First Financial Bankshares
Annual Report 2001

Plain-text annual report

F i r s t F i n a n c i a l B a n k s h a r e s A n n u a l R e p o r t 2 0 0 1 Example is leadership. A L B E R T S C H W E I T Z E R C O R P O R A T E P R O F I L E First Financial Bankshares, Inc. is a financial holding company headquartered in Abilene, Texas, with consolidated assets of $1.9 billion as of December 31, 2001. The corporation has 10 affiliate banks, which provide services from 26 full-service locations in the Central, West and High Plains regions of Texas. The common stock of First Financial Bankshares, Inc. is held by more than 3,000 shareholders and is listed on The NASDAQ Stock Market® under the symbol FFIN. This Annual Report portrays significant leadership contributions within each of the markets served by the member banks of First Financial Bankshares. Selected financial data and important milestones of the company are also presented. Leadership is the capacity to translate vision into reality W A R R E N G . B E N N I S 2001 ANNUAL REPORT Financial Highlights Letter to Shareholders Leadership Selected Financial Data Trust Services Report Affiliate Bank Reports Financial Summaries Senior Officers and Directors Market Share More Community Leadership Form 10-K 1 2 4 8 9 10 20 21 inside back cover Corporate Officers and Directors F I N A N C I A L H I G H L I G H T S IN THOUSANDS EXCEPT FOR PER SHARE DATA 2001 2000 CHANGE For the Year Net Income Earnings per Share Dividends Declared Dividends per Share Averages for the Year Assets Securities Loans Deposits Shareholders’ Equity At Year-End Assets Securities Loans Deposits Shareholders’ Equity Book Value per Share Trust Assets Key Ratios Return on Average Assets Return on Average Equity Equity/Assets Efficiency $ 29,355 $ 28,316 2.38 14,365 1.16 1,811,130 676,391 897,616 1,566,360 204,517 1,929,694 721,694 940,131 1,685,163 213,654 17.32 958,952 2.28 12,808 1.03 1,694,013 669,618 817,603 1,478,834 184,029 1,753,814 654,253 859,271 1,519,874 196,121 15.92 911,110 1.62% 14.35 11.07 53.82 1.67% 15.39 11.18 53.11 3.7% 4.4 12.2 12.6 6.9 1.0 9.8 5.9 11.1 10.0 10.3 9.4 10.9 8.9 8.8 5.3 1 T O O U R S H A R E H O L D E R S FIRST FINANCIAL BANKSHARES, INC. achieved raised 13.6% in the second quarter; this was accom- its 15th consecutive increase in annual earnings during plished through a 25% stock dividend and a 9% adjust- 2001. Net income grew 3.7%, to $29.4 million from ment in the quarterly cash dividend (to 30 cents per $28.3 million in 2000; and earnings per share grew 4.4%, share). The market price of First Financial shares at the to $2.38 from $2.28. The earnings improvement came end of 2001 was up 20% from the prior year-end value. primarily from a modest increase in net interest income In July 2001, we expanded our banking family by (attributable to higher volumes of earning assets) and completing the acquisition of City National Bank, from higher noninterest income. Mineral Wells, Texas. City National, with total assets of While declining interest rates resulted in compressed $91 million, deposits of $82 million and loans of $49 mil- interest margins throughout the year, we were pleased lion, is a good addition to our company. First Financial that we were able to manage our interest rate risk as well Bankshares is structured as a family of community banks as we did. Our return on average assets was 1.62% for the because we believe that it is through locally based, local- year, and our return on average equity was 14.35%. ly focused institutions that we can best deliver outstand- These key measures of performance were slightly below ing service to our customers, excellent financial results to those for the prior year, but they continued to compare our shareholders and great benefits to our communities. favorably with the results for our industry peer group On January 2, 2002, Texas National Bank, Southlake, (1.08% and 14.44%). The efficiency ratio, the cost of changed its name to First Financial Bank, National generating each dollar of revenue, increased slightly to Association, Southlake. The name change was designed 53.82% in 2001 from 53.11% in 2000. to reflect the expansion of the bank’s product offerings Consolidated assets at year-end totaled $1.930 billion, and to help extend our brand image. On the same date, up 10% from $1.754 billion in 2000. This $176 million the bank opened a branch location in Keller. This new increase consisted of $85 million generated internally branch will broaden our market in this very vibrant and $91 million derived from the acquisition of City section of the Dallas-Fort Worth Metroplex. We are National Bank. Loans increased during the year by 9% pleased with Southlake’s three branch locations and are to $940.1 million, while total deposits grew 11% to very encouraged by the opportunities for growth in the $1.685 billion. The book value of our trust assets Southlake area. increased by 5%, reaching $958.9 million at year-end. Banking and community leadership is the theme of this First Financial’s balance sheet continued to reflect year’s annual report. Our banks will do only as well as the excellent asset quality and capital strength. Classified communities we are in, so it is imperative that we play loans (those at risk to some degree) declined to 2.7% of leadership roles in the continued development of these total loans at year-end from 3.3% a year earlier. Share- communities. It is therefore appropriate that we focus on holders’ equity totaled $213.7 million at the end of 2001, the people who so ably lead our banks and contribute their yielding a capital-to-assets ratio of 11.1%. As a sign of leadership expertise to the communities that we serve. We the company’s capital strength, cash dividends were have been able to feature only a few of our many out- 2 standing people in this report. However, we have includ- ed, later on, a list of the many community leadership posi- tions that are held by officers of our individual banks. I invite you to review this list and see the magnitude of com- munity involvement that exists. We have been blessed with good leadership, and we certainly do not take for granted the position we have achieved in our industry under the guidance of Walter Johnson and Ken Murphy. We are pleased that Ken con- tinues to play an important role as Chairman of the Board of First Financial Bankshares. During 2001, we elected three new bank presidents. In May, the Board of First National Bank