<?xml version="1.0" encoding="utf-8"?>
<informationTable xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xmlns:xsd="http://www.w3.org/2001/XMLSchema" xmlns="http://www.sec.gov/edgar/document/thirteenf/informationtable">
  <infoTable>
    <nameOfIssuer>ABBOTT LABORATORIES</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>002824100</cusip>
    <value>808</value>
    <shrsOrPrnAmt>
      <sshPrnamt>18185</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>17685</Sole>
      <Shared>0</Shared>
      <None>500</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ABBVIE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>00287y109</cusip>
    <value>743</value>
    <shrsOrPrnAmt>
      <sshPrnamt>11410</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>11210</Sole>
      <Shared>0</Shared>
      <None>200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ACTUANT CORP CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>00508X203</cusip>
    <value>18086</value>
    <shrsOrPrnAmt>
      <sshPrnamt>686380</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>369489</Sole>
      <Shared>0</Shared>
      <None>316891</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ACXIOM CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>005125109</cusip>
    <value>13771</value>
    <shrsOrPrnAmt>
      <sshPrnamt>483714</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>262507</Sole>
      <Shared>0</Shared>
      <None>221207</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>AIR METHODS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>009128307</cusip>
    <value>16856</value>
    <shrsOrPrnAmt>
      <sshPrnamt>392000</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>211100</Sole>
      <Shared>0</Shared>
      <None>180900</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ALAMO GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>011311107</cusip>
    <value>18629</value>
    <shrsOrPrnAmt>
      <sshPrnamt>244511</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>133379</Sole>
      <Shared>0</Shared>
      <None>111132</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ALBANY INTL CORP CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>012348108</cusip>
    <value>17783</value>
    <shrsOrPrnAmt>
      <sshPrnamt>386168</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>212426</Sole>
      <Shared>0</Shared>
      <None>173742</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ALLEGIANT TRAVEL CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>01748x102</cusip>
    <value>12466</value>
    <shrsOrPrnAmt>
      <sshPrnamt>77794</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>41667</Sole>
      <Shared>0</Shared>
      <None>36127</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ALPHABET INC - CLASS A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>02079K305</cusip>
    <value>1379</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1626</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1616</Sole>
      <Shared>0</Shared>
      <None>10</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ALPHABET INC - CLASS C</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>02079K107</cusip>
    <value>1636</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1972</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1962</Sole>
      <Shared>0</Shared>
      <None>10</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>AMDOCS LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>g02602103</cusip>
    <value>134</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2201</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2201</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>AMERICAN EXPRESS CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>025816109</cusip>
    <value>16</value>
    <shrsOrPrnAmt>
      <sshPrnamt>200</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>200</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>AMERIS BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>03076k108</cusip>
    <value>23789</value>
    <shrsOrPrnAmt>
      <sshPrnamt>516032</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>277386</Sole>
      <Shared>0</Shared>
      <None>238646</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ANTHEM INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>036752103</cusip>
    <value>1636</value>
    <shrsOrPrnAmt>
      <sshPrnamt>9890</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>9615</Sole>
      <Shared>0</Shared>
      <None>275</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>APACHE CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>037411105</cusip>
    <value>1224</value>
    <shrsOrPrnAmt>
      <sshPrnamt>23814</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>23590</Sole>
      <Shared>0</Shared>
      <None>224</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>APPLE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>037833100</cusip>
    <value>4829</value>
    <shrsOrPrnAmt>
      <sshPrnamt>33615</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>33015</Sole>
      <Shared>0</Shared>
      <None>600</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>APTARGROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>038336103</cusip>
    <value>150</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1952</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1952</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ARGO GROUP INTERNATIONAL</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>G0464B107</cusip>
    <value>21043</value>
    <shrsOrPrnAmt>
      <sshPrnamt>310374</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>169493</Sole>
      <Shared>0</Shared>
      <None>140881</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ARMSTRONG WORLD INDUSTRIES</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>04247X102</cusip>
    <value>22472</value>
    <shrsOrPrnAmt>
      <sshPrnamt>488000</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>265902</Sole>
      <Shared>0</Shared>
      <None>222098</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ASCENA RETAIL GROUP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>04351G101</cusip>
    <value>3268</value>
    <shrsOrPrnAmt>
      <sshPrnamt>767248</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>419039</Sole>
      <Shared>0</Shared>
      <None>348209</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ATKORE INTERNATIONAL GROUP, IN</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>047649108</cusip>
    <value>4082</value>
    <shrsOrPrnAmt>
      <sshPrnamt>155328</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>82788</Sole>
      <Shared>0</Shared>
      <None>72540</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>AXALTA COATING SYSTEMS LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>G0750C108</cusip>
    <value>1643</value>
    <shrsOrPrnAmt>
      <sshPrnamt>51026</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>50201</Sole>
      <Shared>0</Shared>
      <None>825</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BELDEN INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>077454106</cusip>
    <value>16339</value>
    <shrsOrPrnAmt>
      <sshPrnamt>236141</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>130515</Sole>
      <Shared>0</Shared>
      <None>105626</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BERKSHIRE HATHAWAY INC CL B</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>084670702</cusip>
    <value>3607</value>
    <shrsOrPrnAmt>
      <sshPrnamt>21639</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>21242</Sole>
