BRYN MAWR BANK CORP - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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8-K - FORM 8-K - BRYN MAWR BANK CORP	bmtc20160427b_8k.htm
EX-99.2 - EXHIBIT 99.2 - BRYN MAWR BANK CORP	ex99-2.htm

Exhibit 99.1

FOR RELEASE: IMMEDIATELY	Frank Leto, President, CEO
FOR MORE INFORMATION CONTACT:	610-581-4730
	Mike Harrington, CFO
	610-526-2466

Bryn Mawr Bank Corporation Reports First Quarter

Net Income of $8.3 Million, Driven by Strong Loan Growth,

Net Interest Margin Expansion and Reduced Operating Expenses;

Core Net Income Up From Prior Quarter

BRYN MAWR, Pa., April 28, 2016 - Bryn Mawr Bank Corporation (NASDAQ: BMTC) (the “Corporation”), parent of The Bryn Mawr Trust Company (the “Bank”), today reported net income of $8.3 million and diluted earnings per share of $0.49 for the three months ended March 31, 2016, as compared to a net loss of $6.4 million, or $(0.37) diluted loss per share for the three months ended December 31, 2015 and net income of $7.5 million, or $0.42 diluted earnings per share for the three months ended March 31, 2015.

On a non-GAAP basis, core net income, which excludes certain non-core income and expense items, as detailed in the appendix to this earnings release, was also $8.3 million for the three months ended March 31, 2016 as compared to $7.5 million for the three months ended December 31, 2015 and $8.9 million for the three months ended March 31, 2015. Management believes the core net income measure is important in evaluating the Corporation’s performance on a more comparable basis between periods. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.

“We are very pleased to start the new year on a positive note,” commented Frank Leto, President and Chief Executive Officer, continuing, “Many of the decisions we made in 2015, which included the addition of new teams and talent, branch and office consolidations, significant investments in technology, and the settlement of our corporate pension plan, to name a few, positioned the Corporation well for a strong start to the new year and provide a solid foundation from which we will drive long-term performance.” Mr. Leto added, “The outstanding loan growth during the first quarter of 2016, which exceeded 19% annualized, along with a 41% increase in mortgage originations during the first quarter of 2016, compared to the first quarter of 2015, as well as the continued growth in our wealth assets are all promising indicators for the remainder of 2016.”

On April 28, 2016, the Board of Directors of the Corporation declared a quarterly dividend of $0.20 per share, payable June 1, 2016 to shareholders of record as of May 10, 2016.

SIGNIFICANT ITEMS OF NOTE

Results of Operations – First Quarter 2016 Compared to Fourth Quarter 2015

●

Net income for the three months ended March 31, 2016 was $8.3 million, as compared to a net loss of $6.4 million for the three months ended December 31, 2015. The primary driver of the loss in the fourth quarter of 2015 was the loss on settlement of the corporate pension plan, which resulted in a $17.4 million pre-tax charge. On a core basis (a non-GAAP measure detailed in the appendix to this earnings release), core net income for the first quarter of 2016 of $8.3 million was a $778 thousand increase from core net income of $7.5 million for the fourth quarter of 2015. The increase in core net income was primarily driven by a $473 thousand increase in net interest income and a $367 thousand decrease in the provision for loan and lease losses (the “Provision”).

●

Net interest income for the three months ended March 31, 2016 was $25.9 million, an increase of $473 thousand from $25.4 million for the three months ended December 31, 2015. The increase in net interest income between the periods was largely related to loan growth during the first quarter of 2016. Average loans and leases for the three months ended March 31, 2016 increased by $60.9 million as compared to the fourth quarter of 2015. The increase in average loans was accompanied by a 5 basis point increase in tax-equivalent yield earned on loans, resulting in a $616 thousand increase in interest income on loans and leases. Partially offsetting the increase in average loans and leases was a $51.8 million decrease in average interest-bearing deposits with banks. This decrease in cash deposits resulted in a $17 thousand decrease in interest earned on deposits with banks. On the liability side, average interest-bearing deposits increased by $22.1 million, resulting in a $30 thousand increase in interest expense on deposits.

●

The tax-equivalent net interest margin of 3.87% for the three months ended March 31, 2016 increased 10 basis points from 3.77% for the fourth quarter of 2015. The increase was primarily the result of a $60.9 million increase in average loans and leases during the first quarter of 2016. The tax equivalent yield earned on loans and leases during the first quarter of 2016 was 4.67%. The increase in average loans and leases was largely offset by a $51.8 million decrease in average interest-bearing deposits with banks, which earned interest at a rate of 0.47% during the first quarter of 2016 and 0.28% during the fourth quarter of 2015. The contribution of fair value mark accretion to the tax equivalent net interest margin accounted for 16 basis points of the margin for the first quarter of 2016 as compared to 13 basis points for the fourth quarter of 2015.

●

Non-interest income for the three months ended March 31, 2016 decreased $460 thousand from the fourth quarter of 2015. The decrease was related to a decrease in fees for wealth management services of $163 thousand, a $76 thousand loss on sale of other real estate owned, a $116 thousand decrease in dividends on Federal Home Loan Bank (“FHLB”) and Federal Reserve Bank (“FRB”) stocks, and a $392 thousand decrease in other operating income. The decrease in other operating income was related to the $319 thousand of noninterest income recorded in the fourth quarter of 2015 in connection with the full payoff of a purchased credit-impaired loan. Partially offsetting the decreases was an increase of $434 thousand in insurance revenues related to contingent commissions received from insurance carriers.

●

Non-interest expense for the three months ended March 31, 2016 decreased $21.9 million, to $25.1 million, as compared to $47.0 million for the fourth quarter of 2015. The primary cause for the decrease was a $17.4 million loss on settlement of the corporate pension plan and a $929 thousand branch lease termination expense recorded in the fourth quarter of 2015, both of which did not reoccur, and a $1.9 million decrease in due diligence, merger-related and merger integration costs between the periods. Partially offsetting these decreases was a $684 thousand increase in Pennsylvania bank shares tax. The Pennsylvania bank shares tax is based on the Bank’s equity base as of December 31, 2015, which increased due to the acquisition of Continental Bank. In addition, during the fourth quarter of 2015, the Bank received tax credits related to its contributions under the Pennsylvania Educational Improvement Tax Credit (EITC) program.

●

For the three months ended March 31, 2016, the Corporation recorded net loan and lease charge-offs of $422 thousand, as compared to $1.9 million for the fourth quarter of 2015. The Provision for the three months ended March 31, 2016 was $1.4 million, as compared to $1.8 million for the fourth quarter of 2015. The disparity between the $367 thousand, or 20.7%, decrease in Provision from the fourth quarter of 2015 to the first quarter of 2016, relative to the $1.4 million, or 77.3%, decrease in net charge-offs between the periods was primarily driven by the loan growth between the dates.