of Abilene elected Chuck Cowell to the position of President and Chief Executive Officer to succeed me. Chuck is a West Texas banker with over 28 years of banking and leader- ship experience. In October, the Board of City National We sincerely appreciate the dedication and support Bank named Ken Williamson to succeed Jimmy Seay as shown last year by all of our Boards of Directors, and President and Chief Executive Officer. Ken has exception- by our company’s officers, employees and shareholders. al management and leadership skills gained in a banking With your help, we look forward in 2002 to achieving career that spans more than 30 years. In November, the further growth and enhanced shareholder value as we Board of First Financial Bank, Southlake, elected capitalize on the opportunities available in each of our Mark Jones, a well-known and experienced northeast markets. The main goals in our 2002 Strategic Plan are Tarrant County banker, as President and Chief Executive the addition of more locations and the introduction of Officer. We are very honored to have these three fine mortgage, brokerage and trust services to more of leaders join our team of presidents. our markets. Walter Worthington will retire from the First Financial Thank you for your support and investment in Bankshares Board in conjunction with our annual First Financial Bankshares. shareholders meeting in April. He was the original Chairman of Weatherford National Bank and has served on the holding company Board since April of 1996. Walter has been a banking and community leader for many years, and we have benefited greatly from his F. SCOTT DUESER counsel as a director. President and Chief Executive Officer 3 We make a living by what we get, but we make a life FIRST FINANCIAL BANKSHARES succeeds and grows when the people who so ably lead our banks also contribute their expertise to their communities. Below are just a few of our officers who provide outstanding community leadership. J . V. M A R T I N B E C K Y H I L L “The school system, the hospital and Becky Hill, Senior Vice President of the bank are the three keystones of a First National Bank of Abilene, small community’s economic health,” generously spends time each week on says J.V. Martin. He’s been closely community leadership. Vice chairman and involved with all of them as Chairman chairman-elect of Abilene’s Grace and Chief Executive Officer of Museum, Hill also serves as assistant First National Bank, Sweetwater. treasurer and board member of the A board member of Goodwill Industries, West Central Texas Abilene Zoological Society and board member of the Junior League of Abilene. Workforce Development, West Texas Hill is a member of the Abilene Rehabilitation Center, Rolling Independent School District (AISD) Plains Technical Foundation, Nolan Consumer Science Advisory Board and County Community Foundation and AISD Shotwell Revitalization Committee, Hendrick Health Care System, which is raising more than $1 million to Martin gives his volunteer revitalize a 1960s-era sports stadium for commitments the same attention he multipurpose, statewide use. “Community gives his bank. “When I join a board, involvement enhances our quality of life I want to make a real contribution – and attracts families and businesses to not just attend luncheons,” he says. Abilene, which expands the opportunities for the bank,” she says. 4  by what we give. N O R M A N M A C E W E N KIRK THAXTON Senior Vice President and Trust Officer at Abilene’s First National Bank, Kirk Thaxton recently completed his term as board president of Junior Achievement and devotes much of his free time to educating public school children about the economy. “Most of these students don’t have any exposure to the business world, so if you can make an impact on one child, it’s worth it,” he says. The father of three children, ages 9 to 16, Thaxton also leads other youth-oriented community activities, including Harmony Family Services and the Abilene Youth Basketball Association. He also serves on the Community Council of Sears Methodist Centers and the Community Development Task Force. “When I become part of an organization, I always try to take an active role,” Thaxton says. “It is very rewarding to be able to make a difference for the community.” D O Y L E L E E “Everyone should have a passion,” says Doyle Lee, Chairman and Chief Executive Officer of Weatherford National Bank. “Mine is education.” As president of Weatherford’s Independent School District Foundation, he’s working to help a system challenged by population growth. He also serves on the board of the Weatherford College Foundation and is advisory director to the college’s investment committee. “Community growth creates difficult issues – downtown traffic, outdated school facilities, overcrowded public areas – that require management,” says Lee, who recently received the Chamber of Commerce James Doss Community Leadership Award for spearheading a successful $97 million bond campaign for public school financing. “The real challenge is to continue growing while managing quality of life and maintaining traditions that make this community special.” 5 Management is about arranging and telling. Leadership R O N B U T L E R A bank reflects how well the local community is doing, according to Ron Butler, President and Chief Executive Officer of Stephenville Bank & Trust Co. That’s why his biggest interest is economic development – and why he’s taken a leadership role in organizations like the Brazos River Authority, the Stephenville Chamber of Commerce and the Stephenville Economic Development Foundation. As vice chairman of Stephenville’s Chamber of Commerce, he works to grow the city’s existing diversified manufacturing base and bring in new industry – including a dairy processing plant that will make Stephenville the cream cheese capital of Texas. “When you invest the time to grow your community, the bank grows as well,” Butler says. J E A N B RYA N A Weatherford community leader for nearly 50 years and Senior Vice President of Weatherford National Bank, Jean Bryan has built a nationwide network of contacts. A trustee of Weatherford College, she also serves on the boards of the Parker County Committee on Aging, Red Cross, the Weatherford Independent School District Improvement Team and the Millsap District Educational Improvement Board. She created the Weatherford National Bank School Banking Program for the Weatherford Independent School