 8,427 9,159 servicesPostage and 1,909 1,709 6,627 7,462 suppliesATM expense 1,639 1,490 6,255 5,256 Travel and meals 1,883 835 5,694 4,336 Writedowns offoreclosed and 985 1,582 3,461 3,669 other assetsLoan collectionand repossession 587 481 2,044 3,062 expenseAdvertising and 1,151 1,086 2,772 6,050 public relationsAmortization of 1,517 1,794 6,394 9,085 intangiblesAmortization ofCRA and tax credit 2,755 821 15,078 8,279 investmentsOther 7,408 5,487 28,097 20,711 Total non-interest $ 110,106 $ 103,394 $ 430,275 $ 413,413 expense

Bank OZKSummary of Total Loans OutstandingUnaudited

December 31, 2021 2020 (Dollars in thousands) Real estate: Residential 1-4 $ 887,024 4.8 % $ 911,115 4.7 %familyNon-farm/ 3,782,892 20.7 4,267,147 22.2 non-residentialConstruction/land 8,246,674 45.0 7,993,467 41.6 developmentAgricultural 247,727 1.4 204,868 1.1 Multifamily 934,845 5.1 856,297 4.5 residentialTotal real estate 14,099,162 77.0 14,232,894 74.1 Commercial and 510,784 2.8 842,206 4.4 industrialConsumer 2,185,429 11.9 2,393,964 12.5 Other 1,512,450 8.3 1,740,104 9.0 Total loans 18,307,825 100.0 % 19,209,168 100.0 %Allowance for loan (217,380 ) (295,824 ) lossesNet loans $ 18,090,445 $ 18,913,344

Bank OZKAllowance for Credit LossesUnaudited

Allowance Reserve for Losses on Total Allowance for Loan Unfunded Loan for Credit Losses Commitments Losses (Dollars in thousands) Three monthsended December 31, 2021:Balances ?September 30, $ 237,722 $ 61,076 $ 298,798 2021Net (1,817 ) ? (1,817 )charge-offsProvision for (18,525 ) 10,533 (7,992 )credit lossesBalances ?December 31, $ 217,380 $ 71,609 $ 288,989 2021 Year endedDecember 31, 2021:Balances ?December 31, $ 295,824 $ 81,481 $ 377,305 2020Net (10,378 ) ? (10,378 )charge-offsProvision for (68,066 ) (9,872 ) (77,938 )credit lossesBalances ?December 31, $ 217,380 $ 71,609 $ 288,989 2021 Three monthsended December 31, 2020:Balances ?September 30, $ 308,847 $ 68,426 $ 377,273 2020Net (6,718 ) ? (6,718 )charge-offsProvision for (6,305 ) 13,055 6,750 credit lossesBalances ?December 31, $ 295,824 $ 81,481 $ 377,305 2020 Year endedDecember 31, 2020:Balances ?December 31, $ 108,525 $ ? $ 108,525 2019Adoption ofCECL^ (^1) 39,588 54,924 94,512 methodologyBalances ?January 1, 148,113 54,924 203,037 2020Net (29,371 ) ? (29,371 )charge-offsProvision for 177,082 26,557 203,639 credit lossesBalances ?December 31, $ 295,824 $ 81,481 $ 377,305 2020

(1) Current Expected Credit Loss.

Bank OZKSummary of Deposits By Account TypeUnaudited

December 31, 2021 2020 (Dollars in thousands) Non-interest $ 4,983,788 24.7 % $ 3,996,546 18.6 %bearingInterest bearing: Transaction (NOW) 3,412,369 16.9 3,124,007 14.6 Savings and money 5,833,358 28.9 5,036,975 23.5 marketTime deposits less 1,801,454 8.9 3,075,845 14.3 than $100Time deposits of 4,178,165 20.6 6,216,983 29.0 $100 or moreTotal deposits $ 20,209,134 100.0 % $ 21,450,356 100.0 %

