Qcr Holdings, Inc. · NASDAQ:QCRH

Qcr — Investor Presentation (October 2014)

43 slides from Qcr's investor presentation, Oct 17, 2014

1. Slide 1: Financial Presentation

   FINANCIAL PRESENTATION Waterloo / Cedar Falls - October 2014 QCR HOLDINGS, INC. a relationship driven organization*

2. Slide 2: Forward-looking statements

   OCR HOLDINGS, i Act of to, descriptions of the financial condition, results of operations, asset and credit quality trends, profitability, projected earings, future plans, strategies and expectations of QCR Holdings Inc. (the “Company”). The assumptions of the Company, are generally identifiable by

3. Slide 3: Forward-looking statements (continued)

   QCR HOLDINGS, INC. arelationship driven organizatio competition from a wide variety of local, regional, national and other providers of financial, investment time and costs of implementing id the relate actions and possible sactions; (xii) changes i ici vill) the effects of war or other conflicts, J

4. Slide 4: Non-GAAP Financial Measures

   wt INC. El relations! ‘organizatior N-GAAP F MEASURES These slides contain non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of the registrant’ s historical or future financial Performance, nse postion or cesh fous ludes amounts, or is sub

5. Slide 5: Table of Contents

   INC. HOLD! CR Table of Contents 6 Who We Are Community Bank & Trust ...........::::ceeeee 7 QCR Holdings, Inc. 12 i i 16 Focus Areas .. 21 pi y 22 Strat Raat 24 Y 25 Appendix 31

6. Slide 6: Investment Rationale

   HOLDINGS, INC. relationship driven organizatior Investment Rationale in lowa (80%) and Illinois (20%) share as bigger banks go up-market “Pricing as ofaugust 18,2014

7. Slide 7: Community Bank & Trust - Snapshot Highlights

   COMMUNITY BANK & TRUST - SNAPSHOT HIGHLIGHTS: ‘Aug 1997 Community National Bank opens to the public (£Cco NITY . BANK & RUST Community Bank & Trust Overview ° Branch Facitios at 11 Tower Park Drive, Water Recognized as the 1st lowa bank pening of Branch Facilities at 11 Tower Park Drive, Waterloo 19

8. Slide 8: Community Bank & Trust Financial Measures

   (Ecommuytty cemcromamecomame TRUST Financial Measures YTD Balance Sheet Measures: 1.2014 (¢m) Q2 2014 ($M) Total Deposits $124,701 500 Income Statement Measures 12014 (sm) (@2 2014 (sm) Net Interest Income $1,993 $2,709 Non- Interest Income $339 $658

9. Slide 9: Market Share Analysis

   (ie OMMUNITY Banc Gommuntty } pane & Trust Neoaaoeamraseaite TI er Analysis 4 # of 2014 Total Deposits a 2014 Total Institution Name. avanienes. in Market ($M) Market Share (%) 1 Farmers State Bank 8 $3865 13.00% 2 U.S. Bancorp (MN) 6 3382 11.37% 3 Wells Fargo Bank & Co. 4 3164 10.64% 4 First Nation

10. Slide 10: People you can bank on

    . = BANK & ({CoMMUNITY People you can bank on.® + Local decisions — loans, deposits, pricing *oN rt pi

11. Slide 11: Community Bank & Trust Team

    ({CoMMUNITY Soon BANK 4 & People you can bank on.® ial Hanzlick-Jaacks Commercial Lending Kevin Bruns. SVP, Wealth Management & Trust Jordan Lindenmeyer VP, Investment Officer

12. Slide 12: History of QCR Holdings, Inc.

    HOLDINGS, INC. relationship driven organizatior History of QCR Holdings, Inc. “Assets as of lune 30, 2014 *De Novo Quad City Bancard Formed Rockford Bank & Trust* — Currently $351 Million in Assets First Wisconsin Bank & ‘Trust* ~ Milwaukes y 31, 2013 2013