      <Shared>0</Shared>
      <None>397</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BIO RAD LABS INC CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>090572207</cusip>
    <value>15796</value>
    <shrsOrPrnAmt>
      <sshPrnamt>79240</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>45190</Sole>
      <Shared>0</Shared>
      <None>34050</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BNC BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>05566t101</cusip>
    <value>14571</value>
    <shrsOrPrnAmt>
      <sshPrnamt>415725</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>227048</Sole>
      <Shared>0</Shared>
      <None>188677</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BOSTON PRIVATE FINANCIAL HOLDI</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>101119105</cusip>
    <value>14834</value>
    <shrsOrPrnAmt>
      <sshPrnamt>904535</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>524025</Sole>
      <Shared>0</Shared>
      <None>380510</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BRADY CORP CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>104674106</cusip>
    <value>19145</value>
    <shrsOrPrnAmt>
      <sshPrnamt>495355</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>269544</Sole>
      <Shared>0</Shared>
      <None>225811</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BRANDYWINE REALTY TRUST</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>105368203</cusip>
    <value>14341</value>
    <shrsOrPrnAmt>
      <sshPrnamt>883597</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>475910</Sole>
      <Shared>0</Shared>
      <None>407687</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BRUNSWICK CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>117043109</cusip>
    <value>206</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3373</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3373</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>BRYN MAWR BANK CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>117665109</cusip>
    <value>22237</value>
    <shrsOrPrnAmt>
      <sshPrnamt>562967</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>311157</Sole>
      <Shared>0</Shared>
      <None>251810</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CAMDEN PROPERTY TRUST</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>133131102</cusip>
    <value>143</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1780</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1780</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CAPITAL ONE FINL CORP COM</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>14040H105</cusip>
    <value>2164</value>
    <shrsOrPrnAmt>
      <sshPrnamt>24974</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>24549</Sole>
      <Shared>0</Shared>
      <None>425</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CARRIZO OIL &amp; GAS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>144577103</cusip>
    <value>14280</value>
    <shrsOrPrnAmt>
      <sshPrnamt>498238</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>267222</Sole>
      <Shared>0</Shared>
      <None>231016</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CATCHMARK TIMBER TRUST INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>14912y202</cusip>
    <value>16724</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1451740</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>790765</Sole>
      <Shared>0</Shared>
      <None>660975</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CATERPILLAR INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>149123101</cusip>
    <value>1401</value>
    <shrsOrPrnAmt>
      <sshPrnamt>15100</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>14775</Sole>
      <Shared>0</Shared>
      <None>325</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CBIZ INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>124805102</cusip>
    <value>13945</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1029128</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>575722</Sole>
      <Shared>0</Shared>
      <None>453406</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CELANESE CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>150870103</cusip>
    <value>125</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1390</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1390</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CHEVRON CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>166764100</cusip>
    <value>622</value>
    <shrsOrPrnAmt>
      <sshPrnamt>5790</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>5732</Sole>
      <Shared>0</Shared>
      <None>58</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CIMAREX ENERGY CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>171798101</cusip>
    <value>1207</value>
    <shrsOrPrnAmt>
      <sshPrnamt>10105</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>9905</Sole>
      <Shared>0</Shared>
      <None>200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CISCO SYSTEMS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>17275R102</cusip>
    <value>673</value>
    <shrsOrPrnAmt>
      <sshPrnamt>19907</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>19457</Sole>
      <Shared>0</Shared>
      <None>450</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>COCA-COLA CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>191216100</cusip>
    <value>1558</value>
    <shrsOrPrnAmt>
      <sshPrnamt>36708</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>36058</Sole>
      <Shared>0</Shared>
      <None>650</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>COMPASS DIVERSIFIED HOLDINGS</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>20451Q104</cusip>
    <value>17645</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1062959</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>576687</Sole>
      <Shared>0</Shared>
      <None>486272</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CONMED CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>207410101</cusip>
    <value>14155</value>
    <shrsOrPrnAmt>
      <sshPrnamt>318733</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>175145</Sole>
      <Shared>0</Shared>
      <None>143588</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CONNECTONE BANCORP, INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>20786w107</cusip>
    <value>21078</value>
    <shrsOrPrnAmt>
      <sshPrnamt>869178</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>482003</Sole>
      <Shared>0</Shared>
      <None>387175</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>CROCS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>227046109</cusip>
    <value>4798</value>
    <shrsOrPrnAmt>
      <sshPrnamt>678695</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>371633</Sole>
      <Shared>0</Shared>
      <None>307062</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>DICK'S SPORTING GOODS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>253393102</cusip>
    <value>1219</value>
    <shrsOrPrnAmt>
      <sshPrnamt>25056</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>24581</Sole>
      <Shared>0</Shared>
      <None>475</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>DSW INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>23334L102</cusip>
    <value>14061</value>
    <shrsOrPrnAmt>
      <sshPrnamt>679932</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>370275</Sole>
      <Shared>0</Shared>
      <None>309657</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>DUKE REALTY CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>264411505</cusip>
