First M&F Corporation
Average Balance Sheets/Yields and Costs (tax-equivalent)
(In thousands with yields and costs annualized)	YTD December, 2004		YTD December, 2003
	Average		Average
	Balance	Yield/Cost	Balance	Yield/Cost
Interest bearing bank balances	5,747	1.70%	7,451	1.45%
Federal funds sold	11,449	0.99%	16,690	1.15%
Taxable investments (amortized cost)	131,105	4.15%	152,447	4.36%
Tax-exempt investments (amortized cost)	53,500	6.59%	54,980	6.90%
Loans held for investment	803,968	6.27%	730,133	6.67%
Total earning assets	1,005,769	5.92%	961,701	6.18%
Non-earning assets	104,420		100,236
Total average assets	1,110,189		1,061,937
NOW & MMDA	280,291	0.68%	291,723	0.96%
Savings	86,758	1.36%	90,305	1.59%
Certificates of Deposit	359,318	2.41%	345,849	2.65%
Short-term borrowings	20,839	3.19%	18,757	3.24%
Other borrowings	118,597	3.92%	87,579	4.40%
Total interest bearing liabilities	865,803	1.97%	834,213	2.14%
Non-interest bearing deposits	123,773		107,493
Non-interest bearing liabilities	8,618		9,323
Capital	111,995		110,908
Total average liabilities and equity	1,110,189		1,061,937
Net interest spread		3.95%		4.04%
Effect of non-interest bearing deposits		0.25%		0.24%
Effect of leverage		0.03%		0.04%
Net interest margin, tax-equivalent		4.23%		4.32%
Less tax equivalent adjustment:
Investments		0.13%		0.14%
Loans		0.01%		0.01%
Reported book net interest margin		4.09%		4.17%