Summary of Deposits By Customer TypeUnaudited

December 31, 2021 2020 (Dollars in thousands) Non-Interest Bearing $ 4,983,788 24.7 % $ 3,996,546 18.6 %Interest Bearing: Consumer and Commercial:Consumer ? Non-Time 4,334,378 21.4 3,506,014 16.3 Consumer ? Time 4,318,742 21.4 6,511,664 30.4 Commercial ? Non-Time 2,634,817 13.0 2,178,253 10.2 Commercial ? Time 905,347 4.5 1,137,040 5.3 Public Funds 2,094,800 10.4 2,004,593 9.3 Brokered 452,137 2.2 1,600,116 7.5 Reciprocal 485,125 2.4 516,130 2.4 Total deposits $ 20,209,134 100.0 % $ 21,450,356 100.0 %

Bank OZKSelected Consolidated Financial DataUnaudited

Three Months Ended Year Ended December 31, December 31, 2021 2020 % Change 2021 2020 % Change (Dollars in thousands, except per share amounts) Income statement data:Net interest income $ 266,381 $ 237,600 12.1 % $ 989,720 $ 888,624 11.4 %Provision for credit (7,992 ) 6,750 (218.4 ) (77,938 ) 203,639 (138.3 )lossesNon-interest income 29,695 28,661 3.6 115,538 104,608 10.4 Non-interest expense 110,106 103,394 6.5 430,275 413,413 4.1 Net income availableto common 149,760 120,513 24.3 579,001 291,898 98.4 stockholdersPre-taxpre-provision net 185,970 162,867 14.2 674,983 579,819 16.4 revenue ^(1)Common share and per common share data:Net income per share $ 1.17 $ 0.93 25.8 % $ 4.47 $ 2.26 97.8 %? dilutedNet income per share 1.17 0.93 25.8 4.49 2.26 98.7 ? basicDividends per share 0.29 0.275 5.5 1.1325 1.0775 5.1 Book value per share 35.85 33.03 8.5 35.85 33.03 8.5 Tangible book value 30.52 27.81 9.7 30.52 27.81 9.7 per share ^(1)Weighted-averagediluted shares 128,246 129,523 (1.0 ) 129,618 129,435 0.1 outstanding(thousands)End of period sharesoutstanding 125,444 129,350 (3.0 ) 125,444 129,350 (3.0 )(thousands)Balance sheet data at period end:Total assets $ 26,530,430 $ 27,162,596 (2.3 ) $ 26,530,430 $ 27,162,596 (2.3 ) % %Total loans 18,307,825 19,209,168 (4.7 ) 18,307,825 19,209,168 (4.7 )Non-purchased loans 17,791,610 18,401,495 (3.3 ) 17,791,610 18,401,495 (3.3 )Purchased loans 516,215 807,673 (36.1 ) 516,215 807,673 (36.1 )Allowance for loan 217,380 295,824 (26.5 ) 217,380 295,824 (26.5 )lossesForeclosed assets 5,744 11,085 (48.2 ) 5,744 11,085 (48.2 )Investment 3,916,733 3,405,351 15.0 3,916,733 3,405,351 15.0 securities ? AFSGoodwill and otherintangible assets, 669,063 675,458 (0.9 ) 669,063 675,458 (0.9 )netDeposits 20,209,134 21,450,356 (5.8 ) 20,209,134 21,450,356 (5.8 )Other borrowings 750,206 750,928 (0.1 ) 750,206 750,928 (0.1 )Subordinated notes 346,133 224,047 54.5 346,133 224,047 54.5 Subordinated 121,033 120,475 0.5 121,033 120,475 0.5 debenturesUnfunded balance of 13,619,578 11,847,117 15.0 13,619,578 11,847,117 15.0 closed loansReserve for losseson unfunded loan 71,609 81,481 (12.11 ) 71,609 81,481 (12.11 )commitmentsPreferred stock 338,980 ? NM 338,980 ? NM Total commonstockholders? equity 4,497,263 4,272,271 5.3 4,497,263 4,272,271 5.3 ^(1)Net unrealized gainson investmentsecurities AFS 23,841 58,252 23,841 58,252 included instockholders? equityLoan (includingpurchased loans) to 90.59 % 89.55 % 90.59 % 89.55 % deposit ratioSelected ratios: Return on average 2.25 % 1.79 % 2.17 % 1.13 % assets ^(2)Return on averagecommon stockholders? 13.08 11.36 13.01 7.04 equity ^(1) (2)Return on averagetangible common 15.34 13.53 15.32 8.41 stockholders? equity^(1) (2)Net interest margin 4.41 3.88 4.09 3.81 ? FTE ^(2)Efficiency ratio 37.06 38.61 38.76 41.37 Net charge-offs toaverage 0.05 0.14 0.06 0.09 non-purchased loans^(2) (3)Net charge-offs toaverage total loans 0.04 0.14 0.06 0.16 ^(2)Nonperforming loans 0.19 0.25 0.19 0.25 to total loans ^(4)Nonperforming assets 0.15 0.21 0.15 0.21 to total assets ^(4)Allowance for loanlosses to total 1.19 1.54 1.19 1.54 loans ^(5)Other information: Non-accrual loans ^ $ 33,274 $ 44,402 $ 33,274 $ 44,402 (4)Accruing loans ? 90 ? ? ? ? days past due ^(4)Troubled andrestructured 1,285 1,483 1,285 1,483 non-purchased loans? accruing ^(4)