13. Slide 13: Our Geography

    Our Geography el Ik & Trust _ © Community Bani ae

14. Slide 14: Corporate Overview

    Hol arélationship driv Corporate Overview QCR Holdings, Inc. - Founded in 1993 Headquartered in Moline, IL SYMBOL ~ $2.46 Billion in Assets $1.55 Billion in Loans $1.68 Billion in Deposits 13 Faciliti Quad City Bank & Trust (5) Cedar Rapids Bank & Trust (2) Rockford Bank & 2) m2 Lease Funds LLC (1)

15. Slide 15: Top 25 MSAs in Iowa and Illinois

    WOR INC. ei ‘relationship driven organization’ Median Household Top 25 MSAs / lowa and Illinois Projected Population Cticago-Naporite ign LIN. S3sqort a 9687.20 Sein Lous. MO: 6932 * 2798724 COmate-Couns! aus, NEA 2 398,104 es Moines:nest Des Manes. 1A 3088 consis on E L 7935 c ase eo, oars 1 321716

16. Slide 16: Total Consolidated Assets

    He IN Total Consolidated Assets CAGR 1994-2014 23.04% CAGR 1994-2007 32.26% CAGR 2008-2014 7.40% B&T}(201 N CRBT (2001) N &T (2005) 8 &@ & 8 8 8 &§ &€& 8 § 8 8B & BBS Ee FS EF $ $ 8 $8 8 & $ & & S$ 8 F F FS & F §F F FE SE 668 6 6 6 6 8 6 &6 6 6 6 & & & 6 B&B SB IN MILLIONS OF DOLLARS

17. Slide 17: Balance Sheet Composition

    [OLI IGS, INC. ‘As of December 31 2008 2010 2014 2088 ‘Asof June 90, 2014 (in tousands) AMOUNT —% = AMOUNT AMOUNT % © AMOUNT % AMOUNT —% = AMOUNT -% Cash, federal funds sold, and Eaeeliiaece lit $71,808 4% $143,797 8% $100673 5% © St10488 5% $1,836,695 100% [Noninterest-bearing deposits $276,827 15%

18. Slide 18: Income Statement Summary

    {in thousands) Net interest income $64,105 $93,815 Non-interest ine 10,091 Non-interest expense (62,247) ax pre-provis 11,659 Provision expense (6930) 2.098) Income before taxes 19,556 9563 Income taxes 4s18) fet income 149% Less: net income attributable to non-controling interests 221 438 488 5 - N

19. Slide 19: Community National Bank Transaction

    Community National Bank: romney in 1997 Headquartered in Waterloo, Acquired by QCRH May Q4 2013 Resulting Proform: 2 Bank & Trust ae Cedar Ray Community National Bank $ 826 Million in assets $ 593 Million in deposits. $ 277 Million in assets $ 191 Million in loans Waterloo, 1A (2) Cedar Falls, IA (2

20. Slide 20: QCR Stock Metrics

    QCR Stock Metrics HOLDINGS, INC. 2009 - Q2 2014, iganizat $17.00 ®TBV/Share wio AOCI $15.00 —*stock Price $13.00 —TBViShare $11.00 $9.00 $7.00 2009 2010 2011 2012 2013 Q1 2014 Q22014 Dimied ($0.46) $053 $0.92 $1.85 $208 $040 $0.45

21. Slide 21: Focus Areas

    HOLD! CE INC. Focus Areas for No wo ee NDA Value . Grow loans / leases Continue to improve our Net Interest Margin Maximize gains on SBA/USDA loan sales . Grow Wealth Management income Drive down efficiency ratio as we work to achieve a 1% ROAA . Continue to grow TCE organically, with a target of 6.