    <value>175</value>
    <shrsOrPrnAmt>
      <sshPrnamt>6653</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>6653</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>DUPONT FABROS TECHNOLOGY</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>26613Q106</cusip>
    <value>14575</value>
    <shrsOrPrnAmt>
      <sshPrnamt>293916</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>159503</Sole>
      <Shared>0</Shared>
      <None>134413</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>DYCOM INDUSTRIES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>267475101</cusip>
    <value>24268</value>
    <shrsOrPrnAmt>
      <sshPrnamt>261090</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>140690</Sole>
      <Shared>0</Shared>
      <None>120400</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>EAGLE BANCORP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>268948106</cusip>
    <value>11080</value>
    <shrsOrPrnAmt>
      <sshPrnamt>185593</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>88356</Sole>
      <Shared>0</Shared>
      <None>97237</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>EAST WEST BANCORP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>27579R104</cusip>
    <value>245</value>
    <shrsOrPrnAmt>
      <sshPrnamt>4756</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>4756</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>EASTMAN CHEMICAL CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>277432100</cusip>
    <value>152</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1883</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1883</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ELECTRO SCIENTIFIC INDUSTRIES</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>285229100</cusip>
    <value>11156</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1600580</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>873375</Sole>
      <Shared>0</Shared>
      <None>727205</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>EMPIRE STATE REALTY TRUST A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>292104106</cusip>
    <value>17864</value>
    <shrsOrPrnAmt>
      <sshPrnamt>865495</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>465170</Sole>
      <Shared>0</Shared>
      <None>400325</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ENERGEN CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>29265N108</cusip>
    <value>202</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3711</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3711</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ENSIGN GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>29358P101</cusip>
    <value>16062</value>
    <shrsOrPrnAmt>
      <sshPrnamt>854354</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>465859</Sole>
      <Shared>0</Shared>
      <None>388495</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ENTERPRISE FINANCIAL SERVICES</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>293712105</cusip>
    <value>19233</value>
    <shrsOrPrnAmt>
      <sshPrnamt>453610</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>254871</Sole>
      <Shared>0</Shared>
      <None>198739</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ESCO TECHNOLOGIES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>296315104</cusip>
    <value>18850</value>
    <shrsOrPrnAmt>
      <sshPrnamt>324435</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>173789</Sole>
      <Shared>0</Shared>
      <None>150646</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>EXXON MOBIL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>30231G102</cusip>
    <value>554</value>
    <shrsOrPrnAmt>
      <sshPrnamt>6760</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>6760</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FEDERAL SIGNAL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>313855108</cusip>
    <value>14141</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1023975</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>560075</Sole>
      <Shared>0</Shared>
      <None>463900</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FIRST BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>318910106</cusip>
    <value>3696</value>
    <shrsOrPrnAmt>
      <sshPrnamt>126199</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>67845</Sole>
      <Shared>0</Shared>
      <None>58354</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FIRST INDUSTRIAL REALTY TRUST</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>32054K103</cusip>
    <value>15610</value>
    <shrsOrPrnAmt>
      <sshPrnamt>586185</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>320810</Sole>
      <Shared>0</Shared>
      <None>265375</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FIRST MERCHANTS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>320817109</cusip>
    <value>15878</value>
    <shrsOrPrnAmt>
      <sshPrnamt>403812</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>215386</Sole>
      <Shared>0</Shared>
      <None>188426</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FLUOR CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>343412102</cusip>
    <value>207</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3930</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3930</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>FORMFACTOR INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>346375108</cusip>
    <value>19905</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1679718</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>905790</Sole>
      <Shared>0</Shared>
      <None>773928</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GENERAL ELECTRIC CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>369604103</cusip>
    <value>1113</value>
    <shrsOrPrnAmt>
      <sshPrnamt>37359</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>36609</Sole>
      <Shared>0</Shared>
      <None>750</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GENTEX CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>371901109</cusip>
    <value>2796</value>
    <shrsOrPrnAmt>
      <sshPrnamt>131106</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>128906</Sole>
      <Shared>0</Shared>
      <None>2200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GOLDMAN SACHS GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>38141g104</cusip>
    <value>1771</value>
    <shrsOrPrnAmt>
      <sshPrnamt>7711</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>7571</Sole>
      <Shared>0</Shared>
      <None>140</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GRANITE CONSTRUCTION INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>387328107</cusip>
    <value>14442</value>
    <shrsOrPrnAmt>
      <sshPrnamt>287751</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>154200</Sole>
      <Shared>0</Shared>
      <None>133551</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GREIF INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>397624107</cusip>
    <value>18607</value>
    <shrsOrPrnAmt>
      <sshPrnamt>337753</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>184478</Sole>
      <Shared>0</Shared>
      <None>153275</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>GROUP 1 AUTOMOTIVE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>398905109</cusip>
    <value>18799</value>
    <shrsOrPrnAmt>
      <sshPrnamt>253772</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>125585</Sole>
      <Shared>0</Shared>