^(1) Calculations of pre-tax pre-provision net revenue, total commonstockholders? equity, tangible book value per common share and returns onaverage common stockholders? equity and average tangible common stockholders?equity and the reconciliations to GAAP are included in the schedulesaccompanying this release.^(2) Ratios for interim periods annualized based on actual days.^(3) Excludes purchased loans and net charge-offs related to such loans.^(4) Excludes purchased loans, except for their inclusion in total assets.^(5) Excludes reserve for losses on unfunded loan commitments.NM ? Not meaningful

Selected Consolidated Financial Data (continued)Unaudited

Three Months Ended December 31, September 30, 2021 2021 % Change (Dollars in thousands, except per share amounts)Income statement data: Net interest income $ 266,381 $ 247,957 7.4 %Provision for credit losses (7,992 ) (7,454 ) 7.2 Non-interest income 29,695 25,984 14.3 Non-interest expense 110,106 110,397 (0.3 )Net income available to common 149,760 130,290 14.9 stockholdersPre-tax pre-provision net revenue 185,970 163,544 13.7 ^ (1)Common share and per common share data:Earnings per share ? diluted $ 1.17 $ 1.00 17.0 %Earnings per share ? basic 1.17 1.01 15.8 Dividends per share 0.29 0.285 1.8 Book value per share 35.85 35.35 1.4 Tangible book value per share^ 30.52 30.14 1.3 (1)Weighted-average diluted shares 128,246 129,929 (1.3 )outstanding (thousands)End of period shares outstanding 125,444 128,818 (2.6 )(thousands)Balance sheet data at period end: Total assets $ 26,530,430 $ 26,143,367 1.5 %Total loans 18,307,825 18,305,303 0.1 Non-purchased loans 17,791,610 17,707,452 0.5 Purchased loans 516,215 597,851 (13.7 )Allowance for loan losses 217,380 237,722 (8.6 )Foreclosed assets 5,744 9,444 (39.2 )Investment securities ? AFS 3,916,733 3,846,496 1.8 Goodwill and other intangible 669,063 670,580 (0.2 )assets, netDeposits 20,209,134 20,102,440 0.5 Other borrowings 750,206 750,217 (0.1 )Subordinated notes 346,133 345,927 0.1 Subordinated debentures 121,033 120,892 0.1 Unfunded balance of closed loans 13,619,578 12,385,369 10.0 Reserve for losses on unfunded 71,609 61,076 17.2 loan commitmentsPreferred stock 338,980 ? NM Total common stockholders? equity 4,497,263 4,553,240 (1.2 )^ (1)Net unrealized gains oninvestment securities AFS 23,841 40,706 included in stockholders? equityLoan (including purchased loans) 90.59 % 91.06 % to deposit ratioSelected ratios: Return on average assets^ (2) 2.25 % 1.98 % Return on average common 13.08 11.41 stockholders? equity^ (1) (2)Return on average tangible common 15.34 13.39 stockholders? equity^ (1) (2)Net interest margin ? FTE^ (2) 4.41 4.16 Efficiency ratio 37.06 40.14 Net charge-offs to average 0.05 0.04 non-purchased loans^ (2) (3)Net charge-offs to average total 0.04 0.03 loans^ (2)Nonperforming loans to total 0.19 0.20 loans^ (4)Nonperforming assets to total 0.15 0.17 assets^ (4)Allowance for loan losses to 1.19 1.30 total loans^ (5)Other information: Non-accrual loans ^(4) $ 33,274 $ 34,920 Accruing loans ? 90 days past due ? ? ^ (4)Troubled and restructurednon-purchased loans ? accruing^ 1,285 1,253 (4)

