Following is condensed financial information of Southern First Bancshares, Inc. (parent company only):

Condensed Balance Sheets


	December 31,
(dollars in thousands)	2019		2018
Assets
Cash and cash equivalents	$	7,753	5,389
Investment in subsidiaries		234,310	181,919
Other assets		6	19
Total assets	$	242,069	187,327
Liabilities and Shareholders’ Equity
Accounts payable and accrued expenses	$	319	8
Subordinated debentures		35,890	13,403
Shareholders’ equity		205,860	173,916
Total liabilities and shareholders’ equity	$	242,069	187,327

Condensed Statements of Income


	For the years ended December 31,
(dollars in thousands)	2019			2018		2017
Revenues
Interest income	$	13		9		11
Total revenue		13		9		11
Expenses
Interest expense		929		592		514
Other expenses		240		240		246
Total expenses		1,169		832		760
Income tax benefit		243		173		262
Loss before equity in undistributed net income of subsidiaries		(913	)	(650	)	(487	)
Equity in undistributed net income of subsidiaries		28,771		22,939		13,532
Net income	$	27,858		22,289		13,045

Condensed Statements of Cash Flows


	For the years ended December 31,
(dollars in thousands)	2019			2018		2017
Operating activities
Net income	$	27,858		22,289		13,045
Adjustments to reconcile net income to cash provided by (used for) operating activities
Equity in undistributed net income of subsidiaries		(28,771	)	(22,939	)	(13,532	)
Compensation expense related to stock options and restricted stock grants		1,698		1,502		1,258
(Increase) decrease in other assets		12		12		2,772
Increase (decrease) in accounts payable and accrued expenses		(202	)	2		2
Net cash provided by operating activities		595		866		3,545
Investing activities
Investment in subsidiaries, net		-		-		(27,334	)
Net cash used for investing activities		-		-		(27,334	)
Financing activities
Issuance of common stock		-		-		24,758
Proceeds from the exercise of stock options and warrants		1,769		900		705
Net cash provided by financing activities		1,769		900		25,463
Net increase (decrease) in cash and cash equivalents		2,364		1,766		1,674
Cash and cash equivalents, beginning of year		5,389		3,623		1,949
Cash and cash equivalents, end of year	$	7,753		5,389		3,623