      <None>128187</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HALLIBURTON CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>406216101</cusip>
    <value>781</value>
    <shrsOrPrnAmt>
      <sshPrnamt>15870</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>15620</Sole>
      <Shared>0</Shared>
      <None>250</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HANMI FINANCIAL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>410495204</cusip>
    <value>18683</value>
    <shrsOrPrnAmt>
      <sshPrnamt>607564</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>323776</Sole>
      <Shared>0</Shared>
      <None>283788</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HANOVER INSURANCE GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>410867105</cusip>
    <value>182</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2020</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2020</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HARLEY-DAVIDSON INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>412822108</cusip>
    <value>211</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3485</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3485</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HAVERTY FURNITURE COS</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>419596101</cusip>
    <value>10989</value>
    <shrsOrPrnAmt>
      <sshPrnamt>451302</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>244989</Sole>
      <Shared>0</Shared>
      <None>206313</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HAYNES INTERNATIONAL INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>420877201</cusip>
    <value>12557</value>
    <shrsOrPrnAmt>
      <sshPrnamt>329400</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>179300</Sole>
      <Shared>0</Shared>
      <None>150100</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HB FULLER CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>359694106</cusip>
    <value>16180</value>
    <shrsOrPrnAmt>
      <sshPrnamt>313816</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>172883</Sole>
      <Shared>0</Shared>
      <None>140933</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HEALTHCARE RLTY TR</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>421946104</cusip>
    <value>20300</value>
    <shrsOrPrnAmt>
      <sshPrnamt>624628</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>338699</Sole>
      <Shared>0</Shared>
      <None>285929</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HEARTLAND EXPRESS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>422347104</cusip>
    <value>16320</value>
    <shrsOrPrnAmt>
      <sshPrnamt>813945</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>460955</Sole>
      <Shared>0</Shared>
      <None>352990</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HERITAGE FINANCIAL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>42722x106</cusip>
    <value>22496</value>
    <shrsOrPrnAmt>
      <sshPrnamt>908920</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>489036</Sole>
      <Shared>0</Shared>
      <None>419884</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HEXCEL CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>428291108</cusip>
    <value>205</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3750</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3750</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HILL-ROM HOLDINGS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>431475102</cusip>
    <value>200</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2830</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2830</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HOMESTREET INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>43785v102</cusip>
    <value>19351</value>
    <shrsOrPrnAmt>
      <sshPrnamt>692344</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>379406</Sole>
      <Shared>0</Shared>
      <None>312938</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HOMETRUST BANCSHARES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>437872104</cusip>
    <value>15993</value>
    <shrsOrPrnAmt>
      <sshPrnamt>680532</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>381726</Sole>
      <Shared>0</Shared>
      <None>298806</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>HOST HOTELS &amp; RESORTS, INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>44107p104</cusip>
    <value>100</value>
    <shrsOrPrnAmt>
      <sshPrnamt>5377</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>5377</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ICF INTERNATIONAL INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>44925C103</cusip>
    <value>14595</value>
    <shrsOrPrnAmt>
      <sshPrnamt>353379</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>188264</Sole>
      <Shared>0</Shared>
      <None>165115</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>IDACORP INC.</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>451107106</cusip>
    <value>21158</value>
    <shrsOrPrnAmt>
      <sshPrnamt>255035</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>139473</Sole>
      <Shared>0</Shared>
      <None>115562</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INGREDION INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>457187102</cusip>
    <value>214</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1778</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1778</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INNOPHOS HOLDINGS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>45774n108</cusip>
    <value>19694</value>
    <shrsOrPrnAmt>
      <sshPrnamt>364908</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>198795</Sole>
      <Shared>0</Shared>
      <None>166113</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INTEGRATED DEVICE TECHNOLOGY I</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>458118106</cusip>
    <value>13314</value>
    <shrsOrPrnAmt>
      <sshPrnamt>562499</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>305318</Sole>
      <Shared>0</Shared>
      <None>257181</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INTEL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>458140100</cusip>
    <value>1520</value>
    <shrsOrPrnAmt>
      <sshPrnamt>42145</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>41295</Sole>
      <Shared>0</Shared>
      <None>850</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INTERNATIONAL BUSINESS MACHINE</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>459200101</cusip>
    <value>1926</value>
    <shrsOrPrnAmt>
      <sshPrnamt>11062</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>10937</Sole>
      <Shared>0</Shared>
      <None>125</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INTERNATIONAL PAPER CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>460146103</cusip>
    <value>30</value>
    <shrsOrPrnAmt>
      <sshPrnamt>600</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>600</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>INVESCO LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>G491BT108</cusip>
    <value>216</value>
    <shrsOrPrnAmt>
      <sshPrnamt>7056</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>7056</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>IXYS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>46600W106</cusip>
    <value>9800</value>
    <shrsOrPrnAmt>
      <sshPrnamt>673555</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>356342</Sole>
      <Shared>0</Shared>