Results of Operations – First Quarter 2016 Compared to First Quarter 2015

●

Net income for the three months ended March 31, 2016 was $8.3 million, as compared to $7.5 million for the same period in 2015. Significantly contributing to the increase was a $1.1 million increase in net interest income and a $2.5 million reduction in due diligence, merger-related and merger integration costs, partially offset by an $841 thousand increase in the Provision, an $825 thousand decrease in gain on sale of available for sale investment securities and an $868 thousand increase in salaries and wages.

●

Net interest income for the three months ended March 31, 2016 was $25.9 million, an increase of $1.1 million, or 4.5%, from $24.8 million for the same period in 2015. The increase in net interest income between the periods was largely related to loan growth between the periods. Average loans and leases for the three months ended March 31, 2016 increased by $225.7 million from the same period in 2015. The increase in average balances was offset by a 24 basis point decrease in tax-equivalent yield earned on loans and leases. The net effect of the yield decrease and volume increase on average loans and leases was a $1.5 million increase in interest income on loans. On the liability side, a $26.7 million decrease in average interest-bearing deposits was offset by a $29.5 million increase in average subordinated notes, related to the issuance, during the third quarter of 2015, of $30 million of 4.5% fixed-to-floating rate subordinated notes. The interest expense effect of the decrease in interest-bearing deposits, which saw a rate decrease of 1 basis point, combined with the increase in average subordinated notes, which paid interest at 4.99%, was a net increase in interest expense of $408 thousand.

●

The tax-equivalent net interest margin of 3.87% for the three months ended March 31, 2016 was an 8 basis point increase from 3.79% for the same period in 2015. The increase was largely the result of the $167.6 million reduction in low-yielding interest-bearing deposits with banks and the $225.7 million increase in average loans and leases. The tax-equivalent yield earned on loans and leases for the three months ended March 31, 2016 was 4.67%. Partially offsetting the effect of the loan growth on the tax-equivalent interest margin was the $29.5 million increase in average subordinated notes at a rate of 4.99% for the first quarter of 2016 as compared to the same period in 2015. The contribution of fair value mark accretion to the tax equivalent net interest margin accounted for 16 basis points of the margin for the first quarter of 2016 as compared to 22 basis points for the first quarter of 2015.

●

Non-interest income for the three months ended March 31, 2016 decreased $1.6 million as compared to the same period in 2015. Largely contributing to this decrease was an $825 thousand decrease in net gain on sale of available for sale investment securities, a $401 thousand decrease in dividends on FHLB and FRB stocks and a $273 thousand decrease in fees for wealth management services. During the three months ended March 31, 2016, $80 thousand of available for sale investment securities, related to a rabbi trust, were sold, resulting in a net loss of $15 thousand as compared to the $63.2 million of available for sale investment securities sold during the first quarter of 2015, much of which had been acquired from Continental Bank, and which resulted in a net gain on sale of $810 thousand. The decrease in dividends on FHLB and FRB stocks was related to the $448 thousand special dividend issued by the FHLB in the first quarter of 2015 which was not repeated in 2016. The decrease in wealth revenue largely related to the shifting of the composition of the wealth portfolio to lower-yielding, fixed-fee accounts. Although assets under management administration, supervision and brokerage increased by $1.47 billion from March 31, 2015 to March 31, 2016, the portion of the portfolio which derives its fees from market value changes declined, offset by increases in the lower-yielding fixed-fee accounts. This shift serves to reduce the earnings volatility associated with market movement.

●

Non-interest expense for the three months ended March 31, 2016 decreased $2.4 million, to $25.0 million, as compared to $27.4 million for the same period in 2015. Largely accounting for the decrease was a $2.5 million decrease in due diligence, merger-related and merger integration costs, a $273 thousand decrease in advertising expense and a $244 thousand decrease in employee benefits. The merger expense and higher advertising expense during the first quarter of 2015 were related to the January 1, 2015 Continental Bank acquisition. The decrease in employee benefits was related to the December 2015 settlement of the corporate pension plan, not only due to the elimination of the recurring pension costs associated with a defined benefits plan, but also due to the excess assets remaining in the plan at settlement. For the three months ended March 31, 2016, excess assets from the settled pension plan were used to reduce 401(k) contribution costs by $300 thousand. Partially offsetting these decreases were increases of $868 thousand in salaries related to staff additions, which included the April 2015 Robert J. McAllister Agency acquisition, the October 2015 formation of the Key Capital Mortgage, Inc. subsidiary, and additions to our lending teams in our residential mortgage operation and our Hershey office, as well as the addition of a number of key senior management positions which had become vacant since the first quarter of 2015.

●

Nonperforming loans and leases totaled $9.6 million as of March 31, 2016, representing 0.41% of total portfolio loans and leases, as compared to $9.1 million, or 0.44% of total portfolio loans and leases as of March 31, 2015. For the three months ended March 31, 2016, the Corporation recorded net loan and lease charge-offs of $422 thousand, as compared to $859 thousand for the same period in 2015. The decrease of net charge-offs between periods was the result of impairment analyses on collateral-dependent loans which identified collateral shortfalls and determined appropriate charge-offs. Based on the analyses performed as of March 31, 2016, and the full or partial charge-offs recorded, management believes there is sufficient collateral to cover the principal balances of the collateral-dependent loans. The Provision for the three months ended March 31, 2016 was $1.4 million as compared to $569 thousand for the same period in 2015. The increase in the Provision for the first quarter of 2016 was largely driven by the increases in loan volume which were concentrated in the commercial mortgage and construction segments of the portfolio.

Financial Condition – March 31, 2016 Compared to December 31, 2015

●

Total portfolio loans and leases of $2.38 billion as of March 31, 2016 increased by $109.9 million from December 31, 2015. Loan growth was concentrated in the commercial mortgage and construction categories, which increased $80.2 million and $28.8 million, respectively, during the first quarter of 2016.

●

The allowance for loan and lease losses (the “Allowance”) as of March 31, 2016 was $16.8 million, or 0.71% of portfolio loans as compared to $15.9 million, or 0.70% of portfolio loans and leases, as of December 31, 2015. In addition to the ratio of Allowance to portfolio loans, management considers two non-GAAP measures: the Allowance as a percentage of originated loans and leases, which was 0.83% as of March 31, 2016, as compared to 0.84% as of December 31, 2015, and the Allowance plus the remaining loan mark as a percentage of gross loans, which was 1.37% as of March 31, 2016, as compared to 1.44% as of December 31, 2015. A reconciliation of these and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.

●	Available for sale investment securities as of March 31, 2016 were $365.8 million, an increase of $16.9 million from December 31, 2015. Increases of $23.7 million in mortgage-related securities were partially offset by decreases of $5.4 million in U.S. government securities.