District. She is a member of the Community Education Advisory Council, Weatherford/Parker County Economic Development Board, the Campbell Hospital Women’s Advisory Board and the Main Street Advisory Board. In 2001, Bryan received the Hero for Children Award from the State of Texas and the Outstanding Tourism Achievement Award from the Weatherford Chamber of Commerce. Her primary mission? “Recruiting new customers to Weatherford National Bank,” Bryan says. 6  is about nurturing and enhancing T O M P E T E R S MICHAEL L. BOYD MARELYN SHEDD As President and Chief Executive An active Abilene community leader, Officer of San Angelo National Bank, Marelyn Shedd, Senior Vice President Mike Boyd spends more than a day a of First National Bank of Abilene, week on community leadership work. is committed to programs that enrich He serves as president of San Angelo the lives of young people. A member Industries, vice chairman of the West of the Hendrick Home for Children Texas Rehabilitation Center and vice Development Council, she also serves president, board of trustees of Howard on the boards of the Abilene Cultural College Foundation-San Angelo Affairs Council and the Non-Profit Campus. Boyd is also a board member Resource Center. She is a member of of the San Angelo Health Foundation the Future Fund Grants Committee and the Angelo State University and recently completed a two-year term Foundation. Although he works to as treasurer of the United Way of balance his time between the bank, Abilene. “I’ve enriched my career so community service and his family, he much by volunteering,” Shedd says. finds there’s often overlap. “Whenever “Working with many different segments I attend a board meeting, I’m also of the community has provided me with making a customer call on behalf of a variety of new perspectives on the the bank,” Boyd says. community’s needs.” 7 S E L E C T E D F I N A N C I A L D A T A (IN THOUSANDS, EXCEPT FOR PER SHARE DATA) Year-End Total Assets (1) Shareholders’ Equity (1) Net Income (1) Earnings per Share (2) Cash Dividends per Share (2) Stock Dividends and Splits Year-End Book Value per Share (2) Year-End Market Value per Share (2) 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 $1,929,694 $213,654 $29,355 $2.38 $1.16 5/4 Split $17.32 $30.10 1,753,814 1,723,369 1,686,647 1,573,509 1,262,041 1,062,325 1,001,906 924,630 839,474 196,121 178,663 169,449 148,226 131,161 114,917 103,908 90,443 81,433 28,316 25,690 23,254 20,063 18,122 16,355 13,112 11,978 10,989 2.28 2.06 1.87 1.70 1.58 1.52 1.22 1.93 1.10 1.03 0.90 0.80 0.70 0.63 0.56 0.51 0.45 0.35 - - 10% Dividend 5/4 Split 5/4 Split - 5/4 Split 10% Dividend 3/2 Split 15.92 14.33 13.62 12.46 11.36 10.66 9.67 8.99 8.14 25.15 24.60 28.00 31.18 23.27 15.59 12.44 15.46 13.20 Ten-Year Compound Growth Rate 8.74% 11.26% 13.00% 10.46% 14.48% - 8.85% 16.09% (1) As originally reported at the close of each year and prior to restatements for pooling-of-interests. (2) Adjusted for stock dividends and splits. FIRST FINANCIAL BANKSHARES, INC. 1 8 8 9 Farmers and Merchants National Bank opens for business in Abilene, Texas, and becomes the only Abilene bank to survive the Depression without being merged, closed or recapitalized. 1 9 5 7 The bank name changes to First National Bank of Abilene. 1 9 7 3 First National Bank of Abilene shareholders form First Abilene Bankshares, Inc. as a multi-bank holding company. 1 9 7 4 First Abilene Bankshares, Inc. acquires Hereford State Bank. 1 9 8 1 First Abilene Bankshares, Inc. acquires First National Bank, Sweetwater. 1 9 8 2 First Abilene Bankshares, Inc. acquires Eastland National Bank. 1 9 9 0 First Abilene Bankshares, Inc. acquires First National Bank in Cleburne. First Abilene Bankshares, Inc. is recognized as one of the safest banking organizations in the United States and is one of only two organizations in Texas to receive that distinction. 1 9 9 3 First Abilene Bankshares, Inc. acquires Stephenville Bank & Trust Co. The company changes its name to First Financial Bankshares, Inc. to reflect the scope of its operations. The company’s stock is listed on NASDAQ. 1 9 9 4 First Financial Bankshares, Inc. acquires Southwest Bank of San Angelo. 1 9 9 6 First Financial Bankshares, Inc. acquires Citizens National Bank of Weatherford and Weatherford National Bank and merges the two banks under the charter of Weatherford National Bank. 1 9 9 7 First Financial Bankshares, Inc. acquires Texas Commerce Bank, San Angelo, merges it with Southwest Bank of San Angelo and recharters the two banks as San Angelo National Bank. First Financial Bankshares, Inc. acquires Texas National Bank, Southlake. 1 9 9 8 First Financial Bankshares, Inc. acquires Cleburne State Bank. 2 0 0 1 First Financial Bankshares, Inc. acquires City National Bank, Mineral Wells. CURTIS R. HARVEY Executive Vice President and Chief Financial Officer 8 T R U S T S E R V I C E S Although the events of the past year had a major customer. Our Customer StrataStation provides impact on the trust industry, your Trust Trust Administrators with account information at Departments produced solid results. During 2001, their desktops so they can respond immediately to the Trust Departments at First National Bank of customer inquiries. Abilene, San Angelo National Bank, Stephenville The Year 2002 promises to be one of Bank & Trust Co. and First National Bank, opportunities for all locations. In July, we will convert Sweetwater, grew by $47.8 million to a year-end Stephenville Bank & Trust Co. to the SEI book value of $958.9 million. Revenue for the com- ROBERT S. PATTERSON bined four departments reached $5.9 million, an First National Bank of Abilene increase of 8.3% over the prior year. Contribution of after-tax income to the company increased by 12.4% to $1.6 million. In a volatile market, our Abilene investment man- agement team demonstrated its expertise through its model portfolio by beating both the S&P and Dow indices by 683 basis points and 38 basis points, respectively. This is the second year in a row that we DAVID BYRD KEITH KOETS DON ALLEN San Angelo National Bank Stephenville Bank & Trust Co. First National Bank, Sweetwater have outperformed both of these indices. Corporation accounting system, providing customers Innovative technology is also a key factor in pro- and administrators with its enhanced features. With viding exceptional service to our customers, which is our experienced investment professionals, solid our highest priority. In 