      <None>317213</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JABIL CIRCUIT INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>466313103</cusip>
    <value>2083</value>
    <shrsOrPrnAmt>
      <sshPrnamt>72022</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>70822</Sole>
      <Shared>0</Shared>
      <None>1200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JACOBS ENGINEERING GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>469814107</cusip>
    <value>183</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3310</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3310</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JB HUNT TRANSPORT SERVICES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>445658107</cusip>
    <value>216</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2351</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2351</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JETBLUE AIRWAYS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>477143101</cusip>
    <value>197</value>
    <shrsOrPrnAmt>
      <sshPrnamt>9545</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>9545</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JOHN WILEY &amp; SONS INC CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>968223206</cusip>
    <value>84</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1565</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1565</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JOHNSON &amp; JOHNSON</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>478160104</cusip>
    <value>1368</value>
    <shrsOrPrnAmt>
      <sshPrnamt>10980</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>10755</Sole>
      <Shared>0</Shared>
      <None>225</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>JPMORGAN CHASE &amp; CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>46625H100</cusip>
    <value>3008</value>
    <shrsOrPrnAmt>
      <sshPrnamt>34240</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>33490</Sole>
      <Shared>0</Shared>
      <None>750</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KAISER ALUMINUM CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>483007704</cusip>
    <value>17782</value>
    <shrsOrPrnAmt>
      <sshPrnamt>222547</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>119359</Sole>
      <Shared>0</Shared>
      <None>103188</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KAMAN CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>483548103</cusip>
    <value>16671</value>
    <shrsOrPrnAmt>
      <sshPrnamt>346377</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>192975</Sole>
      <Shared>0</Shared>
      <None>153402</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KANSAS CITY SOUTHERN</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>485170302</cusip>
    <value>1588</value>
    <shrsOrPrnAmt>
      <sshPrnamt>18516</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>18241</Sole>
      <Shared>0</Shared>
      <None>275</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KFORCE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>493732101</cusip>
    <value>18670</value>
    <shrsOrPrnAmt>
      <sshPrnamt>786121</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>424820</Sole>
      <Shared>0</Shared>
      <None>361301</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KITE REALTY GROUP TRUST</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>49803T300</cusip>
    <value>13658</value>
    <shrsOrPrnAmt>
      <sshPrnamt>635260</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>333145</Sole>
      <Shared>0</Shared>
      <None>302115</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KNOLL INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>498904200</cusip>
    <value>18759</value>
    <shrsOrPrnAmt>
      <sshPrnamt>787875</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>422175</Sole>
      <Shared>0</Shared>
      <None>365700</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>KNOWLES CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>49926d109</cusip>
    <value>23684</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1249794</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>677169</Sole>
      <Shared>0</Shared>
      <None>572625</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>LABORATORY CORP OF AMERICA HOL</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>50540r409</cusip>
    <value>187</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1302</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1302</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>LEVEL 3 COMMUNICATIONS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>52729N308</cusip>
    <value>1086</value>
    <shrsOrPrnAmt>
      <sshPrnamt>18971</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>18609</Sole>
      <Shared>0</Shared>
      <None>362</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>LIVANOVA PLC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>g5509l101</cusip>
    <value>4630</value>
    <shrsOrPrnAmt>
      <sshPrnamt>94479</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>50599</Sole>
      <Shared>0</Shared>
      <None>43880</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>LOWE'S COS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>548661107</cusip>
    <value>1790</value>
    <shrsOrPrnAmt>
      <sshPrnamt>21768</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>21268</Sole>
      <Shared>0</Shared>
      <None>500</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>LYDALL INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>550819106</cusip>
    <value>19938</value>
    <shrsOrPrnAmt>
      <sshPrnamt>371981</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>201382</Sole>
      <Shared>0</Shared>
      <None>170599</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MALIBU BOATS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>56117j100</cusip>
    <value>6219</value>
    <shrsOrPrnAmt>
      <sshPrnamt>277000</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>136600</Sole>
      <Shared>0</Shared>
      <None>140400</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MARTEN TRANSPORT LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>573075108</cusip>
    <value>13406</value>
    <shrsOrPrnAmt>
      <sshPrnamt>571675</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>311644</Sole>
      <Shared>0</Shared>
      <None>260031</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MATERION CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>576690101</cusip>
    <value>12003</value>
    <shrsOrPrnAmt>
      <sshPrnamt>357750</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>193550</Sole>
      <Shared>0</Shared>
      <None>164200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MATSON INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>57686g105</cusip>
    <value>20521</value>
    <shrsOrPrnAmt>
      <sshPrnamt>646140</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>348540</Sole>
      <Shared>0</Shared>
      <None>297600</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MCCORMICK &amp; CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>579780206</cusip>
    <value>31</value>
    <shrsOrPrnAmt>
      <sshPrnamt>322</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>322</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MCDERMOTT INTL INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>580037109</cusip>
    <value>24884</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3686585</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2011480</Sole>