22. Slide 22: History of Capital Raises

    HOLDINGS, relations! ‘organizatior History of Capital Raises 93 Dec 1996 Private Placement of SIM in Preferred Stock at 9.75% Dec 1997 Private Plucement of S1.5M in Preferred Stock at 9.759% Nov 1998 3 for 2 Common Stock Split Jun 1999 i Sop 2001 : ‘87.33 per share today) Feb 2004 5 (Redemption of $

23. Slide 23: Capital Plan

    QCR HOLDINGS, INC. Capital Plan ® Conti t TCE organically, with a target of 6.5%. ¢ Conti tol f capital to benefit common shareholders. * Consider additional i isiti tuniti (Shelf Revistration filed June 2014) * Our capital plan is consisten | regulatory capital guidelines : (Basel TID. f the new

24. Slide 24: The Strategic Value of Our Separate Charters

    R IGS, INC. The Strategic Value iganizat aioe of our Separate Charters local decisions, local lution centralized and efficient manner Credit quality better than peers Historic deposit growth better than peers Historic loan growth better than peers Opportunities in Correspondent Banking, Wealth Manag

25. Slide 25: Key Differentiator: Group Operations

    Key Differentiator: HOLD! CE IN Group Operations ¢ Accounting — John Oakes ¢ Customer Service/Item —— a Kathy Francque d John Rodrigue: p p ¢ Funds Management — John McEvoy mm R, Till 1 Chal 1, 7 ¢ Information Technology — Michael Wyffels and John Rodriguez ¢ Internal Audit — Tim Harding Rand Westlu

26. Slide 26: Key Differentiator: Correspondent Banking

    R QE INC. Key Differentiator: Correspondent Banking iquely p Ips y ft * Depth of product offerings: - Loan Participations - Bank Stock Financing - Credit Card Services - Fed Funds Lines oF. Wisconsin . eae 7 ae b . |, or 4.19

27. Slide 27: Key Differentiator: Wealth Management

    Key Differentiator: nt ic. Wealth Manageme! HOLD! CE IN + As of June 30, 2014: Approximately $1.64 Billion in Trust (and related) accounts * Depth of product offerings - Asset Management - Trust Services - Estate Planning “ Sefer andRIA = Insurance ‘amily Office - Financial Plaming - Qualified Plans

28. Slide 28: Key Differentiator: SBA - USDA Lending

    ¢ 2¢ RR HOLDINGS, INC. Key Differentiator: SBA - USDA Lending inated for the Fiscal Year Ending 9/30/13 - Quad City Bank & Trust di d banks (dollar volume) Trust ‘olume) t th i ‘olume) 8th in the state of Illinois (# of loans) USDA Lending for Fiscal Year Ending 9/30/14 & Trust — 1% i ‘olume) & Trus

29. Slide 29: Key Differentiator: m2 Lease Funds, LLC

    HOLDINGS, relations! ‘organizatior Key Differentiator: LLC m2 Lease Funds, Assets (in millions) Pre-Tax Earnings Net Charge-offs to Leases 014% $ 875.651 2007 $687 $1,421,142 0.78% 2008 $79.7 784424 0.33% 2009 $906 $ 895679 1.34% 2010 $854 $ 852,741 101% 2011 5088 $2,069,470 1.18% 2012 $109.7 $3,367

30. Slide 30: Questions

    T ia | AK, YOU, Questions

31. Slide 31: Appendix

    CR HOLDINGS, INC. Appendix

32. Slide 32: Quad City Bank & Trust Highlights - Quad Cities

    wt INC. El relations! ‘organizatior Quad City Bank & Trust ESivad Highlights — Quad Cities BANK & "RUST + The Rock Island Arsenal isthe largest government-ovmed military weapons ‘manufacturing arsenal in the United States H. Anderson, President & CEO + Alcoa ce Cte) is the world’s premier aerospace