2001, we added two impor- investment results, a keen sense of customer needs tant technologies to enhance service: our Portfolio and commitment to technological innovation, we Realignment feature automatically realigns securi- expect to produce another outstanding year of ties to account investment parameters set by the financial performance for First Financial Investment Department, in consultation with the Bankshares shareholders. TRUST ASSETS In Millions TRUST FEES In Millions 01 00 99 98 97 $959 911 845 774 688 01 00 99 98 97 $5.89 5.50 5.10 4.75 3.99 9 F I R S T N A T I O N A L B A N K O F A B I L E N E M A I N O F F I C E 400 Pine Street Abilene, Texas Chartered 1889 Seven Offices in Abilene CHUCK A. COWELL President and Chief Executive Officer S E N I O R O F F I C E R S Chuck A. Cowell President and Chief Executive Officer Ron Fogle Executive Vice President, Commercial Loans Robert S. Patterson Executive Vice President and Senior Trust Officer John Prince Executive Vice President, Personal Loans Mario A. Luppino Executive Vice President, Marketing and Retail Gary Tucker, CDP Executive Vice President and Chief Information Officer Leo Dennis Executive Vice President, Chief Financial Officer and Cashier D I R E C T O R S F. Scott Dueser Chairman of the Board J. Michael Alexander President, James M. Alexander & Co. Tucker S. Bridwell President and Chief Executive Officer, Mansefeldt Investments, Inc. Joseph E. Canon Executive Director, Dodge Jones Foundation David Copeland President, Shelton Family Foundation Chuck A. Cowell President and Chief Executive Officer Joe Crawford President, Abilene Aero, Inc. Charles Ezzell Investments Allan D. Frizzell Executive Vice President, Enrich Oil Corporation Raymond A. McDaniel, Jr. Investments Bynum Miers Rancher William D. Minter President and Chief Executive Officer, Leapfrog Technologies, LLC Stanley Morris, Jr. Investments Kenneth T. Murphy First Financial Bankshares, Inc. James Parker President, Parker Properties, Inc. Jack D. Ramsey, M.D. Physician Dian Graves Stai Investments Michael C. Waters, F.A.C.H.E. President, Hendrick Health System A D V I S O R Y Bob J. Surovik McMahon, Surovik, Suttle, Buhrmann, Hicks and Gill, P.C. Steve Suttle McMahon, Surovik, Suttle, Buhrmann, Hicks and Gill, P.C. Taylor County Deposit Market Share45% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $670,959 344,341 598,310 63,276 13,051 1.98% 20.19 12-31-00 $665,297 335,492 597,120 61,160 12,428 1.94% 21.68 Trust Assets $722,504 $692,279 10 COMMUNITY LEADERSHIP F. SCOTT DUESER Texas Bankers Association, Chairman Abilene Industrial Foundation, Board Member, Former Chairman Abilene Higher Education Foundation, Board Member West Texas Rehabilitation Center, Board Member Hendrick Medical Center Foundation, Board Member CHUCK A. COWELL United Way of Abilene, Loaned Executive Abilene Chamber of Commerce, Board Member Abilene Industrial Foundation, Board Member Leadership Abilene RON FOGLE Hendrick Medical Center Board of Trustees, Vice Chairman Hendrick Medical Center Foundation, Board Member Abilene Improvement Corporation, Board Member First Baptist Church of Abilene, Deacon ROBERT S. PATTERSON City of Abilene, Airport Development Board, Vice Chairman The Grace Museum, Board Member, Director Abilene Zoological Society, Vice President Abilene Chamber of Commerce, Military Affairs Committee 7th Wing Operations Group at Dyess Air Force Base, Honorary Commander Center for Contemporary Arts, Board Member United Way of Abilene, Board Member Nonprofit Resource Center, Board Secretary U.S. Lacrosse, Board of Governors Junior Achievement, Instructor JOHN PRINCE Keep Abilene Beautiful, Board Member Child Protective Services of Abilene Texas Scholars Program, Instructor MARIO A. LUPPINO Abilene Chamber of Commerce, Board of Directors Abilene Education Council, Board of Directors Texas Scholars Committee Junior Achievement, Instructor Wylie Community Center Committee, Board of Directors GARY TUCKER Association of Information Technology Professionals, President First Baptist Church of Abilene, Deacon LEO DENNIS Abilene Chamber of Commerce United Way of Abilene Day Nursery of Abilene, Board Member continued on page 20 F I R S T F I N A N C I A L B A N K , N A T I O N A L A S S O C I A T I O N , C L E B U R N E M A I N O F F I C E D I R E C T O R S 403 North Main Cleburne, Texas Chartered 1927 Offices in Cleburne, Burleson and Alvarado S E N I O R O F F I C E R S Ronald E. Schneider Chairman of the Board, President and Chief Executive Officer Perry Ginn Executive Vice President Homer S. Pittman, Jr. Senior Vice President and Cashier RONALD E. SCHNEIDER Chairman of the Board, President and Chief Executive Officer Craig Beskow Senior Vice President Derek Schmidt Senior Vice President Ronald E. Schneider Chairman of the Board, President and Chief Executive Officer Albert A. Archer President, Walls Industries, Inc. Gary Bennett Bennett Printing & Office Supply Robert T. Childress Investments Jim Easdon Investments Curtis R. Harvey First Financial Bankshares, Inc. Hollis E. (Gene) Joslin Investments Brent D. Magers Chief Executive Officer and Administrator, Walls Regional Hospital George Marti Marti Enterprises Kenneth T. Murphy First Financial Bankshares, Inc. Johnson County Deposit Market Share21% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $209,159 108,607 189,597 18,040 3,120 1.62% 17.08 12-31-00 $198,634 105,211 180,009 17,522 3,183 1.64% 18.74 COMMUNITY LEADERSHIP RONALD E. SCHNEIDER Cleburne Economic Development Foundation Texas Bankers Association, Board Member Buffalo Creek Beautification Committee Tuesday Forum PERRY GINN Tuesday Forum Cleburne Jaycees Rotary Club CRAIG BESKOW Lions Club STEVE REID Aledo School Board, President Whitney Chamber of Commerce, Director Lions Club, Past President GRADY EASDON Burleson Chamber of Commerce Joshua Chamber of Commerce Kiwanis Club Lay Person of the Year Rotary Club CYNTHIA ALLEN Zonta Club of Johnson County, Executive Board United Way of Cleburne, Executive Board Cleburne Advisory Council Meals on Wheels Alvarado Lions Club LANA RAGON Johnson County Board of Realtors Save Old Cleburne Association LINDA HALL Buffalo Creek Beautification Committee Cleburne Downtown Association United Way of Cleburne Cleburne Chamber of Commerce, Ambassador Christian Business Club, President Zonta International ELLEN PARNELL Cleburne Chamber of Commerce, Ambassador Goodfellows Meals on Wheels In His Name King’s Daughters PAM