(1)Calculations of pre-tax pre-provision net revenue, total common stockholders equity, tangible book value per common share and returns on average common stockholders equity and average tangible common stockholders equity and the reconciliations to GAAP are included in the schedules accompanying this release. (2)Ratios for interim periods annualized based on actual days.(3)Excludes purchased loans and net charge-offs related to such loans.(4)Excludes purchased loans, except for their inclusion in total assets.(5)Excludes reserve for losses on unfunded loan commitments.NM Not meaningful

Bank OZKSupplemental Quarterly Financial DataUnaudited

3/31/20 6/30/20 9/30/20 12/31/20 3/31/21 6/30/21 9/30/21 12/31/21 (Dollars in thousands) Earnings Summary: Net interest income $ 209,775 $ 216,593 $ 224,657 $ 237,600 $ 234,636 $ 240,746 $ 247,957 $ 266,381 Federal tax (FTE) 1,133 1,753 1,605 1,533 1,275 1,355 1,106 1,009 adjustmentNet interest income 210,908 218,346 226,262 239,133 235,911 242,101 249,063 267,390 (FTE)Provision for credit (117,663 ) (72,026 ) (7,200 ) (6,750 ) 31,559 30,932 7,454 7,992 lossesNon-interest income 27,680 21,591 26,676 28,661 32,117 27,742 25,984 29,695 Non-interest expense (103,425 ) (100,953 ) (105,641 ) (103,394 ) (106,059 ) (103,711 ) (110,397 ) (110,106 )Pretax income (FTE) 17,500 66,958 140,097 157,650 193,528 197,064 172,104 194,971 FTE adjustment (1,133 ) (1,753 ) (1,605 ) (1,533 ) (1,275 ) (1,355 ) (1,106 ) (1,009 )Provision for income (4,509 ) (14,948 ) (29,251 ) (35,607 ) (43,818 ) (45,161 ) (40,713 ) (44,197 )taxesNoncontrolling 8 9 12 3 (19 ) (13 ) 5 (5 )interestNet income availableto common $ 11,866 $ 50,266 $ 109,253 $ 120,513 $ 148,416 $ 150,535 $ 130,290 $ 149,760 stockholdersEarnings per common $ 0.09 $ 0.39 $ 0.84 $ 0.93 $ 1.14 $ 1.16 $ 1.00 $ 1.17 share ? dilutedPPNR 134,030 137,231 145,692 162,867 160,694 164,777 163,544 185,970 Non-interest Income: Service charges on deposit accounts: NSF/ $ 4,562 $ 2,702 $ 3,494 $ 4,024 $ 3,323 $ 3,244 $ 4,080 $ 4,315 Overdraft fees Allother service 5,447 5,579 5,933 5,959 6,342 7,067 7,097 7,149 chargesTrust income 1,939 1,759 1,936 1,909 2,206 1,911 2,247 2,141 BOLI income: Increase in cash 5,067 5,057 5,081 5,034 4,881 4,919 4,940 4,901 surrender valueDeath benefits 608 ? ? ? 1,409 ? ? 618 Loan service,maintenance and 3,716 3,394 3,351 3,797 3,551 3,953 3,307 3,148 other feesGains on sales of 161 621 891 5,189 5,828 2,341 463 1,330 other assetsNet gains oninvestment 2,223 ? 2,244 ? ? ? ? 504 securitiesOther 3,957 2,479 3,746 2,749 4,577 4,307 3,850 5,589 Total non-interest $ 27,680 $ 21,591 $ 26,676 $ 28,661 $ 32,117 $ 27,742 $ 25,984 $ 29,695 incomeNon-interest Expense:Salaries and $ 51,473 $ 48,410 $ 53,119 $ 53,832 $ 53,645 $ 52,119 $ 53,769 $ 55,034 employee benefitsNet occupancy and 15,330 15,756 16,676 15,617 16,468 16,168 17,161 17,004 equipmentOther operating 36,622 36,787 35,846 33,945 35,946 35,424 39,467 38,068 expensesTotal non-interest $ 103,425 $ 100,953 $ 105,641 $ 103,394 $ 106,059 $ 103,711 $ 110,397 $ 110,106 expenseBalance Sheet Data: Total assets $ 24,565,810 $ 26,380,409 $ 26,888,308 $ 27,162,596 $ 27,276,892 $ 26,605,938 $ 26,143,367 $ 26,530,430 Non-purchased loans 17,030,378 18,247,431 18,419,958 18,401,495 17,979,435 17,611,848 17,707,452 17,791,610 Purchased loans 1,197,826 1,063,647 938,485 807,673 735,630 659,822 597,851 516,215 Investment 2,816,556 3,299,944 3,468,243 3,405,351 4,162,479 4,693,396 3,846,496 3,916,733 securities ? AFSDeposits 18,809,190 20,723,598 21,287,405 21,450,356 21,296,442 20,706,777 20,102,440 20,209,134 Unfunded balance of 11,334,737 11,411,441 11,604,614 11,847,117 11,780,099 11,709,818 12,385,369 13,619,578 closed loansPreferred stock ? ? ? ? ? ? ? 338,980 Total stockholders'equity before 4,083,150 4,110,666 4,186,285 4,272,271 4,383,205 4,501,676 4,553,240 4,836,243 noncontrollinginterest

