
	2017
	Fourth		Third		Second		First
(dollars in thousands, except per share data)	Quarter		Quarter		Quarter		Quarter(1)

Interest income	$	56,349	$	53,725	$	47,821	$	60,883
Interest expense		5,711		5,418		4,684		4,445
Net interest income		50,638		48,307		43,137		56,438
Provision for loan and lease losses(2)		6,071		4,221		5,061		12,351
Net interest income after provision		44,567		44,086		38,076		44,087
Noninterest income		10,190		10,374		12,927		24,923
Noninterest expense(4)		38,145		38,026		35,734		38,939
Income before income taxes		16,612		16,434		15,269		30,071
Income tax expense(5)		11,774		5,728		5,198		10,054
Net income	$	4,838	$	10,706	$	10,071	$	20,017

Basic earnings per share:
Class A Common Stock	$	0.23	$	0.51	$	0.48	$	0.97
Class B Common Stock		0.21		0.47		0.44		0.88

Diluted earnings per share:
Class A Common Stock	$	0.23	$	0.51	$	0.48	$	0.96
Class B Common Stock		0.21		0.47		0.44		0.88

Dividends declared per common share:
Class A Common Stock	$	0.220	$	0.220	$	0.220	$	0.209
Class B Common Stock		0.200		0.200		0.200		0.190


	2016
	Fourth		Third		Second		First
(dollars in thousands, except per share data)	Quarter		Quarter		Quarter		Quarter(1)

Interest income	$	45,903	$	43,934	$	40,140	$	44,015
Interest expense		4,258		4,536		4,563		4,581
Net interest income		41,645		39,398		35,577		39,434
Provision for loan and lease losses(2)		5,004		2,489		1,814		5,186
Net interest income after provision		36,641		36,909		33,763		34,248
Noninterest income(3)		10,485		11,301		10,802		24,921
Noninterest expense(4)		32,166		33,534		31,866		32,541
Income before income tax expense		14,960		14,676		12,699		26,628
Income tax expense		4,960		4,848		4,359		8,893
Net income	$	10,000	$	9,828	$	8,340	$	17,735

Basic earnings per share:
Class A Common Stock	$	0.48	$	0.47	$	0.40	$	0.86
Class B Common Stock		0.44		0.43		0.37		0.78

Diluted earnings per share:
Class A Common Stock	$	0.48	$	0.47	$	0.40	$	0.85
Class B Common Stock		0.44		0.43		0.37		0.77

Dividends declared per common share:
Class A Common Stock	$	0.209	$	0.209	$	0.209	$	0.198
Class B Common Stock		0.190		0.190		0.190		0.180

(1)

The first quarters of 2017 and 2016 were significantly impacted by the TRS segment of RPG.

(2)

Provision expense:

The relatively higher levels of provision expense during the first quarters of 2017 and 2016 were driven by the TRS segment’s EA product. Provision expense for EAs during the first quarters of 2017 and 2016 was $8.6 million and $3.6 million.

Excluding expense related to the TRS segment’s EA product, the increase in Provision expense from the third quarter of 2016 to the fourth quarter of 2016 and into 2017 was primarily driven by growth in short-term consumer loans originated through the RCS segment.

(3)

Noninterest income:

During the third quarter of 2016, the Company recorded a $1.1 million gain on the bulk-loan sale of approximately $71 million of its correspondent loan portfolio.

(4)

Noninterest expense:

During the fourth quarters of 2017 and 2016, the Company reversed $1.1 million and $1.7 million of incentive compensation accruals based on revised payout estimates.

During the third quarter of 2016, The Company incurred an $846,000 prepayment penalty on payoff of $50 million in FHLB advances.

(5)

Income tax expense:

Upon enactment of the TCJA on December 22, 2017, the Company recorded a charge to income tax expense of $6.3 million due to the remeasurement of its deferred tax assets and liabilities at a 21% corporate tax rate.