      <Shared>0</Shared>
      <None>1675105</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MDC HOLDINGS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>552676108</cusip>
    <value>15381</value>
    <shrsOrPrnAmt>
      <sshPrnamt>511832</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>275772</Sole>
      <Shared>0</Shared>
      <None>236060</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MERCK &amp; CO INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>58933y105</cusip>
    <value>73</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1149</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1149</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>METHODE ELECTRONICS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>591520200</cusip>
    <value>22583</value>
    <shrsOrPrnAmt>
      <sshPrnamt>495247</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>268232</Sole>
      <Shared>0</Shared>
      <None>227015</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MGIC INVESTMENT CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>552848103</cusip>
    <value>19920</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1966410</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1072110</Sole>
      <Shared>0</Shared>
      <None>894300</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MICROSOFT CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>594918104</cusip>
    <value>1558</value>
    <shrsOrPrnAmt>
      <sshPrnamt>23659</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>23109</Sole>
      <Shared>0</Shared>
      <None>550</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MITEL NETWORKS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>60671Q104</cusip>
    <value>18587</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2682132</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1436932</Sole>
      <Shared>0</Shared>
      <None>1245200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MUELLER WATER PRODUCTS INC - A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>624758108</cusip>
    <value>12129</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1026145</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>561995</Sole>
      <Shared>0</Shared>
      <None>464150</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>MYR GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>55405w104</cusip>
    <value>25156</value>
    <shrsOrPrnAmt>
      <sshPrnamt>613566</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>274742</Sole>
      <Shared>0</Shared>
      <None>338824</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NATIONAL OILWELL VARCO INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>637071101</cusip>
    <value>603</value>
    <shrsOrPrnAmt>
      <sshPrnamt>15035</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>14835</Sole>
      <Shared>0</Shared>
      <None>200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NAVIGATORS GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>638904102</cusip>
    <value>16770</value>
    <shrsOrPrnAmt>
      <sshPrnamt>308844</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>173790</Sole>
      <Shared>0</Shared>
      <None>135054</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NETSCOUT SYSTEMS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>64115t104</cusip>
    <value>16774</value>
    <shrsOrPrnAmt>
      <sshPrnamt>442015</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>238415</Sole>
      <Shared>0</Shared>
      <None>203600</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NEWFIELD EXPLORATION CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>651290108</cusip>
    <value>138</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3745</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3745</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NORFOLK SOUTHERN CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>655844108</cusip>
    <value>90</value>
    <shrsOrPrnAmt>
      <sshPrnamt>800</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>800</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NORTHERN TRUST CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>665859104</cusip>
    <value>154</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1782</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1782</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NORTHWESTERN CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>668074305</cusip>
    <value>21261</value>
    <shrsOrPrnAmt>
      <sshPrnamt>362198</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>197877</Sole>
      <Shared>0</Shared>
      <None>164321</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NOVANTA INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>67000B104</cusip>
    <value>24288</value>
    <shrsOrPrnAmt>
      <sshPrnamt>914791</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>486390</Sole>
      <Shared>0</Shared>
      <None>428401</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>NUCOR CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>670346105</cusip>
    <value>1274</value>
    <shrsOrPrnAmt>
      <sshPrnamt>21325</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>20875</Sole>
      <Shared>0</Shared>
      <None>450</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ON SEMICONDUCTOR CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>682189105</cusip>
    <value>6437</value>
    <shrsOrPrnAmt>
      <sshPrnamt>415550</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>215881</Sole>
      <Shared>0</Shared>
      <None>199669</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ORBOTECH LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>M75253100</cusip>
    <value>23288</value>
    <shrsOrPrnAmt>
      <sshPrnamt>722098</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>389030</Sole>
      <Shared>0</Shared>
      <None>333068</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>P H GLATFELTER CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>377316104</cusip>
    <value>14262</value>
    <shrsOrPrnAmt>
      <sshPrnamt>656024</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>358510</Sole>
      <Shared>0</Shared>
      <None>297514</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PACWEST BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>695263103</cusip>
    <value>246</value>
    <shrsOrPrnAmt>
      <sshPrnamt>4616</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>4616</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PATTERSON COS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>703395103</cusip>
    <value>135</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2979</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2979</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PEBBLEBROOK HOTEL TRUST</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>70509v100</cusip>
    <value>18282</value>
    <shrsOrPrnAmt>
      <sshPrnamt>625871</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>344476</Sole>
      <Shared>0</Shared>
      <None>281395</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PERFICIENT INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>71375u101</cusip>
    <value>18388</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1059205</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>570530</Sole>
      <Shared>0</Shared>
      <None>488675</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>POLARIS INDUSTRIES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>731068102</cusip>