Bank OZKSupplemental Quarterly Financial Data (Continued)Unaudited

3/31/20 6/30/20 9/30/20 12/31/20 3/31/21 6/30/21 9/30/21 12/31/21 (Dollars in thousands) Allowance for Credit Losses:Balance atbeginning of $ 108,525 $ 316,409 $ 374,494 $ 377,273 $ 377,305 $ 342,307 $ 307,564 $ 298,798 periodAdoption of CECL^ 94,512 ? ? ? ? ? ? ? (^1) methodologyNet charge-offs (4,291 ) (13,941 ) (4,421 ) (6,718 ) (3,439 ) (3,811 ) (1,312 ) (1,817 )Provision for 117,663 72,026 7,200 6,750 (31,559 ) (30,932 ) (7,454 ) (7,992 )credit lossesBalance at end of $ 316,409 $ 374,494 $ 377,273 $ 377,305 $ 342,307 $ 307,564 $ 298,798 $ 288,989 periodAllowance for loan $ 238,737 $ 306,196 $ 308,847 $ 295,824 $ 268,077 $ 248,753 $ 237,722 $ 217,380 lossesReserve for losseson unfunded loan 77,672 68,298 68,426 81,481 74,230 58,811 61,076 71,609 commitmentsTotal allowance $ 316,409 $ 374,494 $ 377,273 $ 377,305 $ 342,307 $ 307,564 $ 298,798 $ 288,989 for credit lossesSelected Ratios: Net interest 3.96 % 3.74 % 3.69 % 3.88 % 3.86 % 3.95 % 4.16 % 4.41 %margin ? FTE^ (^2)Efficiency ratio 43.35 42.07 41.77 38.61 39.57 38.43 40.14 37.06 Net charge-offs toaverage 0.08 0.05 0.09 0.14 0.08 0.09 0.04 0.05 non-purchasedloans^ (^2) (3)Net charge-offs toaverage total 0.10 0.29 0.09 0.14 0.07 0.08 0.03 0.04 loans^ (^2)Nonperformingloans to total 0.16 0.18 0.15 0.25 0.25 0.22 0.20 0.19 loans^ (^4)Nonperformingassets to total 0.19 0.19 0.17 0.21 0.19 0.18 0.17 0.15 assets^ (^4)Allowance for loanlosses to total 1.31 1.59 1.60 1.54 1.43 1.36 1.30 1.19 loans ^(5)Loans past due 30days or more,includingpast due 0.18 0.13 0.13 0.16 0.13 0.10 0.13 0.15 non-accrual loans,to total loans^ (^4)

(1) Current Expected Credit Loss.(2) Ratios for interim periods annualized based on actual days.(3) Excludes purchased loans and net charge-offs related to such loans.(4) Excludes purchased loans, except for their inclusion in total assets.(5) Excludes reserve for losses on unfunded loan commitments.

Bank OZKAverage Consolidated Balance Sheets and Net Interest Analysis FTEUnaudited

Three Months Ended December 31, Year Ended December 31, 2021 2020 2021 2020 Average Income/ Yield Average Income/ Yield/ Average Income/ Yield/ Average Income/ Yield Balance Expense / Balance Expense Rate Balance Expense Rate Balance Expense / Rate Rate (Dollars in thousands) ASSETS Interest earning assets:Interest earningdeposits and $ 2,106,395 $ 953 0.18 % $ 1,762,810 $ 428 0.10 % $ 1,871,388 $ 2,510 