LOWE Character First for Johnson County, Vice President Leadership Cleburne CHERYL WILSON Goodfellows Meals on Wheels In His Name King’s Daughters Cleburne High School PTSA, Treasurer BRANNON POTTS Cleburne Jaycees 11 continued on page 20 E A S T L A N D N A T I O N A L B A N K M A I N O F F I C E 201 East Main Eastland, Texas Chartered 1934 Serving Eastland County S E N I O R O F F I C E R S Tommy J. Barrow Chairman of the Board, President and Chief Executive Officer Clint S. Ferguson Executive Vice President Jim Davidson Senior Vice President and Cashier D I R E C T O R S Tommy J. Barrow Chairman of the Board, President and Chief Executive Officer F. Scott Dueser First Financial Bankshares, Inc. Clint S. Ferguson Executive Vice President Jim Keffer President, EBAA Iron Sales, Inc. COMMUNITY LEADERSHIP TOMMY J. BARROW Eastland Economic Development, Inc., Secretary and Treasurer Project Eastland Pride, Vice President Eastland Rotary Club CLINT FERGUSON Pasture to Packer Program, Secretary Eastland Kiwanis Club Eastland Booster Club, Past President Mike T. Perry President, Kinnaird, Rossander & Perry Agency, Inc. JIM DAVIDSON Lions Club Tommy Warford Turner, Seaberry and Warford, Attorneys MARY WELLS Eastland Chamber of Commerce, Board of Directors Eastland County Appraisal District, Secretary Eastland County Water District Board, Secretary Ranger College, Advisory Board Red Coat Committee, Chairman JONATHAN NEWTON Eastland Chamber of Commerce, Volunteer Eastland Rotary Club Albany Old Jail Art Center, Exhibitions Committee STEVE SIMMEL Eastland Referee Association, President “Little Dribblers,” President Flag Football, Referee Girls Softball and Volleyball, Coach Eastland County Deposit Market Share27% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $57,412 29,904 51,577 5,737 894 1.58% 15.91 12-31-00 $54,502 31,384 48,842 5,429 758 1.66% 17.76 TOMMY J. BARROW Chairman of the Board, President and Chief Executive Officer 12 H E R E F O R D S T A T E B A N K M A I N O F F I C E D I R E C T O R S 212 East Third Hereford, Texas Chartered 1947 Serving Deaf Smith County S E N I O R O F F I C E R S Craig Smith Chairman of the Board, President and Chief Executive Officer Terry Bromlow Executive Vice President Steve Gilbert Senior Vice President and Cashier Jeff Brown Senior Vice President CRAIG SMITH Chairman of the Board, President and Chief Executive Officer Craig Smith Chairman of the Board, President and Chief Executive Officer Joe Artho Retired General Manager, Hereford Grain Corp. Terry Bromlow Executive Vice President F. Scott Dueser First Financial Bankshares, Inc. S.L. Garrison Farming and Cattle Feeding Terry Langehennig Cowsert, Line and Langehennig, Attorneys Rex Lee Investments and Farming Garth Merrick President and Chief Executive Officer, Hereford Bi-Products, Inc. and Merrick Petfoods, Inc. Allen Parson Restaurateur and Investments Johnny Trotter Ranching, Farming and Cattle Feeding Roger Williams Farming R.N. Yarbro Investments Deaf Smith County Deposit Market Share47% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $84,246 46,261 70,546 8,120 1,277 1.57% 15.64 12-31-00 $86,981 42,142 72,415 7,987 1,367 1.64% 16.86 COMMUNITY LEADERSHIP CRAIG SMITH Hereford Economic Development Corporation, Secretary Spicer Gripp Memorial Youth Foundation Texas Cattle Feeders Association New Mexico Cattle Growers Association Northern New Mexico Livestock Association Texas and Southwest Cattle Raisers Association American Paint Horse Association Hereford Hustlers Chamber of Commerce TERRY BROMLOW Hereford Hustlers Chamber of Commerce Lions Club STEVE GILBERT United Way of Hereford, Board Member YMCA Sustaining Fund Drive JEFF BROWN Hereford Hustlers Chamber of Commerce Big Brothers Big Sisters Kiwanis Club MADELINE ROSSON Deaf Smith County Volunteer Board Women’s Division Chamber of Commerce CHARLENE SANDERS Hereford Hustlers Chamber of Commerce, President Hereford Chamber of Commerce, Board of Directors, Treasurer Hereford Cattlewomen Hereford Women’s Bowling Association ROBEN CRENSHAW Hereford Volunteer Fire Department 4-H Club Kids, Inc. RENI MASON Big Brothers Big Sisters PAULA EUBANKS Hereford Chamber of Commerce Singers DEBBIE GONZALEZ Hereford Ambucs Hereford Hustlers Chamber of Commerce Hereford Chamber of Commerce, Board of Directors 13 C I T Y N A T I O N A L B A N K , M I N E R A L W E L L S M A I N O F F I C E D I R E C T O R S 1800 E. Hubbard Mineral Wells, Texas Chartered 1925 Serving Palo Pinto County S E N I O R O F F I C E R S Ken A. Williamson President and Chief Executive Officer Brad Seay Executive Vice President, Lending Eddie Gregory Vice President Kay Hudspeth Cashier Jimmy Seay Chairman of the Board F. Scott Dueser First Financial Bankshares, Inc. Curtis R. Harvey First Financial Bankshares, Inc. Don O’Neal Don O’Neal Distributing Company, Inc., O’Neal Enterprises, Inc. Brad Seay Executive Vice President Dan Seay Investment Centers of America Walter Joe Thomas, D.D.S. Dentist Ken A. Williamson President and Chief Executive Officer KEN A. WILLIAMSON President and Chief Executive Officer Palo Pinto County Deposit Market Share26% 12-31-00 IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $91,252 48,838 82,339 8,433 574 1.25% 13.22 14 COMMUNITY LEADERSHIP KEN A. WILLIAMSON High Sky Children’s Ranch, Chairman of the Board Midland Downtown, Board Member United Way of Midland, Panel Allocations Committee Permian Basin Scholarship Committee BUY.COM Permian Basin Golf Tournament, Board Member Multiple Sclerosis, Board Member BRAD SEAY Dunbar School Renovation Committee Palo Pinto County Livestock Association Texas Frontier Trails, Inc., Director and Treasurer Mineral Wells Kiwanis Club, Board Member EDDIE GREGORY Mineral Wells Kiwanis Club, First Vice President First United Methodist Church, Board of Trustees Mineral Wells Little League, Coach Mineral Wells Soccer Club, Coach KAY HUDSPETH The Jeanine Young Scholarship Fund, Founder and Board Member Eastern Star Daughters of American Colonists Santo High School Ex-Students Association MIKE MEARSE Mineral Wells Kiwanis Club, President-Elect First Baptist Church, Finance Committee SHELLEY RAMSEY First Baptist Church of Mineral Wells, Assistant Treasurer, Vice President and Sanctuary Choir Travis Elementary PTO, Vice President Mineral Wells Junior High PTO, Treasurer S A N A N G E L O N A T I O N A L B A N K M A I N O F F I C E 301 West Beauregard San Angelo, Texas Chartered 1997 Two Offices in San Angelo S E N I O R O