    <value>133</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1583</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1583</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PREMIER INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>74051N102</cusip>
    <value>166</value>
    <shrsOrPrnAmt>
      <sshPrnamt>5228</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>5228</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>PROCTER &amp; GAMBLE CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>742718109</cusip>
    <value>36</value>
    <shrsOrPrnAmt>
      <sshPrnamt>401</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>401</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>QORVO INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>74736K101</cusip>
    <value>306</value>
    <shrsOrPrnAmt>
      <sshPrnamt>4464</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>4464</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>QTS REALTY TRUST INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>74736a103</cusip>
    <value>9875</value>
    <shrsOrPrnAmt>
      <sshPrnamt>202570</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>104095</Sole>
      <Shared>0</Shared>
      <None>98475</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>QUANEX BUILDING PRODUCTS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>747619104</cusip>
    <value>22238</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1098177</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>599893</Sole>
      <Shared>0</Shared>
      <None>498284</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>QUANTA SERVICES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>74762e102</cusip>
    <value>286</value>
    <shrsOrPrnAmt>
      <sshPrnamt>7701</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>7701</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>RALPH LAUREN CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>751212101</cusip>
    <value>194</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2382</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2382</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>RED ROBIN GOURMET BURGERS</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>75689M101</cusip>
    <value>19058</value>
    <shrsOrPrnAmt>
      <sshPrnamt>326065</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>178165</Sole>
      <Shared>0</Shared>
      <None>147900</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>REGAL BELOIT CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>758750103</cusip>
    <value>20167</value>
    <shrsOrPrnAmt>
      <sshPrnamt>266583</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>147925</Sole>
      <Shared>0</Shared>
      <None>118658</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ROBERT HALF INTERNATIONAL</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>770323103</cusip>
    <value>229</value>
    <shrsOrPrnAmt>
      <sshPrnamt>4691</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>4691</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ROGERS CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>775133101</cusip>
    <value>28968</value>
    <shrsOrPrnAmt>
      <sshPrnamt>337344</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>175289</Sole>
      <Shared>0</Shared>
      <None>162055</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>RUSH ENTERPRISES INC CL A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>781846209</cusip>
    <value>9263</value>
    <shrsOrPrnAmt>
      <sshPrnamt>280005</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>150280</Sole>
      <Shared>0</Shared>
      <None>129725</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SCHLUMBERGER LTD</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>806857108</cusip>
    <value>12</value>
    <shrsOrPrnAmt>
      <sshPrnamt>158</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>158</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SEACOAST BANKING CORP.</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>811707801</cusip>
    <value>6520</value>
    <shrsOrPrnAmt>
      <sshPrnamt>271889</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>147683</Sole>
      <Shared>0</Shared>
      <None>124206</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SELECTIVE INSURANCE GROUP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>816300107</cusip>
    <value>10528</value>
    <shrsOrPrnAmt>
      <sshPrnamt>223294</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>134114</Sole>
      <Shared>0</Shared>
      <None>89180</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SIMMONS FIRST NATIONAL CORP -</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>828730200</cusip>
    <value>14210</value>
    <shrsOrPrnAmt>
      <sshPrnamt>257655</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>140955</Sole>
      <Shared>0</Shared>
      <None>116700</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SLM CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>78442P106</cusip>
    <value>208</value>
    <shrsOrPrnAmt>
      <sshPrnamt>17165</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>17165</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SNYDERS-LANCE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>833551104</cusip>
    <value>14814</value>
    <shrsOrPrnAmt>
      <sshPrnamt>367512</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>205076</Sole>
      <Shared>0</Shared>
      <None>162436</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SOUTH STATE CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>840441109</cusip>
    <value>22244</value>
    <shrsOrPrnAmt>
      <sshPrnamt>248949</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>133823</Sole>
      <Shared>0</Shared>
      <None>115126</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SOUTHWEST BANCORP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>844767103</cusip>
    <value>18085</value>
    <shrsOrPrnAmt>
      <sshPrnamt>691604</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>338054</Sole>
      <Shared>0</Shared>
      <None>353550</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SP PLUS CORPORATION</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>78469c103</cusip>
    <value>21521</value>
    <shrsOrPrnAmt>
      <sshPrnamt>637671</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>352103</Sole>
      <Shared>0</Shared>
      <None>285568</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>SPIRE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>84857L101</cusip>
    <value>19631</value>
    <shrsOrPrnAmt>
      <sshPrnamt>290830</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>157430</Sole>
      <Shared>0</Shared>
      <None>133400</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>STERIS PLC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>G84720104</cusip>
    <value>183</value>
    <shrsOrPrnAmt>
      <sshPrnamt>2640</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>2640</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>STERLING BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>85917a100</cusip>
    <value>26608</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1122685</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>607985</Sole>
      <Shared>0</Shared>
      <None>514700</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>STONEGATE BANK</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>861811107</cusip>
    <value>17301</value>
    <shrsOrPrnAmt>
      <sshPrnamt>367408</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>201075</Sole>
      <Shared>0</Shared>