0.13 % $ 1,535,977 $ 5,665 0.37 %federalfunds soldInvestment securities:Taxable 3,375,895 9,448 1.11 2,036,253 9,066 1.77 3,207,485 36,234 1.13 1,993,667 40,547 2.03 Tax-exempt ? FTE 593,242 3,632 2.43 1,485,224 6,034 1.62 864,432 17,378 2.01 1,080,459 24,561 2.27 Non-purchased loans 17,449,281 256,267 5.83 18,378,050 243,330 5.27 17,683,033 973,755 5.51 17,797,684 945,222 5.31 ? FTEPurchased loans 551,917 11,190 8.04 881,372 16,069 7.25 662,434 46,174 6.97 1,069,250 70,812 6.62 Total earning 24,076,730 281,490 4.64 24,543,709 274,927 4.46 24,288,772 1,076,051 4.43 23,477,037 1,086,807 4.63 assets ? FTENon-interest 2,370,349 2,258,105 2,335,412 2,291,135 earning assetsTotal assets $ 26,447,079 $ 26,801,814 $ 26,624,184 $ 25,768,172 LIABILITIES ANDSTOCKHOLDERS? EQUITYInterest bearing liabilities:Deposits: Savings andinterest bearing $ 9,178,225 $ 2,641 0.11 % $ 7,669,913 $ 4,483 0.23 % $ 8,788,200 $ 12,481 0.14 % $ 7,724,528 $ 37,428 0.48 %transactionTime deposits of 4,358,217 4,638 0.42 6,314,394 17,144 1.08 5,218,981 35,375 0.68 5,524,751 83,956 1.52 $100 or moreOther time deposits 1,898,687 2,235 0.47 3,294,323 8,980 1.08 2,315,263 16,566 0.72 3,511,220 50,429 1.44 Total interest 15,435,129 9,514 0.24 17,278,630 30,607 0.70 16,322,444 64,422 0.39 16,760,499 171,813 1.03 bearing depositsRepurchaseagreements with 7,558 3 0.16 8,239 6 0.29 7,027 17 0.24 7,825 23 0.29 customersOther borrowings^ 750,226 1,017 0.54 750,961 1,011 0.54 750,276 4,012 0.53 721,350 3,179 0.44 (^1)Subordinated notes 346,025 2,631 3.02 223,996 3,207 5.70 212,600 9,386 4.42 223,850 12,758 5.70 Subordinated 120,956 935 3.07 120,400 963 3.18 120,751 3,750 3.11 120,190 4,384 3.65 debentures^ (^1)Total interest 16,659,894 14,100 0.34 18,382,226 35,794 0.77 17,413,098 81,587 0.47 17,833,714 192,157 1.08 bearing liabilitiesNon-interestbearing liabilities:Non-interest 4,651,656 3,907,955 4,380,850 3,521,066 bearing depositsOther non-interest 376,706 289,298 321,583 261,169 bearing liabilitiesTotal liabilities 21,688,256 22,579,479 22,115,531 21,615,949 Total commonstockholders?equity before 4,755,706 4,219,249 4,505,544 4,149,123 noncontrollinginterestNoncontrolling 3,117 3,086 3,109 3,100 interestTotal liabilitiesand stockholders? $ 26,447,079 $ 26,801,814 $ 26,624,184 $ 25,768,172 equityNet interest income $ 267,390 $ 239,133 $ 994,464 $ 894,650 ? FTENet interest margin 4.41 % 3.88 % 4.09 % 3.81 %? FTECore spread^ (^2) 5.59 % 4.57 % 5.12 % 4.28 %