F F I C E R S Michael L. Boyd President and Chief Executive Officer David Byrd Executive Vice President and Trust Officer Terry Erwin Executive Vice President Robert Pate Executive Vice President Katherine Reeves Senior Vice President and Cashier MICHAEL L. BOYD President and Chief Executive Officer D I R E C T O R S Dal DeWees Chairman of the Board George Alexander Partner, Alexander Construction Company Michael L. Boyd President and Chief Executive Officer W. Dan Cravy, M.D. Physician David B. Drake Investment Advisor F. Scott Dueser First Financial Bankshares, Inc. Doug Eakman Owner, Pecos Street Pharmacy Harry Elam Retired Vice President, General Telephone Company of the Southwest Joe Henderson President, Porter Henderson Implement Company, Inc. Robert D. Housley President and Owner, Housley Communications Jim Johnson Shannon, Porter, Johnson, Pfluger, Davis & Joynton, LLP David F. Lupton President, Angelo Glass & Mirror Company, Inc. Kenneth T. Murphy First Financial Bankshares, Inc. Bill Pfluger Rancher Richard W. Salmon Investments John E. Schwartz, Sr. Farmer/Rancher F.L. (Steve) Stephens Retired Chairman and Chief Executive Officer, Town & Country Food Stores, Inc. Tom Green County Deposit Market Share25% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $299,808 110,685 257,212 27,986 4,167 1.46% 15.13 12-31-00 $275,921 113,506 227,490 25,996 3,865 1.47% 15.73 Trust Assets $129,471 $118,255 COMMUNITY LEADERSHIP DAVID BYRD Rio Concho, Inc., Finance and Executive Committee Children’s Advocacy Center of Tom Green County, Inc. (CASA) Hope House, Finance Committee San Angelo Schools Foundation San Angelo Business and Education Coalition Texas Society of Certified Public Accountants, San Angelo Chapter, President Rotary Club of San Angelo First Presbyterian Church, Chairman of Stewardship Committee TERRY ERWIN Plaza del Sol (Christian Senior Citizen HUD Housing), Director San Angelo Downtown Rotary Club, Director College Hills Christian Church, Treasurer ROBERT PATE Boys and Girls Club of San Angelo, Board Member Angelo State University, President’s Circle Angelo State University Ram Club, Board Member and President-Elect Concho Valley Council Boy Scouts of America, Board Member and Finance Chairman Kiwanis Club of West Angelo, Board Member and Past President United Way of the Concho Valley, Allocation Committee and Policy Team San Angelo YMCA, Board Member San Angelo A&M Club, Board Member and Past President Texas A&M University, Texas A&M Foundation Representative Texas A&M University, Former Student Association Representative KATHERINE REEVES Southwest Rotary Member First Presbyterian Church, Mission/Service/Outreach Committee Chairman WILLIAM WIEDENFELD Professional Agriculture Workers Association Wall Young Farmers Agriculture Marketing Club San Angelo Stock Show, Swine Committee Tom Green County Junior Livestock Show, Lamb Committee Concho Valley Council Boy Scouts of America Knights of Columbus Holy Angels Council ROBERT PFLUGER Historic Preservation Commission Member Old Town Conservancy, Board Member March of Dimes, Board Member VONDA SANDERS Small Business Association Workshops on Women in Business, Guest Speaker Glen Meadows Baptist Church, Finance Committee 15 continued on page 20 F I R S T F I N A N C I A L B A N K , N A T I O N A L A S S O C I A T I O N , S O U T H L A K E M A I N O F F I C E D I R E C T O R S 3205 East Highway 114 Southlake, Texas Chartered 1985 Offices in Southlake and Trophy Club Perry D. Elliott Chairman of the Board James E. Burger Burger Construction S E N I O R O F F I C E R S Perry D. Elliott Chairman of the Board Mark L. Jones President and Chief Executive Officer Susie Howell Executive Vice President Michele P. Stevens Senior Vice President and Cashier Jack Dortch Jack Dortch Insurance Agency F. Scott Dueser First Financial Bankshares, Inc. Derrell Johnson Senior Vice President, Kimley-Horn & Associates, Inc. Mark L. Jones President and Chief Executive Officer K. Wayne Lee President, DDFW Properties Robert S. Mundlin Owner, Lifetime Benefits Insurance Kenneth T. Murphy First Financial Bankshares, Inc. Jim Ridenour President, Sunbelt Station Service MARK L. JONES President and Chief Executive Officer Cities of Southlake & Roanoke Deposit Market Share17% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $65,554 42,366 59,672 5,845 652 1.07% 10.97 12-31-00 $60,489 34,087 49,307 5,803 1,084 1.74% 19.43 16 COMMUNITY LEADERSHIP MARK L. JONES Keller Chamber of Commerce, Vice Chairman Tarrant County Fee Arbitration Committee, Board Member Keller Crime Control and Prevention Board, Chairman Catholic Charities Housing Board of Fort Worth, President University Christian Church, Fort Worth, Trustee MICHELE P. STEVENS Glenhope Elementary PTA, Publicity Chairman PATTI DANIEL Roanoke, Trophy Club, Westlake Chamber of Commerce, Ambassador Metroport Meals on Wheels Trophy Club Women’s Club Lions Club of Trophy Club DON REDDING Keller Higher Education Committee, Vice President Keller Economic Development Board, Vice Chairman Keller Lions Club Greater Keller Chamber of Commerce TRENT SWEARENGIN Grapevine Chamber of Commerce GSC Young Life Committee Fort Worth/Tarrant County A&M Club JOSE DURON Leadership Southlake Roanoke, Trophy Club, Westlake Chamber of Commerce, Economic Development Committee Southlake Chamber of Commerce Grapevine Chamber of Commerce Grapevine Ambucs Member Colleyville Chamber of Commerce, Golf Committee TAMI ELLIS Texas Girls’ Choir, Volunteer Colleyville Heritage High School PTA Ron Butler President and Chief Executive Officer COMMUNITY LEADERSHIP S T E P H E N V I L L E B A N K & T R U S T C O . M A I N O F F I C E 2201 West South Loop Stephenville, Texas Chartered 1923 Two Offices in Stephenville S E N I O R O F F I C E R S Ron Butler President and Chief Executive Officer Ken Luker Executive Vice President Monty Bedwell Senior Vice President Dereece Howell Senior Vice President and Cashier Keith Koets Senior Vice President and Trust Officer Terry McCoy Senior Vice President Robert Reeves Senior Vice President D I R E C T O R S James C. Terrell, Jr., M.D. Chairman of the Board Perry D. Elliott Vice Chairman RON BUTLER President and Chief Executive Officer William L. Corbin Investments Charles P. Gillespie, Jr. Engineer Kenneth T. Murphy First Financial Bankshares, Inc. William H. Oxford Attorney Bill Parham Parham & Parham, CPAs Jerry Parham Investments Jack Parks Farmer Ronald E. Schneider First Financial Bankshares, Inc. Frank