First M&F Corporation
Condensed Consolidated Statements of Condition (Unaudited)
(In thousands, except share data)
	December 31	December 31
	2004	2003
Cash and due from banks	40,376	39,849
Interest bearing bank balances	5,105	2,554
Federal funds sold	3,550	950
Securities available for sale (cost of
$172,808, and $181,375)	175,654	187,577
Loans	844,722	781,321
Allowance for loan losses	11,619	10,891
Net loans	833,103	770,430
Bank premises and equipment	26,497	24,214
Accrued interest receivable	7,126	7,330
Other real estate	2,816	802
Intangible assets	16,761	16,837
Other assets	31,731	27,755
	1,142,719	1,078,298
Non-interest bearing deposits	137,728	123,191
Interest bearing deposits	739,536	697,035
Total deposits	877,264	820,226
Federal funds and repurchase agreements	16,808	15,205
Other borrowings	128,838	122,033
Accrued interest payable	1,728	1,379
Other liabilities	5,625	7,732
Total liabilities	1,030,263	966,575
Noncontrolling joint venture interest	1	1,045
Common stock, 4,506,159 and 4,565,038
shares issued & outstanding	22,531	22,825
Additional paid-in capital	29,587	31,624
Retained earnings	60,113	53,873
Accumulated other comprehensive income	224	2,356
Total equity	112,455	110,678
	1,142,719	1,078,298
First M&F Corporation and Subsidiary
Condensed Consolidated Statements of Income (Unaudited)
(In thousands, except share data)
	Three Months Ended December 31		Year Ended December 31
	2004	2003	2004	2003
Interest and fees on loans	13,406	12,829	50,315	48,587
Taxable investments	1,299	1,391	5,439	6,653
Tax exempt investments	537	587	2,212	2,378
Federal funds sold	13	4	113	192
Interest bearing bank balances	27	15	98	108
Total interest income	15,282	14,826	58,177	57,918
Interest on deposits	3,119	2,818	11,736	13,399
Interest on short-term borrowings	200	152	664	608
Interest on other borrowings	1,331	1,435	4,650	3,850
Total interest expense	4,650	4,405	17,050	17,857
Net interest income	10,632	10,421	41,127	40,061
Provision for possible loan losses	1,272	960	5,351	3,802
Net interest income after loan loss	9,360	9,461	35,776	36,259
Service charges on deposits	1,815	2,132	7,545	7,683
Mortgage banking income	195	209	914	1,160
Agency commission income	948	745	3,822	3,471
Fiduciary and brokerage income	111	98	433	310
Other income	612	343	2,521	1,726
Gains (losses) on AFS investments	-	26	46	7
Total noninterest income	3,681	3,553	15,281	14,357
Salaries and employee benefits	5,421	4,582	20,688	18,473
Net occupancy expense	605	539	2,304	2,129
Equipment and data processing expenses	992	886	3,869	3,696
Intangible asset amortization	14	13	76	115
Noncontrolling joint venture interest expense	(257)	119	(1,256)	389
Other expenses	2,610	2,831	10,057	10,319
Total noninterest expense	9,385	8,970	35,738	35,121
Net income before taxes	3,656	4,044	15,319	15,495
Income taxes	1,016	1,235	4,544	4,603
Net income	2,640	2,809	10,775	10,892
Weighted average shares (basic)	4,515,450	4,571,542	4,542,213	4,608,023
Weighted average shares (diluted)	4,538,721	4,605,810	4,559,111	4,634,641
Basic earnings per share	$0.58	$0.61	$2.37	$2.36
Diluted earnings per share	$0.58	$0.61	$2.36	$2.35
Return on assets (annualized)	0.93%	1.05%	0.97%	1.03%
Return on equity (annualized)	9.34%	10.15%	9.62%	9.82%
Efficiency ratio	64.05%	62.52%	61.82%	62.79%
Net interest margin (annualized, tax-equivalent)	4.25%	4.44%	4.23%	4.32%
Net charge-offs to average loans (annualized)	0.93%	0.55%	0.57%	0.43%
Nonaccrual and 90 day accruing loans to total loans	0.47%	0.77%	0.47%	0.77%