●	Total assets as of March 31, 2016 were $3.06 billion, an increase of $27.3 million from December 31, 2015. Increases in loans and leases and available for sale investment securities were partially offset by reductions in interest-bearing deposits with banks, which decreased by $90.7 million.

●

Wealth assets under management, administration, supervision and brokerage totaled $9.28 billion as of March 31, 2016, an increase of $916.9 million from December 31, 2015. However, due to the change in the composition of the assets held in the wealth portfolio, fees for wealth management services did not grow proportionately, as more of the portfolio was comprised of assets held in lower-yielding fixed-fee accounts.

●	Deposits of $2.34 billion as of March 31, 2016 increased $91.3 million from December 31, 2015. A significant portion of the growth in deposits was in the wholesale sector, which grew by $72.7 million.

●

The capital ratios for the Bank and the Corporation, as of March 31, 2016, as shown in the attached tables, indicate levels well above the regulatory minimum to be considered “well capitalized.” The capital ratios of the Bank increased from the fourth quarter of 2015 primarily as a result of a $15.0 million downstream of capital from the Corporation during the first quarter. The capital ratios of the Corporation decreased from the fourth quarter of 2015, as shareholders’ equity decreased $534 thousand, while total assets increased by $27.3 million. The decrease in shareholders’ equity occurred as a result of dividend payments and the repurchase, during the first quarter of 2016, of $8.0 million of treasury shares.

EARNINGS CONFERENCE CALL

The Corporation will hold an earnings conference call at 8:30 a.m. Eastern Time on Friday, April 29, 2016. Interested parties may participate by dialing (toll-free) 1-877-504-8812 (international (toll) 1-412-902-6656). A recorded replay of the conference call will be available one hour after the conclusion of the call and will remain available through May 13, 2016. The recorded replay may be accessed by dialing (toll-free) 1-877-344-7529 (international (toll) 1-412-317-0088).The conference number is 10083628.

The conference call will be simultaneously broadcast live over the Internet through a webcast on the investor relations portion of the Bryn Mawr Bank Corporation website. To access the call, please visit the website at http://services.choruscall.com/links/bmtc160429. An online archive of the webcast will be available within one hour of the conclusion of the call. The Corporation has also recently expanded its Investor Relations website to include added resources and information for shareholders and interested investors. Interested parties are encouraged to utilize the expanded resources of the site for more information on Bryn Mawr Bank Corporation.

FORWARD LOOKING STATEMENTS AND SAFE HARBOR

This press release contains statements which, to the extent that they are not recitations of historical fact may constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Such forward-looking statements may include financial and other projections as well as statements regarding the Corporation’s future plans, objectives, performance, revenues, growth, profits, operating expenses or the Corporation’s underlying assumptions. The words “may,” “would,” “should,” “could,” “will,” “likely,” “possibly,” “expect,” “anticipate,” “intend,” “indicate,” “estimate,” “target,” “potentially,” “promising,” “probably,” “outlook,” “predict,” “contemplate,” “continue,” “plan,” “forecast,” “project,” “are optimistic,” “are looking,” “are looking forward” and “believe” or other similar words and phrases may identify forward-looking statements. Persons reading this press release are cautioned that such statements are only predictions, and that the Corporation’s actual future results or performance may be materially different.

Such forward-looking statements involve known and unknown risks and uncertainties. A number of factors, many of which are beyond the Corporation's control, could cause our actual results, events or developments, or industry results, to be materially different from any future results, events or developments expressed, implied or anticipated by such forward-looking statements, and so our business and financial condition and results of operations could be materially and adversely affected. Such factors include, among others, that the integration of acquired businesses with the Corporation’s may take longer than anticipated or be more costly to complete and that the anticipated benefits, including any anticipated cost savings or strategic gains may be significantly harder to achieve or take longer than anticipated or may not be achieved, our need for capital, our ability to control operating costs and expenses, and to manage loan and lease delinquency rates; the credit risks of lending activities and overall quality of the composition of our loan, lease and securities portfolio; the impact of economic conditions, consumer and business spending habits, and real estate market conditions on our business and in our market area; changes in the levels of general interest rates, deposit interest rates, or net interest margin and funding sources; changes in banking regulations and policies and the possibility that any banking agency approvals we might require for certain activities will not be obtained in a timely manner or at all or will be conditioned in a manner that would impair our ability to implement our business plans; changes in accounting policies and practices; the inability of key third-party providers to perform their obligations to us; our ability to attract and retain key personnel; competition in our marketplace; war or terrorist activities; material differences in the actual financial results, cost savings and revenue enhancements associated with our acquisitions; and other factors as described in our securities filings. All forward-looking statements and information set forth herein are based on management’s current beliefs and assumptions as of the date hereof and speak only as of the date they are made. The Corporation does not undertake to update forward-looking statements.

For a complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review our filings with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K, as updated by our quarterly or other reports subsequently filed with the SEC.

# # # #

Bryn Mawr Bank Corporation

Summary Financial Information (unaudited)

(dollars in thousands, except per share data)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Consolidated Balance Sheet (selected items)
Interest-bearing deposits with banks	$	33,954		$	124,615		$	100,980		$	156,282		$	244,248
Investment securities (available for sale and trading)		369,461			352,916			344,872			353,525			338,781
Loans held for sale		7,807			8,987			8,721			15,363			6,656
Portfolio loans and leases		2,378,841			2,268,988			2,228,764			2,153,263			2,088,531
Allowance for loan and lease losses ("ALLL")		(16,845	)		(15,857	)		(15,935	)		(14,959	)		(14,296	)
Goodwill and other intangible assets		127,777			128,668			129,694			130,631			128,141
Total assets		3,058,247			3,030,997			2,952,742			2,950,014			2,943,179
Deposits - interest-bearing		1,700,550			1,626,041			1,634,237			1,624,257			1,658,869
Deposits - non-interest-bearing		643,492			626,684			605,607			636,390			582,495
Short-term borrowings		37,010			94,167			24,264			26,406			38,372
Long-term FHLB advances and other borrowings		249,832			254,863			254,893			244,923			250,088
Subordinated notes		29,491			29,479			29,466			-			-
Total liabilities		2,693,070			2,665,286			2,584,587			2,568,916			2,565,276
Shareholders' equity		365,177			365,711			368,155			381,098			377,903

Average Balance Sheet (selected items)
Interest-bearing deposits with banks	$	39,050		$	90,832		$	165,723		$	182,099		$	206,694
Investment securities (available for sale and trading)		360,957			354,239			356,028			351,080			374,190
Loans held for sale		5,481			7,531			10,527			6,735			3,470
Portfolio loans and leases		2,303,103			2,240,189			2,181,125			2,111,371			2,079,412
Total interest-earning assets		2,708,591			2,692,791			2,713,403			2,651,285			2,663,766
Goodwill and intangible assets		128,296			129,292			130,241			129,116			125,060
Total assets		2,973,148			2,959,011			2,981,308			2,910,701			2,918,156
Deposits - interest-bearing		1,633,651			1,611,574			1,644,976			1,628,759			1,660,330
Short-term borrowings		34,158			26,092			28,166			34,980			55,207
Long-term FHLB advances and other borrowings		250,015			254,880			248,606			249,678			266,342
Subordinated notes		29,482			29,471			18,190			-			-
Total interest-bearing liabilities		1,947,306			1,922,017			1,939,938			1,913,417			1,981,879
Total liabilities		2,612,276			2,593,651			2,604,704			2,531,547			2,547,217
Shareholders' equity		360,872			365,360			376,604			379,154			370,939