Terrell, M.D. Ophthalmologist John Terrill Attorney A D V I S O R Y W.L. Nix Investments Erath County Deposit Market Share30% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $130,186 71,367 118,903 10,954 2,151 1.79% 19.88 12-31-00 $115,992 68,555 102,209 10,319 1,960 1.77% 19.21 Trust Assets $ 40,859 $ 34,442 KEN LUKER Leadership Stephenville Empire Tribune, Advisory Board Stephenville Chamber of Commerce, Real Estate Planning Committee Stephenville Independent School District, Athletic Hall of Fame Selection Committee MONTY BEDWELL Stephenville Chamber of Commerce Optimist Club DEREECE HOWELL Zonta, Board Member Stephenville Chamber of Commerce Beta Sigma Phi KEITH KOETS Terrell Foundation, Secretary Leadership Stephenville Noon Lions Club ROBERT REEVES Chamber of Commerce Optimist Club MINDY WOOLEY Leadership Stephenville Crime Stoppers, Board Member Stephenville Chamber of Commerce, Ambassador Stephenville Independent School District, Volunteer KIM COOPER Stephenville Chamber of Commerce, Board of Directors, Tourism Committee VICKIE PETTIT Stephenville Chamber of Commerce Beta Sigma Phi 17 F I R S T N A T I O N A L B A N K , S W E E T W A T E R M A I N O F F I C E D I R E C T O R S 201 Elm Street Sweetwater, Texas Chartered 1948 Offices in Sweetwater and Roby J.V. Martin Chairman of the Board, President and Chief Executive Officer Glenn D. Bennett Bennett & Associates S E N I O R O F F I C E R S J.V. Martin Chairman of the Board, President and Chief Executive Officer Louis Brooks, Jr. Ranching, Brooks-Maberry, Inc. Bill W. Burns President, Bill Burns Oil Co., Inc. Don Allen Senior Vice President and Trust Officer F. Scott Dueser First Financial Bankshares, Inc. Kirby Andrews Senior Vice President, Lending W.A. Hickman Ranching Donnie Ruppert Senior Vice President and Controller Morris E. Hinshaw Retired Executive Vice President J.V. MARTIN Chairman of the Board, President and Chief Executive Officer Rodney Foster Senior Vice President, Lending Cecil J. King Retired President, Citizens State Bank, Roby Thomas L. Rees, Sr. Rees and Rees, Attorneys Nolan and Fisher Counties Deposit Market Share40% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $104,968 46,666 90,100 10,204 1,605 1.53% 15.82 12-31-00 $104,932 40,758 85,467 9,807 1,344 1.29% 13.53 Trust Assets $ 66,118 $ 66,134 18 COMMUNITY LEADERSHIP DON ALLEN Sweetwater Independent School District, Vice President Sweetwater Chamber of Commerce, Sports and Recreation Committee Rushing Wind Emmaus Community, Treasurer Sweetwater Rotary Club KIRBY ANDREWS Sweetwater Industrial Foundation, Board Member Sweetwater Chamber of Commerce, Board Member Texas Midwest Community Network Rotary Club DONNIE RUPPERT American Red Cross, Board Member RODNEY FOSTER Nolan County Crimestoppers, Board Member, Treasurer Lions Club of Sweetwater Nolan County Livestock Show, Sales Committee Member AJRA National Finals Rodeo Committee GLENDA CASTO Nolan County United Way, Board Member SNAP Meals on Wheels JANIS MCDOWELL J.P. Cowan – Sweetwater Independent School District, Site Base Committee Sweetwater Independent School District, Redistricting Committee Rolling Plains Memorial Hospital Foundation, Secretary American Cancer Association, Relay for Life Chairman Sweetwater Jaycees Scholarship Fund Sweetwater Independent School District Youth Art Appreciation Program, Treasurer KAREN RAINBOLT Rolling Plains Memorial Hospital, Board of Directors Sweetwater Independent School District Pathways to Education Sweetwater High School Campus Improvement Council & PTO BRITT STUART Roby Independent School District, Board Member Roby Economic Development Lions Club of Roby, Board of Directors Fisher County Livestock Committee, Vice President, Secretary Roby High School, Chairman of Main Event–Drug Free Night 4-H, Senior Leader W E A T H E R F O R D N A T I O N A L B A N K M A I N O F F I C E D I R E C T O R S 101 North Main Weatherford, Texas Chartered 1984 Four Offices in Weatherford and Aledo S E N I O R O F F I C E R S Doyle Lee Chairman of the Board, President and Chief Executive Officer Bob Bradberry Executive Vice President Paul Baker Senior Vice President Jean Bryan Senior Vice President Larry V. Mangrem Senior Vice President and Cashier Louis Sneed Senior Vice President Brookes B. Worthington Senior Vice President Doyle Lee Chairman of the Board, President and Chief Executive Officer Stephen G. Brogdon, D.D.S. General and Cosmetic Dentistry Mac A. Coalson Real Estate and Ranching Bob Kingsley Host and Producer, American Country Countdown Dave Lang President, Dralco, Inc. Kenneth T. Murphy First Financial Bankshares, Inc. Ronald E. Schneider First Financial Bankshares, Inc. Walter F. Worthington Investments DOYLE LEE Chairman of the Board, President and Chief Executive Officer Parker County Deposit Market Share27% IN THOUSANDS Assets Loans Deposits Equity Net Income Return on Assets Return on Equity 12-31-01 $201,768 91,096 182,696 18,595 3,721 1.99% 20.83 12-31-00 $187,851 88,136 170,512 16,727 3,524 2.01% 22.08 COMMUNITY LEADERSHIP BOB BRADBERRY Weatherford Chamber of Commerce, Committee Assignment Rotary Club PAUL BAKER Weatherford Chamber of Commerce, Government Affairs Weatherford Independent School District, Partners In Education First Baptist Church, Personnel Committee Lions Club, Board Member LARRY V. MANGREM Parker County Crimestoppers, Treasurer Weatherford Noon Lions Club, Secretary and Treasurer LOUIS SNEED Aledo Cemetery, Board Member East Parker County Chamber of Commerce, Treasurer Parker County Extension Program Council, Executive Board, Chairman Coder Elementary, Site Base Committee Boy Scouts of America BROOKES B. WORTHINGTON Brazos Valley Cutting Horse Association North Texas Cutting Horse Association National Cutting Horse Association American Quarter Horse Association Parker County Sheriff’s Possee Sheriff’s Association of Texas Baylor Letterman’s Association American Diabetes Association Cancer Care Services SIDNE BURNS Parker County Builders’ Association Parker County Board of Realtors Weatherford/Parker County Chamber of Commerce, Ambassador Springtown Christian Business Women Weatherford/Parker County Chamber of Commerce Springtown Chamber of Commerce Weatherford Rotary Club JAMES MAY Weatherford Library Board Civic Development, Inc. Historic Weatherford Business Association Parker County Committee on Aging Board Springtown Chamber of Commerce Weatherford Rotary Club DEBBIE JAMES Weatherford College, Computer Science Department