(1)The interest expense and the rates for other borrowings and for subordinated debentures were affected by capitalized interest. Capitalized interest included in other borrowings for the fourth quarter and for the full year of 2021 was not material compared to $0.03 million for the fourth quarter and $0.68 million for the full year of 2020. In the absence of this interest capitalization, the rates on other borrowings would have been 0.55% for the fourth quarter and 0.53% for the full year of 2020. Capitalized interest included in subordinated debentures totaled $0.01 million for the fourth quarter and $0.18 million for the full year of 2020 (none in the fourth quarter or full year of 2021). In the absence of this interest capitalization, the rates on subordinated debentures would have been 3.20% for the fourth quarter and 3.80% for the full year of 2020.

(2)Core spread is the difference between the yield on the Banks non-purchased loans-FTE and the rate on its interest bearing deposits.

Bank OZKReconciliation of Non-GAAP Financial Measures

Calculation of Average Common Stockholders Equity,Average Tangible Common Stockholders Equityand the Annualized Returns on Average Common Stockholders Equity andAverage Tangible Common Stockholders EquityUnaudited

Three Months Ended December 31, September Year Ended December 31, 30, 2021 2020 2021 2021 2020 (Dollars in thousands) Net incomeavailable to $ 149,760 $ 120,513 $ 130,290 $ 579,001 $ 291,898 commonstockholdersAveragestockholders?equity before $ 4,755,706 $ 4,219,249 $ 4,530,995 $ 4,505,544 $ 4,149,123 noncontrollinginterestLess averagepreferred (213,693 ) ? ? (53,862 ) ? stockTotal averagecommon 4,542,013 4,219,249 4,530,995 4,451,682 4,149,123 stockholders?equityLess averageintangible assets:Goodwill (660,789 ) (660,789 ) (660,789 ) (660,789 ) (660,789 )Core depositand otherintangibleassets, (9,032 ) (15,578 ) (10,617 ) (11,398 ) (18,741 )net ofaccumulatedamortizationTotal average (669,821 ) (676,367 ) (671,406 ) (672,187 ) (679,530 )intangiblesAveragetangiblecommon $ 3,872,192 $ 3,542,882 $ 3,859,589 $ 3,779,495 $ 3,469,593 stockholders?equityReturn onaverage commonstockholders? 13.08 % 11.36 % 11.41 % 13.01 % 7.04 % equity^ (^1)Return onaveragetangible 15.34 % 13.53 % 13.39 % 15.32 % 8.41 %commonstockholders?equity^ (^1)