Bryn Mawr Bank Corporation

Summary Financial Information (unaudited)

(dollars in thousands, except per share data)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Income Statement
Net interest income	$	25,902		$	25,429		$	24,833		$	25,070		$	24,795
Provision for loan and losses		1,410			1,777			1,200			850			569
Noninterest income		13,208			13,668			13,350			14,177			14,765
Noninterest expense		25,051			46,951			25,403			25,982			27,429
Income tax expense (benefit)		4,375			(3,276	)		4,084			4,296			4,068
Net income (loss)		8,274			(6,355	)		7,496			8,119			7,494
Basic earnings per share		0.49			(0.37	)		0.43			0.46			0.43
Diluted earnings per share		0.49			(0.37	)		0.42			0.45			0.42
Net income (core) ⁽¹⁾		8,284			7,506			8,241			8,958			8,932
Basic earnings per share (core) ⁽¹⁾		0.49			0.44			0.47			0.51			0.51
Diluted earnings per share (core) ⁽¹⁾		0.49			0.44			0.46			0.50			0.50
Cash dividends paid per share		0.20			0.20			0.20			0.19			0.19
Profitability Indicators
Return on average assets		1.12	%		-0.86	%		1.01	%		1.12	%		1.03	%
Return on average equity		9.22	%		-7.00	%		8.01	%		8.61	%		8.13	%
Return on tangible equity⁽¹⁾		15.31	%		-9.36	%		13.25	%		14.06	%		13.30	%
Tax-equivalent net interest margin		3.87	%		3.77	%		3.65	%		3.81	%		3.79	%
Efficiency ratio⁽¹⁾		61.75	%		63.09	%		60.97	%		60.48	%		60.45	%
Mortgage Banking Information
Mortgage loans originated	$	50,416		$	55,867		$	76,169		$	63,285		$	35,728
Residential mortgage loans sold - servicing retained		25,965			24,063			30,515			28,204			24,569
Residential mortgage loans sold - servicing released		2,397			7,150			10,579			9,257			2,644
Total residential mortgage loans sold	$	28,362		$	31,213		$	41,094		$	37,461		$	27,213
Residential mortgage loans serviced for others	$	605,366		$	601,939		$	601,999		$	595,440		$	591,989
Share Data
Closing share price	$	25.73		$	28.72		$	31.07		$	30.16		$	30.41
Book value per common share	$	21.48		$	21.40		$	21.94		$	21.32		$	20.87
Tangible book value per common share	$	13.87		$	13.86		$	14.38		$	13.97		$	13.66
Price / book value		119.80	%		134.19	%		141.62	%		141.48	%		145.74	%
Price / tangible book value		185.47	%		207.14	%		216.01	%		215.85	%		222.66	%
Weighted average diluted shares outstanding		16,883,193			17,129,234			17,834,298			18,054,663			17,903,258
Shares outstanding, end of period		16,801,801			17,071,523			17,166,323			17,786,293			17,777,628
Wealth Management Information:
Wealth assets under mgmt, administration, supervision and brokerage ⁽²⁾	$	9,281,743		$	8,364,805		$	8,218,276		$	8,536,024		$	7,816,441
Fees for wealth management services	$	8,832		$	8,995		$	9,194		$	9,600		$	9,105

Bryn Mawr Bank Corporation

Summary Financial Information (unaudited)

(dollars in thousands, except per share data)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Capital Ratios
Bryn Mawr Trust Company
Tier I capital to risk weighted assets ("RWA")		10.69	%		10.12	%		11.96	%		12.04	%		12.12	%
Total (Tier II) capital to RWA		11.39	%		10.78	%		12.64	%		12.71	%		12.78	%
Tier I leverage ratio		9.15	%		8.51	%		9.75	%		9.77	%		9.52	%
Tangible equity ratio ⁽¹⁾		8.53	%		7.74	%		8.84	%		8.54	%		8.42	%
Common equity Tier I capital to RWA		10.69	%		10.12	%		11.96	%		12.04	%		12.12	%

Bryn Mawr Bank Corporation
Tier I capital to RWA		10.22	%		10.72	%		11.56	%		12.55	%		12.79	%
Total (Tier II) capital to RWA		12.13	%		12.61	%		13.50	%		13.21	%		13.44	%
Tier I leverage ratio		8.76	%		9.02	%		9.44	%		10.20	%		10.05	%
Tangible equity ratio ⁽¹⁾		8.10	%		8.17	%		8.45	%		8.88	%		8.87	%
Common equity Tier I capital to RWA		10.22	%		10.72	%		11.54	%		12.50	%		12.77	%

Asset Quality Indicators

Net loan and lease charge-offs ("NCO"s)	$	422		$	1,855		$	224		$	187		$	859
Nonperforming loans and leases ("NPL"s)	$	9,636		$	10,244		$	12,315		$	8,996		$	9,130
Other real estate owned ("OREO")		756			2,638			1,010			843			1,532
Total nonperforming assets ("NPA"s)	$	10,392		$	12,882		$	13,325		$	9,839		$	10,662

Nonperforming loans and leases 30 or more days past due	$	6,193		$	5,678		$	8,854		$	7,302		$	7,426
Performing loans and leases 30 to 89 days past due		6,296			5,601			4,960			5,233			3,361
Performing loans and leases 90 or more days past due		-			-			-			-			-
Total delinquent loans and leases	$	12,489		$	11,279		$	13,814		$	12,535		$	10,787

Delinquent loans and leases to total loans and leases		0.52	%		0.50	%		0.62	%		0.58	%		0.51	%
Delinquent performing loans and leases to total loans and leases		0.26	%		0.25	%		0.22	%		0.24	%		0.16	%
NCOs / average loans and leases (annualized)		0.07	%		0.33	%		0.04	%		0.04	%		0.17	%
NPLs / total portfolio loans and leases		0.41	%		0.45	%		0.55	%		0.42	%		0.44	%
NPAs / total loans and leases and OREO		0.44	%		0.56	%		0.60	%		0.45	%		0.51	%
ALLL / NPLs		174.81	%		154.79	%		129.40	%		166.29	%		156.58	%
ALLL / portfolio loans		0.71	%		0.70	%		0.71	%		0.69	%		0.68	%
ALLL on originated loans and leases / Originated loans and leases⁽¹⁾		0.83	%		0.84	%		0.88	%		0.88	%		0.90	%
(Total Allowance + Loan mark) / Total Gross portfolio loans and leases ⁽¹⁾		1.37	%		1.44	%		1.52	%		1.60	%		1.61	%

Troubled debt restructurings ("TDR"s) included in NPLs	$	1,756		$	1,935		$	3,711		$	3,960		$	4,217
TDRs in compliance with modified terms		4,893			4,880			4,062			4,078			4,145
Total TDRs	$	6,649		$	6,815		$	7,773		$	8,038		$	8,362

⁽¹⁾Non-GAAP measure - see Appendix for Non-GAAP to GAAP reconciliation

⁽²⁾Brokerage assets represent assets held at a registered broker dealer under a clearing agreement.