Advisory Committee Weatherford Independent School District, Career and Technology Education Committee Order of the Arrow, Assistant Advisor, Fall Coat and Toy Drive Advisor Native American Dance, Out Reach Assistant Citizen Potawatomi Nation Texas Indian Hobbiest Association 19 M O R E C O M M U N I T Y L E A D E R S H I P First National Bank of Abilene LAWRENCE BERTSCH Exchange Club Cultural Affairs Council United Way of Abilene Downtown Association KAY BERRY Abilene Rotary Club Keep Abilene Beautiful Junior Achievement, Instructor Texas Scholars, Instructor Junior League of Abilene TOM BOECKING Abilene Chamber of Commerce, Military Affairs Committee Abilene Rotary Club Home Builders Association Abilene Regional Hospital, Board Member STELLA DUNLAP YWCA, Vice President and President-Elect Abilene Woman’s Club, Treasurer West Texas Girl Scout Council, Budget and Finance Committee United Way of Abilene, Program Review Panel for Assisting People in Crisis Abilene Business & Estate Planning Council, Board of Directors JIM HOUSTON Abilene Chamber of Commerce Food Bank of Abilene American Cancer Society Hendrick Hospice & Noah Project Diamondback Classic TOMMY MARTIN Disability Resources Inc., Planned Giving Advisory Council Christian Homes of Abilene, Planned Giving Focus Group BEN F. MCANALLY Texas Bankers Association, District 7 Chairman SWACHA Board of Directors Texas Bankers Association, BankPac Board Member United Way of Abilene, Campaign Cabinet DOUG MCINTYRE Texas Bankers Association, Trust Administrative Council Chairman Expo Center of Taylor County, Executive Board Member Ben Richey Boys Ranch, Board Member Abilene Convention & Visitors Bureau, Board Member Taylor County Veteran’s Land Board, Board Member JERRY NELSON Retired Officers’ Association Episcopal Church of the Heavenly Rest Foundation, Board President JANET O’DELL Abilene Board of Realtors Big Country Homebuilders Women Council of Realtors Women Council of Homebuilders Abilene Mortgage Bankers First Financial Bank, National Association, Cleburne MICHELLE FAGAN Leadership Cleburne Cleburne Early Bird Kiwanis, Treasurer LISA ROYE Society for Human Resources Management MARGARET BEARD Cleburne Chamber of Commerce, Ambassador Lions Club Meals on Wheels, Board Member San Angelo National Bank TOM O’NEIL Founder Lions Club, Director Taylor County Extension Office, Agriculture Committee Chairman SEBASTIAN GUERRERO San Angelo Independent School District, Mentor United Way of Abilene, Professional Division Tom Green County United Way, Chairman GUINN SMITH Boys and Girls Club of Abilene, Past President Ablilene Chamber of Commerce, Military Affairs Committee Hardin Simmons University Academic Foundation RANDY SPIVA YMCA Board United Way of Abilene, Program Review Panel, 2002 Campaign Account Executive National Association of Royalty Owners, Texas, Director Abilene Geological Society American Association of Petroleum Geologists DENNIS TARRANT Texas Bankers Association, District 7 Treasurer Texas Lessor’s Association Kiwanis Club’s George Hixson Award RICHARD YOUNG Food Bank of Abilene, Treasurer, Budget Committee Chairman, Personnel Committee Day Nursery of Abilene, President-Elect, Administrative Committee Chairman Board Member Pan American Golf Association, Scholarship Committee South Side Lions Club, Scholarship Committee REBA PRIDDY San Angelo Independent Business, Advisory Committee ARMANDO TREVINO Salvation Army, Board Member Community Action Council South Side Lions Club La Clinica Esperanza, Finance Chairman Diocesan Finance Council St. Mary’s Church, Finance Committee RUTH WHEELER San Angelo Chamber of Commerce, Business and Retention Committee Howard College, Business Mentor Committee BARBARA WRIGHT West Side Lions Club, Secretary and Treasurer San Angelo Lions Charities, Secretary and Treasurer 20 C O R P O R A T E I N F O R M A T I O N A N N U A L M E E T I N G T R A N S F E R A G E N T OFFICERS DIRECTORS Tuesday, April 23, 2002 Abilene Civic Center 1100 North Sixth Street Abilene, Texas 79601 C O R P O R AT E O F F I C E S 400 Pine Street Abilene, Texas 79601 (915) 627-7155 ffin@abilene.com www.ffin.com C O R P O R AT E M A I L I N G A D D R E S S P.O. Box 701 Abilene, Texas 79604 C O M M O N S T O C K L I S T I N G The NASDAQ Stock Market® Symbol: FFIN F O R F I N A N C I A L I N F O R M AT I O N , C O N TA C T : Curtis R. Harvey Executive Vice President and Chief Financial Officer (915) 627-7159 The Bank of New York 1-800-524-4458 Address Shareholder Inquiries To: Shareholder Relations Dept. P.O. Box 11258 Church Street Station New York, NY 10286 E-mail Address: shareowner-svcs@ bankofny.com The Bank of New York Stock Transfer Website: www.stockbny.com Send Certificates For Transfer and Address Changes To: Receive and Deliver Dept. P.O. Box 11002 Church Street Station New York, NY 10286 I N D E P E N D E N T P U B L I C A C C O U N TA N T S Arthur Andersen LLP Kenneth T. Murphy Chairman of the Board F. Scott Dueser President and Chief Executive Officer Curtis R. Harvey Executive Vice President and Chief Financial Officer Ronald E. Schneider Executive Vice President Robert S. Patterson Senior Vice President, Trust Services Gary S. Gragg Senior Vice President Bill Rowe Vice President, Investment Securities Sandy Lester Secretary-Treasurer June D. Wideman Administrative Officer C O M M O N S T O C K M A R K E T V A L U E A N D D I V I D E N D D A T A QUARTER Fourth Third Second First Fourth Third Second First 2 0 0 1 2 0 0 0 CLOSE DIVIDENDS HIGH $31.88 32.91 31.44 27.15 LOW $27.20 27.00 25.00 23.40 $30.10 29.03 31.00 26.60 $25.70 $22.80 $25.15 26.10 23.40 24.80 21.40 19.15 19.80 25.65 22.00 21.00 $0.300 0.300 0.300 0.264 $0.264 0.264 0.264 0.240 Kenneth T. Murphy Chairman of the Board Joseph E. Canon Executive Director, Dodge Jones Foundation Mac A. Coalson Real Estate and Ranching David Copeland President, Shelton Family Foundation F. Scott Dueser President and Chief Executive Officer Derrell Johnson Senior Vice President, Kimley-Horn & Associates, Inc. Kade Matthews Ranching and Investments Raymond A. McDaniel, Jr. Investments Bynum Miers Ranching Dian Graves Stai Investments James Parker Parker Properties, Inc. Jack D. Ramsey, M.D. Physician Craig Smith Chairman, President and Chief Executive Officer, Hereford State Bank F.L. (Steve) Stephens Retired Chairman and Chief Executive Officer, Town & Country Food Stores, Inc. Walter F. Worthington Investments 

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