Southern First Bancshares, Inc. · NASDAQ:SFST
Southern First Bancshares — Investor Presentation (August 2012)
15 slides from Southern First Bancshares's investor presentation, Aug 28, 2012
Slide 1: Southern First Bancshares, Inc. (SFST) Investor Presentation
Soiuh FIRST Southern First Bancshares, Inc. (SFST) Art Seaver — Chief Executive Officer Justin Strickland — President Mike Dowling — Chief Financial Officer WUNDERLICH SECURITIES BETTER FINANCIAL SOLUTIONS Investor Presentation August 28", 2012
Slide 2: Forward Looking Statements
Forward Looking Statements: During the course of this presentation, management may make projections and forward-looking statements regarding events or the future financial performance of Southern First Bancshares, Inc. We wish to caution you that these forward- looking statements involve certain ris
Slide 3: Headquartered in Greenville SC
Headquartered in Greenville SC ¢ 119 total employees $760 million in total assets (*) 9t largest bank headquartered in SC Greenville SC market — 4 offices ¢ largest banking market in SC ¢ #6 market share out of 34 banks (**) Columbia SC market — 2 offices ¢ 2°4 largest banking market in SC ¢ surpass
Slide 4: Recent Strategic Accomplishments
J 009 XY )) Recent Strategic Accomplishments: Exited TARP with successful US Treasury auction in June 2012 Partially redeemed $1 million of TARP preferred stock during auction Retired warrants associated with TARP Announced strategic expansion to Charleston SC market Southey FIRST
Slide 5: SFST: Investment Profile
SFST: Investment Profile ale Performance Superb asset quality / strong earnings momentum 2\- Model Proven organic growth / excellent efficiency We Leadership Market experience / performance driven AIr Valuation 70% TBV / exited TARP and retired warrants Southey FIRST
Slide 6: Performance
Performance Superb asset quality / strong earnings momentum Southern All SC Southern First Banks First YE 2011 YE 2011 June 2012 ASSET QUALITY Net charge offs / 81% loans Non performing 1.82% 5.20% assets / assets ALLL coverage of non-performing loans FDIC data 6
Slide 7: Loan portfolio composition
Consumer Consumer 2% Real Estate Business 17% 13% Consumer HELOC Construction / 13% Development =. | WM Consumer a Construction 1% Non Owner ; Occupied CRE Owner Occupied 26% CRE 24% r = June 2012 data <i T
Slide 8: Performance
Performance Superb asset quality / strong earnings momentum * Revenue growing — Net interest income up 12% YTD 2012 — 7% loan growth in last year ¢ Margin expanding — 3.61% for Q2 2012 vs. 3.28% in 2011 * Fee income increasing ~ Up 19% in 2011 — Up 34% thru Q2 2012 Net Earnings $815 $900 $800 $700 $
Slide 9: Model
Model Proven organic growth / excellent efficiency ° Focus — Professional target —-r |e Structure — Relationship team ¢ Bankers — Provide a superior client experience ¢ Culture — Consistent / low turnover Souther FIRST
Slide 10: Model
Model Proven organic growth / excellent efficiency Transaction Accounts ($ mil) $375 $353 $350 $341 $325 $317 $300 $288 $275 $250 $225 T Ly Ly Dec Jun Dec Jun 10 11 V1 12 Loan Balances ($ mil) Dec Jun Dec Jun 10 11 11 "12 T T T 10
Slide 11: Model
Model Proven organic growth / excellent efficiency Efficiency Ratio Assets / Employee ($ mil) 80% 76% $8 715% $6.7 70% $7 70% 67% $6 65% 62% 63% $5 $4.2 60% $4 55% $3 50% T T T T T $2 T T Jun Dec Jun Dec Jun Southern SC Banks (1) 10 '10 "11 ‘ll ‘12 First (1) FDIC March 2012 Southern 11
Slide 12: Leadership
Leadership Market experience / performance driven Greenville Art Seaver, CEO 26 years Fred Gilmer, EVP 25 years Mike Dowling, CFO 18 years Mike Strickland, EVP 25 years Columbia Justin Strickland, President Charleston 26 years Len Howell, EVP 20 years Southern FIRST 5
Slide 13: Performance, Model, Leadership, Valuation summary
Performance Superb asset quality Strong earnings momentum Growing margin Increasing fee income Valuation 70% TBV/ exited TARP and retired warrants r Model Leadership Team ¢ Unique * Deep focus market * Solid loan knowledge growth * Community * Growing bank» market experience share and ¢ Proven core
Slide 14: SFST: Current Focus
SFST: Current Focus ar Improve core earnings strength Grow revenue and margin / lower credit costs We Execute growth strategies Organic markets / Charleston expansion a\n Monitor our capital plan Generating internal capital / valuation / dilution ln Strengthen infrastructure Service capabilities / r
Slide 15: South Carolina
South Carolina Performance — Outperforming peers with excellent momentum Model — Organic growth with unique efficiencies Leadership — Market experience and performance reputation Valuation — 70% of TBV
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