      <None>166333</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TEXAS CAPITAL BANCSHARES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>88224Q107</cusip>
    <value>15128</value>
    <shrsOrPrnAmt>
      <sshPrnamt>181277</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>99357</Sole>
      <Shared>0</Shared>
      <None>81920</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>THE FINISH LINE - CLASS A</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>317923100</cusip>
    <value>4911</value>
    <shrsOrPrnAmt>
      <sshPrnamt>345100</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>188845</Sole>
      <Shared>0</Shared>
      <None>156255</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TJX COS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>872540109</cusip>
    <value>1965</value>
    <shrsOrPrnAmt>
      <sshPrnamt>24843</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>24343</Sole>
      <Shared>0</Shared>
      <None>500</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TOLL BROTHERS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>889478103</cusip>
    <value>1658</value>
    <shrsOrPrnAmt>
      <sshPrnamt>45902</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>45127</Sole>
      <Shared>0</Shared>
      <None>775</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TRI POINTE GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>87265H109</cusip>
    <value>21055</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1679024</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>916649</Sole>
      <Shared>0</Shared>
      <None>762375</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TRICO BANCSHARES</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>896095106</cusip>
    <value>20209</value>
    <shrsOrPrnAmt>
      <sshPrnamt>568792</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>309662</Sole>
      <Shared>0</Shared>
      <None>259130</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>TRIUMPH GROUP INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>896818101</cusip>
    <value>16790</value>
    <shrsOrPrnAmt>
      <sshPrnamt>652022</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>356228</Sole>
      <Shared>0</Shared>
      <None>295794</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>UNION PACIFIC CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>907818108</cusip>
    <value>11</value>
    <shrsOrPrnAmt>
      <sshPrnamt>100</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>100</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>US CONCRETE INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>90333l201</cusip>
    <value>21048</value>
    <shrsOrPrnAmt>
      <sshPrnamt>326070</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>174670</Sole>
      <Shared>0</Shared>
      <None>151400</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>VERINT SYSTEMS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>92343X100</cusip>
    <value>24095</value>
    <shrsOrPrnAmt>
      <sshPrnamt>555494</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>301894</Sole>
      <Shared>0</Shared>
      <None>253600</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>VIRTUSA CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>92827P102</cusip>
    <value>14325</value>
    <shrsOrPrnAmt>
      <sshPrnamt>474030</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>254402</Sole>
      <Shared>0</Shared>
      <None>219628</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>VISTA OUTDOOR INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>928377100</cusip>
    <value>13896</value>
    <shrsOrPrnAmt>
      <sshPrnamt>674880</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>363980</Sole>
      <Shared>0</Shared>
      <None>310900</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WAL-MART STORES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>931142103</cusip>
    <value>1588</value>
    <shrsOrPrnAmt>
      <sshPrnamt>22033</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>21583</Sole>
      <Shared>0</Shared>
      <None>450</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WALT DISNEY CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>254687106</cusip>
    <value>1261</value>
    <shrsOrPrnAmt>
      <sshPrnamt>11125</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>10775</Sole>
      <Shared>0</Shared>
      <None>350</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WEINGARTEN REALTY INVESTORS</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>948741103</cusip>
    <value>139</value>
    <shrsOrPrnAmt>
      <sshPrnamt>4176</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>4176</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WELLS FARGO &amp; CO</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>949746101</cusip>
    <value>2400</value>
    <shrsOrPrnAmt>
      <sshPrnamt>43120</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>42320</Sole>
      <Shared>0</Shared>
      <None>800</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WESTAR ENERGY INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>95709T100</cusip>
    <value>202</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3717</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3717</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WESTERN ALLIANCE BANCORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>957638109</cusip>
    <value>186</value>
    <shrsOrPrnAmt>
      <sshPrnamt>3790</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>3790</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WHIRLPOOL CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>963320106</cusip>
    <value>1505</value>
    <shrsOrPrnAmt>
      <sshPrnamt>8783</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>8583</Sole>
      <Shared>0</Shared>
      <None>200</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WHITING PETROLEUM CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>966387102</cusip>
    <value>13848</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1463867</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>839367</Sole>
      <Shared>0</Shared>
      <None>624500</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WILLIS TOWERS WATSON PLC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>G96629103</cusip>
    <value>129</value>
    <shrsOrPrnAmt>
      <sshPrnamt>989</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>989</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WINNEBAGO INDUSTRIES INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>974637100</cusip>
    <value>16711</value>
    <shrsOrPrnAmt>
      <sshPrnamt>571310</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>312160</Sole>
      <Shared>0</Shared>
      <None>259150</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>WR BERKLEY CORP</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>084423102</cusip>
    <value>136</value>
    <shrsOrPrnAmt>
      <sshPrnamt>1921</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>1921</Sole>
      <Shared>0</Shared>
      <None>0</None>
    </votingAuthority>
  </infoTable>
  <infoTable>
    <nameOfIssuer>ZIMMER BIOMET HOLDINGS INC</nameOfIssuer>
    <titleOfClass>COM</titleOfClass>
    <cusip>98956p102</cusip>
    <value>1767</value>
    <shrsOrPrnAmt>
      <sshPrnamt>14467</sshPrnamt>
      <sshPrnamtType>SH</sshPrnamtType>
    </shrsOrPrnAmt>
    <investmentDiscretion>DFND</investmentDiscretion>
    <otherManager>01</otherManager>
    <votingAuthority>
      <Sole>14217</Sole>
      <Shared>0</Shared>
      <None>250</None>
    </votingAuthority>
  </infoTable>
</informationTable>