Bryn Mawr Bank Corporation

Detailed Balance Sheets (unaudited)

(dollars in thousands)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Assets
Cash and due from banks	$	15,594		$	18,452		$	17,161		$	20,258		$	17,269
Interest-bearing deposits with banks		33,954			124,615			100,980			156,282			244,248
Cash and cash equivalents		49,548			143,067			118,141			176,540			261,517
Investment securities, available for sale		365,819			348,966			341,421			349,496			334,746
Investment securities, trading		3,642			3,950			3,451			4,029			4,035
Loans held for sale		7,807			8,987			8,721			15,363			6,656
Portfolio loans and leases, originated		2,015,683			1,883,869			1,804,834			1,692,027			1,571,375
Portfolio loans and leases, acquired		363,158			385,119			423,930			461,236			517,156
Total portfolio loans and leases		2,378,841			2,268,988			2,228,764			2,153,263			2,088,531
Less: Allowance for losses on originated loan and leases		(16,817	)		(15,857	)		(15,900	)		(14,937	)		(14,173	)
Less: Allowance for losses on acquired loan and leases		(28	)		-			(35	)		(22	)		(123	)
Total allowance for loan and lease losses		(16,845	)		(15,857	)		(15,935	)		(14,959	)		(14,296	)
Net portfolio loans and leases		2,361,996			2,253,131			2,212,829			2,138,304			2,074,235
Premises and equipment		44,712			45,339			44,370			43,164			42,888
Accrued interest receivable		8,205			7,869			7,744			7,518			7,465
Deferred income taxes		10,155			11,137			11,216			11,066			12,057
Mortgage servicing rights		5,182			5,142			5,031			4,970			4,815
Bank owned life insurance		38,616			38,371			38,157			32,941			32,772
Federal Home Loan Bank ("FHLB") stock		12,142			12,942			11,742			11,542			11,541
Goodwill		104,765			104,765			104,338			104,322			101,619
Intangible assets		23,012			23,903			25,356			26,309			26,522
Other investments		8,487			9,460			9,499			9,295			9,238
Other assets		14,159			13,968			10,726			15,155			13,073
Total assets	$	3,058,247		$	3,030,997		$	2,952,742		$	2,950,014		$	2,943,179

Liabilities
Deposits
Noninterest-bearing	$	643,492		$	626,684		$	605,607		$	636,390		$	582,495
Interest-bearing		1,700,550			1,626,041			1,634,237			1,624,257			1,658,869
Total deposits		2,344,042			2,252,725			2,239,844			2,260,647			2,241,364
Short-term borrowings		37,010			94,167			24,264			26,406			38,372
Long-term FHLB advances and other borrowings		249,832			254,863			254,893			244,923			250,088
Subordinated notes		29,491			29,479			29,466			-			-
Accrued interest payable		1,294			1,851			1,444			1,292			1,201
Other liabilities		31,401			32,201			34,676			35,648			34,251
Total liabilities		2,693,070			2,665,286			2,584,587			2,568,916			2,565,276

Shareholders' equity
Common stock		20,949			20,931			20,854			20,848			20,750
Paid-in capital in excess of par value		229,479			228,814			226,980			225,837			223,389
Less: common stock held in treasury, at cost		(66,140	)		(58,144	)		(53,000	)		(34,346	)		(31,646	)
Accumulated other comprehensive income (loss), net of tax		1,502			(412	)		(11,040	)		(11,634	)		(10,287	)
Retained earnings		179,387			174,522			184,361			180,393			175,697
Total shareholders equity		365,177			365,711			368,155			381,098			377,903
Total liabilities and shareholders' equity	$	3,058,247		$	3,030,997		$	2,952,742		$	2,950,014		$	2,943,179

Bryn Mawr Bank Corporation

Supplemental Balance Sheet Information (unaudited)

(dollars in thousands)

	Portfolio Loans and Leases as of
	March 31, 2016		December 31, 2015		September 30, 2015		June 30, 2015		March 31, 2015
Commercial mortgages	$	1,044,415	$	964,259	$	971,983	$	924,161	$	892,675
Home equity loans and lines		205,896		209,473		212,258		211,982		209,037
Residential mortgages		412,006		406,404		399,730		381,323		379,363
Construction		119,193		90,421		82,820		88,122		81,408
Total real estate loans		1,781,510		1,670,557		1,666,791		1,605,588		1,562,483

Commercial & Industrial		523,053		524,515		488,977		472,702		457,432
Consumer		21,427		22,129		22,350		25,123		20,204
Leases		52,851		51,787		50,646		49,850		48,412
Total non-real estate loans and leases		597,331		598,431		561,973		547,675		526,048
Total portfolio loans and leases	$	2,378,841	$	2,268,988	$	2,228,764	$	2,153,263	$	2,088,531

	Nonperforming Loans and Leases as of
	March 31, 2016		December 31, 2015		September 30, 2015		June 30, 2015		March 31, 2015
Commercial mortgages	$	872	$	829	$	931	$	592	$	600
Home equity loans and lines		1,953		2,027		1,661		1,605		923
Residential mortgages		2,923		3,212		5,249		5,320		5,130
Construction		12		34		34		139		201
Total nonperforming real estate loans		5,760		6,102		7,875		7,656		6,854

Commercial & Industrial		3,822		4,133		4,337		1,283		2,218
Consumer		-		-		2		-		9
Leases		54		9		101		57		49
Total nonperforming non-real estate loans and leases		3,876		4,142		4,440		1,340		2,276
Total noperforming portfolio loans and leases	$	9,636	$	10,244	$	12,315	$	8,996	$	9,130

	Net Loan and Lease Charge-Offs (Recoveries) for the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Commercial mortgage	$	107		$	(4	)	$	-		$	48		$	(21	)
Home equity loans and lines		71			561			(21	)		11			125
Residential		(35	)		239			11			43			463
Construction		-			(1	)		(1	)		(1	)		(1	)
Total net charge-offs (recoveries) of real estate loans		143			795			(11	)		101			566