(1) Ratios for interim periods annualized based on actual days.

Calculation of Total Common Stockholders Equity,Total Tangible Common Stockholders Equityand Tangible Book Value per Common ShareUnaudited

December 31, September 30, 2021 2020 2021 (In thousands, except per share amounts) Total stockholders? equity $ 4,836,243 $ 4,272,271 $ 4,553,240 before noncontrolling interestLess preferred stock (338,980 ) ? ? Total common stockholders? 4,497,263 4,272,271 4,553,240 equityLess intangible assets: Goodwill (660,789 ) (660,789 ) (660,789 )Core deposit and otherintangible assets, net of (8,274 ) (14,669 ) (9,791 )accumulated amortizationTotal intangibles (669,063 ) (675,458 ) (670,580 )Total tangible common $ 3,828,200 $ 3,596,813 $ 3,882,660 stockholders? equityShares of common stock 125,444 129,350 128,818 outstandingBook value per common share $ 35.85 $ 33.03 $ 35.35 Tangible book value per common $ 30.52 $ 27.81 $ 30.14 share

Calculation of Total Common Stockholders Equity,Total Tangible Common Stockholders Equityand the Ratio of Total Tangible Common Stockholders Equityto Total Tangible AssetsUnaudited

December 31, 2021 2020 (Dollars in thousands) Total stockholders? equity before $ 4,836,243 $ 4,272,271 noncontrolling interestLess preferred stock (338,980 ) ? Total common stockholders? equity 4,497,263 4,272,271 Less intangible assets: Goodwill (660,789 ) (660,789 )Core deposit and other intangible assets, netof (8,274 ) (14,669 )accumulated amortizationTotal intangibles (669,063 ) (675,458 )Total tangible common stockholders? equity $ 3,828,200 $ 3,596,813 Total assets $ 26,530,430 $ 27,162,596 Less intangible assets: Goodwill (660,789 ) (660,789 )Core deposit and other intangible assets, netof (8,274 ) (14,669 )accumulated amortizationTotal intangibles (669,063 ) (675,458 )Total tangible assets $ 25,861,367 $ 26,487,138 Ratio of total common stockholders? equity to 16.95 % 15.73 %total assetsRatio of total tangible common stockholders?equity to total 14.80 % 13.58 %tangible assets

Calculation of Pre-Tax Pre-Provision Net RevenueUnaudited

Three Months Ended December September June 30, March 31, December 31, 30, 2021 2021 31, 2021 2021 2020 (Dollars in thousands) Income before $ 193,962 $ 170,998 $ 195,709 $ 192,253 $ 156,117 taxesProvision for (7,992 ) (7,454 ) (30,932 ) (31,559 ) 6,750 credit lossesPre-taxpre-provision $ 185,970 $ 163,544 $ 164,777 $ 160,694 $ 162,867 net revenue Three Months Ended Year Ended December 31, September June 30, March 31, 30, 2020 2020 2021 2020 2020 (Dollars in thousands) Income before $ 138,492 $ 65,205 $ 16,367 $ 752,921 $ 376,180 taxesProvision for 7,200 72,026 117,663 (77,938 ) 203,639 credit lossesPre-taxpre-provision $ 145,692 $ 137,231 $ 134,030 $ 674,983 $ 579,819 net revenue