33. Slide 33: Cedar Rapids Bank & Trust Highlights - Cedar Rapids

    R HOLD! CE INC. relations! driven orga Cedar Rapids Bank & Trust Highlights - Cedar Rapids ae HANKS International Headquarters for Rockwell Coins adquat rlers for Aegon , + Downtown Revitalization ~ Double Tree by Hilton Cedar Rapids Convention rad J. Helling, President & CEO ‘Complex ones 2 year pr

34. Slide 34: Rockford Bank & Trust Highlights - Rockford

    Thomas D. Budd, President & CEO Assets: $351 Million (as of 6/30/14) Population: 343,245 Market Deposits: $6.1 Billio rat shace and over $230 Million a Ranked ith ma <doposits in Rockford Major Employers Rockford Public Schoo! District Sei Anezan Hath Syston Chol la ee Pt Rockford Memorial Hospital

35. Slide 35: Community Bank & Trust Highlights - Waterloo/Cedar Falls

    HOLDINGS, INC. (FCommunrry PS Stacey J, Bentley, President & CEO 's: $157 Million* bree of 6/30/14) Population: Market vibeesie ene lio “eo 10 bank wh 40% mart share and over 8127 Mllon in depos in Waterloo / Cedar Falls MSA Major Employers mega Cabine (CBE Companies, In. Bertch Cabinets Community B

36. Slide 36: Loan Portfolio Composition

    IN MILLIONS OF DOLLARS TYPE Commercial & Industrial Non Owner Occupied Commercial Real Estate Owner Occupied Commercial Real Estate Residential Real Estate Direct Financing Leases Installment and Other Consumer Commercial Construction/Land Development Dollar Mi Loan Portfolio Compo: dune 3¢ $ 480.5

37. Slide 37: Peer Credit Analysis

    HO arc INC. Peer Credit Analysis Non-Performing Assets / Asset TICKER, NPAS/ ASSETS) me 1 sac a9 use ont A crt —2—Median FSC 4 THF 168 2604 un 089 sre 12 200 cose 1253 svar om 180 4 HBA 12 wee 325 “rman Amescan Sane, Ine. caso 04 Bank of Kentichy Financial Coperaton SKYE 164 laWestOne Finandl Grup.

38. Slide 38: Charge-Off Analysis

    wee OL! IGS, INC. ‘organization Charge-Off Analysis arélationshi 2008-2014 021500) ‘23107 som) 23107¢) 200-2014 a (S00) ‘OCR HOLDINGS, INC. AND SUBSIDIARIES: CER ois, ne 0923 1 sonse2 37 a ‘vad cy ark ans vs Company 9002 ear 20% 72610 256% eae Rapid Barkan Ts Company 10930 7000 270% 9719 200% Rector

39. Slide 39: Amortizing Securities

    HOLD! CE INC. 8 Percentin Amerizing Secures Duraten Percent Aes 76 Agency (FH) ‘co (Fes) QCcR oldings, Inc. Sauce; 22419604 FT Fan Rept provecreo Repice Tem

40. Slide 40: QCR Holdings Funding

    R Gs, NC. QCR Holdings, Inc. i unding Pe December 31,2013, —r — ——— eee | ames - 2014

41. Slide 41: Executive Management Team

    one Sa eT el GER Holdings, Inc. Executive Management Team OUR MISSION: ICR Holdings LEFT TO RIGHT Larry Heling Doug Hultquist Tom Budd Bill Tank Todd Gipple John Rodriguez Front Row (sealed) John Engelbrecht

42. Slide 42: Executive Management Team

    arc R HOLDINGS, INC. Executive Management Team DOUGLAS M, HULTQUIST, CPA RICH W. COUCH DANAL. President and Chief Executive Officer President and Chiet Executive Offeer, Executive Vieo President. Chief Lending Officer, 37 Years in Banking / Financial Services ma lens Funds UC Coder Rapids Bank Tst C

43. Slide 43: QCR Holdings, Inc. contact

    3551 7% St Moline, ee 61265 wwnwqerh.com QCR HOLDINGS, INC.

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