Commercial & Industrial		25			902			38			(10	)		255
Consumer		20			55			26			35			32
Leases		234			103			171			61			6
Total net charge-offs of non-real estate loans and leases		279			1,060			235			86			293
Total net charge-offs	$	422		$	1,855		$	224		$	187		$	859

Bryn Mawr Bank Corporation

Supplemental Balance Sheet Information (unaudited)

(dollars in thousands)

	Investment Securities Available for Sale, at Fair Value
	March 31, 2016		December 31, 2015		September 30, 2015		June 30, 2015		March 31, 2015
U.S. Treasury securities	$	102	$	101	$	102	$	101	$	102
Obligations of the U.S. Government and agencies		96,080		101,495		91,639		93,125		89,669
State & political subdivisions - tax-free		39,502		41,442		43,388		40,967		32,261
State & political subdivisions - taxable		1,093		524		742		351		-
Mortgage-backed securities		183,127		158,689		155,509		161,283		162,370
Collateralized mortgage obligations		29,106		29,799		32,953		36,094		32,759
Other debt securities		1,700		1,691		1,896		1,894		1,900
Bond mutual funds		11,725		11,810		11,798		11,920		11,883
Other investments		3,384		3,415		3,394		3,761		3,802
Total	$	365,819	$	348,966	$	341,421	$	349,496	$	334,746

	Unrealized Gain (Loss) on Investment Securities Available for Sale
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
U.S. Treasury securities	$	1		$	-		$	1		$	-		$	-
Obligations of the U.S. Government and agencies		984			153			712			182			591
State & political subdivisions - tax-free		173			75			153			49			133
State & political subdivisions - taxable		18			(1	)		2			1			-
Mortgage-backed securities		3,026			1,267			2,591			1,542			2,898
Collateralized mortgage obligations		330			43			339			223			347
Other debt securities		-			(9	)		(4	)		(6	)		-
Bond mutual funds		(231	)		(146	)		(158	)		(36	)		(73	)
Other investments		(155	)		(192	)		(193	)		111			128
Total	$	4,146		$	1,190		$	3,443		$	2,066		$	4,024

	Deposits
	March 31, 2016		December 31, 2015		September 30, 2015		June 30, 2015		March 31, 2015
Interest-bearing deposits:
Interest-bearing checking	$	335,240	$	338,861	$	330,683	$	328,606	$	349,582
Money market		773,637		749,726		748,983		699,264		717,441
Savings		190,477		187,299		192,995		189,120		184,819
Wholesale non-maturity deposits		62,454		67,717		65,636		65,365		69,555
Wholesale time deposits		131,145		53,185		57,671		67,894		73,476
Retail time deposits		207,597		229,253		238,269		274,008		263,996
Total interest-bearing deposits		1,700,550		1,626,041		1,634,237		1,624,257		1,658,869
Noninterest-bearing deposits		643,492		626,684		605,607		636,390		582,495
Total deposits	$	2,344,042	$	2,252,725	$	2,239,844	$	2,260,647	$	2,241,364

Bryn Mawr Bank Corporation

Detailed Income Statements (unaudited)

(dollars in thousands, except per share data)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Interest income:
Interest and fees on loans and leases	$	26,696		$	26,080		$	25,620		$	25,568		$	25,164
Interest on cash and cash equivalents		46			63			107			124			115
Interest on investment securities:		1,527			1,623			1,302			1,301			1,475
Total interest income		28,269			27,766			27,029			26,993			26,754
Interest expense:
Interest on deposits		1,076			1,046			1,076			1,062			1,028
Interest on short-term borrowings		17			9			8			10			21
Interest on FHLB advances and other borrowings		908			912			881			851			910
Interest on subordinated notes		366			370			231			-			-
Total interest expense		2,367			2,337			2,196			1,923			1,959
Net interest income		25,902			25,429			24,833			25,070			24,795
Provision for loan and lease losses (the "Provision")		1,410			1,777			1,200			850			569
Net interest income after Provision		24,492			23,652			23,633			24,220			24,226
Noninterest income:
Fees for wealth management services		8,832			8,995			9,194			9,600			9,105
Insurance revenue		1,276			842			1,065			817			1,021
Service charges on deposits		702			742			721			752			712
Loan servicing and other fees		492			502			397			597			591
Net gain on sale of loans		760			751			685			778			808
Net (loss) gain on sale of investment securities available for sale		(15	)		58			60			3			810
Net (loss) gain on sale of other real estate owned		(76	)		33			-			75			15
Dividends on FHLB and FRB stocks		214			330			138			299			615
Other operating income		1,023			1,415			1,090			1,256			1,088
Total noninterest income		13,208			13,668			13,350			14,177			14,765
Noninterest expense:
Salaries and wages		11,738			11,700			10,941			11,064			10,870
Employee benefits		2,485			2,268			2,590			2,618			2,729
Loss on pension termination		-			17,377			-			-			-
Occupancy and bank premises		2,488			2,474			2,557			2,808			2,466
Branch lease termination expense		-			929			-			-			-
Furniture, fixtures and equipment		1,919			2,129			1,712			1,488			1,512
Advertising		284			656			410			479			557
Amortization of intangible assets		891			937			953			955			982
Impairment of intangible assets		-			387			-			-			-
Due diligence, merger-related and merger integration expenses		-			1,860			1,015			1,294			2,501
Professional fees		813			1,010			843			827			673
Pennsylvania bank shares tax		638			(46	)		433			433			433
Information technology		1,048			874			1,053			814			702
Other operating expenses		2,747			4,396			2,896			3,202			4,004
Total noninterest expense		25,051			46,951			25,403			25,982			27,429
Income (loss) before income taxes		12,649			(9,631	)		11,580			12,415			11,562
Income tax expense (benefit)		4,375			(3,276	)		4,084			4,296			4,068
Net income (loss)	$	8,274		$	(6,355	)	$	7,496		$	8,119		$	7,494
Per share data:
Weighted average shares outstanding		16,848,202			17,129,234			17,572,421			17,713,794			17,545,802
Dilutive common shares		34,991			-			261,877			340,869			357,456
Adjusted weighted average diluted shares		16,883,193			17,129,234			17,834,298			18,054,663			17,903,258
Basic earnings (loss) per common share	$	0.49		$	(0.37	)	$	0.43		$	0.46		$	0.43
Diluted earnings (loss) per common share	$	0.49		$	(0.37	)	$	0.42		$	0.45		$	0.42
Dividend declared per share	$	0.20		$	0.20		$	0.20		$	0.19		$	0.19
Effective tax rate		34.59	%		34.02	%		35.27	%		34.60	%		35.18	%

Bryn Mawr Bank Corporation

Tax-Equivalent Net Interest Margin (unaudited)

(dollars in thousands, except per share data)

	For The Three Months Ended
	March 31, 2016								December 31, 2015								September 30, 2015								June 30, 2015								March 31, 2015
(dollars in thousands)	Average Balance			Interest Income/ Expense		Average Rates Earned/ Paid			Average Balance			Interest Income/ Expense		Average Rates Earned/ Paid			Average Balance			Interest Income/ Expense		Average Rates Earned/ Paid			Average Balance			Interest Income/ Expense		Average Rates Earned/ Paid			Average Balance			Interest Income/ Expense		Average Rates Earned/ Paid

Assets:
Interest-bearing deposits with other banks	$	39,050		$	46		0.47	%	$	90,832		$	63		0.28	%	$	165,723		$	107		0.26	%	$	182,099		$	124		0.27	%	$	206,694		$	115		0.23	%
Investment securities - available for sale:
Taxable		316,353			1,397		1.78	%		307,524			1,432		1.85	%		310,582			1,172		1.50	%		310,011			1,184		1.53	%		335,208			1,336		1.62	%
Tax-exempt		40,658			191		1.89	%		43,144			195		1.79	%		41,424			186		1.78	%		37,035			157		1.70	%		35,085			203		2.35	%
Total investment securities - available for sale		357,011			1,588		1.79	%		350,668			1,627		1.84	%		352,006			1,358		1.53	%		347,046			1,341		1.55	%		370,293			1,539		1.69	%

Investment securities - trading		3,946			2		0.20	%		3,571			60		6.67	%		4,022			5		0.49	%		4,034			11		1.09	%		3,897			4		0.42	%

Loans and leases *		2,308,584			26,778		4.67	%		2,247,720			26,158		4.62	%		2,191,652			25,698		4.65	%		2,118,106			25,623		4.85	%		2,082,882			25,226		4.91	%

Total interest-earning assets		2,708,591			28,414		4.22	%		2,692,791			27,908		4.11	%		2,713,403			27,168		3.97	%		2,651,285			27,099		4.10	%		2,663,766			26,884		4.09	%

Cash and due from banks		16,501								18,005								17,160								16,222								19,092
Less: allowance for loan and lease losses		(16,239	)							(16,106	)							(15,066	)							(14,346	)							(14,866	)
Other assets		264,295								264,321								265,811								257,540								250,164

Total assets	$	2,973,148							$	2,959,011							$	2,981,308							$	2,910,701							$	2,918,156

Liabilities:

Interest-bearing deposits:
Savings, NOW and market rate deposits	$	1,279,630		$	569		0.18	%	$	1,260,575		$	565		0.18	%	$	1,260,529		$	584		0.18	%	$	1,224,544		$	575		0.19	%	$	1,252,410		$	594		0.19	%
Wholesale deposits		137,201			233		0.68	%		119,394			186		0.62	%		133,277			203		0.60	%		130,497			195		0.60	%		140,120			188		0.54	%
Retail time deposits		216,820			274		0.51	%		231,605			295		0.51	%		251,170			289		0.46	%		273,718			292		0.43	%		267,800			246		0.37	%
Total interest-bearing deposits		1,633,651			1,076		0.26	%		1,611,574			1,046		0.26	%		1,644,976			1,076		0.26	%		1,628,759			1,062		0.26	%		1,660,330			1,028		0.25	%

Borrowings:
Short-term borrowings		34,158			17		0.20	%		26,092			9		0.14	%		28,166			8		0.11	%		34,980			10		0.11	%		55,344			21		0.15	%
Long-term FHLB advances and other borrowings		250,015			908		1.46	%		254,880			912		1.42	%		248,606			881		1.41	%		249,678			851		1.37	%		266,205			910		1.39	%
Subordinated notes		29,482			366		4.99	%		29,471			370		4.98	%		18,190			231		5.04	%		-			-		0.00	%		-			-		0.00	%
Total borrowings		313,655			1,291		1.66	%		310,443			1,291		1.65	%		294,962			1,120		1.51	%		284,658			861		1.21	%		321,549			931		1.17	%

Total interest-bearing liabilities		1,947,306			2,367		0.49	%		1,922,017			2,337		0.48	%		1,939,938			2,196		0.45	%		1,913,417			1,923		0.40	%		1,981,879			1,959		0.40	%

Noninterest-bearing deposits		631,047								634,969								625,547								580,240								534,403
Other liabilities		33,923								36,665								39,219								37,890								30,935
Total noninterest-bearing liabilities		664,970								671,634								664,766								618,130								565,338

Total liabilities		2,612,276								2,593,651								2,604,704								2,531,547								2,547,217

Shareholders' equity		360,872								365,360								376,604								379,154								370,939

Total liabilities and shareholders' equity	$	2,973,148							$	2,959,011							$	2,981,308							$	2,910,701							$	2,918,156

Interest income to earning assets							4.22	%							4.11	%							3.97	%							4.10	%							4.09	%

Net interest spread							3.73	%							3.63	%							3.52	%							3.70	%							3.69	%
Effect of noninterest-bearing sources							0.14	%							0.14	%							0.13	%							0.11	%							0.10	%

Tax-equivalent net interest margin				$	26,047		3.87	%				$	25,571		3.77	%				$	24,972		3.65	%				$	25,176		3.81	%				$	24,925		3.79	%

Tax-equivalent adjustment				$	145		0.02	%				$	142		0.02	%				$	139		0.02	%				$	106		0.02	%				$	130		0.02	%

Supplemental Information Regarding Accretion of Fair Value Marks

	Interest Income (Expense) Effect			Effect on Yield or Rate			Interest Income (Expense) Effect			Effect on Yield or Rate			Interest Income (Expense) Effect			Effect on Yield or Rate			Interest Income (Expense) Effect			Effect on Yield or Rate			Interest Income (Expense) Effect			Effect on Yield or Rate
Loans and leases	$	953			0.17	%	$	707			0.12	%	$	763			0.14	%	$	1,246			0.24	%	$	1,127			0.22	%
Retail time deposits		(110	)		-0.20	%		(123	)		-0.21	%		(188	)		-0.30	%		(205	)		-0.30	%		(245	)		-0.37	%
Short-term borrowings		(12	)		-0.14	%		(35	)		-0.53	%		(35	)		-0.49	%		(35	)		-0.40	%		(35	)		-0.26	%
Long-term FHLB advances and other borrowings		(30	)		-0.05	%		(30	)		-0.05	%		(30	)		-0.05	%		(30	)		-0.05	%		(35	)		-0.05	%
Net interest income from fair value marks	$	1,105					$	895					$	1,016					$	1,516					$	1,442
Purchase accounting effect on tax-equivalent margin					0.16	%					0.13	%					0.15	%					0.23	%					0.22	%

* Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances.

Bryn Mawr Bank Corporation

Appendix - Non-GAAP to GAAP Reconciliations and Calculation of Non-GAAP Performance Measures (unaudited)

(dollars in thousands, except per share data)

Statement on Non-GAAP Measures: The Corporation believes the presentation of the following non-GAAP financial measures provides useful supplemental information that is essential to an investor’s proper understanding of the results of operations and financial condition of the Corporation. Management uses non-GAAP financial measures in its analysis of the Corporation’s performance. These non-GAAP measures should not be viewed as substitutes for the financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Reconciliation of Net Income to Net Income (core):
Net income (loss) (a GAAP measure)	$	8,274		$	(6,355	)	$	7,496		$	8,119		$	7,494
Less: Tax-effected non-core noninterest income:
Loss (gain) on sale of investment securities available for sale		10			(38	)		(39	)		(2	)		(527	)
Add: Tax-effected non-core noninterest expense items:
Loss on pension termination		-			11,295			-			-			-
Severance expense (Salaries and wages)		-			142			124			-			-
Branch lease termination expense		-			604			-			-			-
Debt and swap prepayment penalty (Other operating expenses)		-			397			-			-			339
Impairment of intangible assets		-			252			-			-			-
Due diligence, merger-related and merger integration expenses		-			1,209			660			841			1,626
Net income (core) (a non-GAAP measure)	$	8,284		$	7,506		$	8,241		$	8,958		$	8,932

Calculation of Basic and Diluted Earnings per Common Share (core):
Weighted average common shares outstanding		16,848,202			17,129,234			17,572,421			17,713,794			17,545,802
Dilutive common shares		63,617			112,783			261,877			340,869			357,456
Adjusted weighted average diluted shares		16,911,819			17,242,017			17,834,298			18,054,663			17,903,258
Basic earnings per common share (core) (a non-GAAP measure)	$	0.49		$	0.44		$	0.47		$	0.51		$	0.51
Diluted earnings per common share (core) (a non-GAAP measure)	$	0.49		$	0.44		$	0.46		$	0.50		$	0.50

Calculation of Return on Average Tangible Equity:
Net income (loss)	$	8,274		$	(6,355	)	$	7,496		$	8,119		$	7,494
Add: Tax-effected amortization and impairment of intangible assets		579			861			619			621			638
Net tangible income (numerator)	$	8,853		$	(5,494	)	$	8,115		$	8,740		$	8,132

Average shareholders' equity	$	360,872		$	365,360		$	376,604		$	379,154		$	370,939
Less: Average goodwill and intangible assets		(128,296	)		(129,292	)		(130,241	)		(129,116	)		(125,060	)
Net average tangible equity (denominator)	$	232,576		$	236,068		$	246,363		$	250,038		$	245,879

Return on tangible equity (a non-GAAP measure)		15.31	%		-9.23	%		13.07	%		14.02	%		13.41	%

Calculation of Tangible Equity Ratio:
Total shareholders' equity	$	365,177		$	365,711		$	368,155		$	381,098		$	377,903
Less: Goodwill and intangible assets		(127,777	)		(128,668	)		(129,694	)		(130,631	)		(128,141	)
Net tangible equity (numerator)	$	237,400		$	237,043		$	238,461		$	250,467		$	249,762

Total assets	$	3,058,247		$	3,030,997		$	2,952,742		$	2,950,014		$	2,943,179
Less: Goodwill and intangible assets		(127,777	)		(128,668	)		(129,694	)		(130,631	)		(128,141	)
Tangible assets (denominator)	$	2,930,470		$	2,902,329		$	2,823,048		$	2,819,383		$	2,815,038

Tangible equity ratio		8.10	%		8.17	%		8.45	%		8.88	%		8.87	%

Bryn Mawr Bank Corporation

Appendix - Non-GAAP to GAAP Reconciliations and Calculation of Non-GAAP Performance Measures (unaudited)

(dollars in thousands, except per share data)

	As of or For the Three Months Ended
	March 31, 2016			December 31, 2015			September 30, 2015			June 30, 2015			March 31, 2015
Calculation of Efficiency Ratio:
Noninterest expense	$	25,051		$	46,951		$	25,403		$	25,982		$	27,429
Less: certain noninterest expense items*:
Loss on pension termination		-			(17,377	)		-			-			-
Severance expense (Salaries and wages)		-			(218	)		(191	)		-			-
Branch lease termination expense		-			(929	)		-			-			-
Debt and swap prepayment penalty (Other operating expenses)		-			(611	)		-			-			(522	)
Amortization of intangibles		(891	)		(937	)		(953	)		(955	)		(982	)
Impairment of intangible assets		-			(388	)		-			-			-
Due diligence, merger-related and merger integration expenses		-			(1,860	)		(1,015	)		(1,294	)		(2,501	)
Noninterest expense (adjusted) (numerator)	$	24,160		$	24,631		$	23,244		$	23,733		$	23,424

Noninterest income	$	13,208		$	13,668		$	13,350		$	14,177		$	14,765
Less: non-core noninterest income items:
Loss (gain) on sale of investment securities available for sale		15			(58	)		(60	)		(3	)		(811	)
Noninterest income (core)	$	13,223		$	13,610		$	13,290		$	14,174		$	13,954
Net interest income		25,902			25,429			24,833			25,070			24,795
Noninterest income (core) and net interest income (denominator)	$	39,125		$	39,039		$	38,123		$	39,244		$	38,749

Efficiency ratio		61.75	%		63.09	%		60.97	%		60.48	%		60.45	%

* In calculating the Corporation's efficiency ratio, which is used by Management to identify the cost of generating each dollar of core revenue, certain non-core income and expense items as well as the amortization of intangible assets, are excluded.

Supplemental Loan and Allowance Information Used to Calculate Non-GAAP Measures

Total Allowance	$	16,817	$	15,857	$	15,935	$	14,959	$	14,296
less: Allowance on acquired loans		28		-		35		22		125
Allowance on originated loans and leases	$	16,789	$	15,857	$	15,900	$	14,937	$	14,171

Total Allowance	$	16,789	$	15,857	$	15,935	$	14,959	$	14,296
Loan mark on acquired loans		15,930		17,108		18,179		19,816		19,708
Total Allowance + Loan mark	$	32,719	$	32,965	$	34,114	$	34,775	$	34,004

Total Portfolio loans and leases	$	2,378,841	$	2,268,988	$	2,228,764	$	2,153,263	$	2,088,532
less: Originated loans and leases		2,015,683		1,883,869		1,804,835		1,692,041		1,571,377
Net acquired loans	$	363,158	$	385,119	$	423,929	$	461,222	$	517,155
add: Loan mark on acquired loans		15,930		17,108		18,179		19,816		19,708
Gross acquired loans (excludes loan mark)	$	379,088	$	402,227	$	442,108	$	481,038	$	536,863
Originated loans and leases		2,015,683		1,883,869		1,804,835		1,692,041		1,571,377
Total Gross portfolio loans and leases	$	2,394,771	$	2,286,096	$	2,246,943	$	2,173,079	$	2,108,240

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