Simmons Reports Third Quarter Net Income of $23.4 Million

PINE BLUFF, Ark., Oct. 19, 2016 (GLOBE NEWSWIRE) -- Simmons First National Corporation (NASDAQ:SFNC) today announced net income available to common shareholders of $23.4 million for the third quarter of 2016, an increase of $1.8 million, or 8.5 percent, compared with the same quarter last year. Diluted earnings per share were $0.76, an increase of $0.04, or 5.6 percent.

Included in third quarter 2016 results were $953,000 of after-tax expenses related to noncore items. Excluding the impact of these items, core earnings were $24.4 million for the third quarter of 2016 and diluted core earnings per share were $0.79.

Year-to-date net income was $69.8 million, an increase of $19.5 million, or 38.7 percent, compared with the same period of 2015. Year-to-date diluted earnings per share were $2.28, an increase of $0.45, or 24.6 percent. Year-to-date core earnings were $72.7 million, or $2.37 diluted core earnings per share.

On September 9, 2016, Simmons First National Corporation completed the acquisition of Citizens National Bank (“Citizens”), headquartered in Athens, Tenn. The systems conversion will take place on October 21, 2016, at which time nine Citizens branches will be merged into Simmons Bank.

“We welcome our newest associates from Citizens National Bank into the Simmons family. We look forward to continued growth in our east Tennessee markets,” said George A. Makris, Jr., chairman and CEO, “Our operating performance continues to produce good results. Our efficiency ratio for the third quarter was 53.8 percent, our return on assets was 1.21 percent, our return on equity was 8.4 percent, and our return on tangible common equity was 13.3 percent. I’m very proud of the accomplishments of our associates.”

Loans

Total loans, including those acquired, were $5.4 billion at September 30, 2016, an increase of $548 million, or 11.3 percent, compared with the same period in 2015. Legacy loans (all loans excluding acquired loans) grew $1.1 billion, or 38.9 percent. On a linked quarter basis, total loan growth was $387 million.

Deposits

At September 30, 2016, total deposits were $6.6 billion, an increase of $528 million, or 8.7 percent, compared with the same period in 2015. Total non-time deposits were $5.3 billion, an increase of $555 million, or 11.7 percent, and comprised 80 percent of total deposits.

Net Interest Income

The company’s net interest income for the third quarter of 2016 was $68.1 million, a decrease of $10.6 million, or 13.5 percent, from the same period of 2015. This decrease was primarily driven by a $10.0 million decline in yield accretion on acquired loans. Included in interest income was the yield accretion recognized on acquired loans of $4.9 million and $14.9 million for the third quarter of 2016 and 2015, respectively. Net interest margin was 4.09 percent for the quarter ended September 30, 2016, a 73 basis-point decline from the same quarter of 2015. The company’s core net interest margin, excluding the accretion, was 3.81 percent for the third quarter of 2016, a 12 basis-point decline from the same quarter of 2015.

Provision for Loan Losses

Provision for loan losses for the third quarter of 2016 was $8.3 million, an increase of $6.7 million compared with the third quarter of 2015. During the quarter, a single charge-off of $5.4 million was recorded in relation to a nonaccrual loan acquired from Metropolitan National Bank. The loan was charged down to the appraised liquidation value of the collateral and the charged-off amount was added back to the allowance for loan losses during the quarter, resulting in the increase in provision. Management will discuss this loan during the company’s earnings conference call tomorrow.

Non-Interest Income

Non-interest income for the third quarter was $36.9 million, an increase of $13.8 million compared with the third quarter of 2015. The elimination of indemnification asset amortization due to the company’s 2015 termination of loss-sharing agreements with the FDIC resulted in a decrease of $9.1 million in losses on FDIC-covered assets in the third quarter compared to the same period in 2015.

The remaining increase in non-interest income was due to additional mortgage lending, trust income, debit and credit card income and investment banking revenue.

Non-Interest Expense

Non-interest expense for the third quarter of 2016 was $62.4 million, a decrease of $5.1 million compared with the third quarter of 2015. Included in the quarter were $1.5 million of merger-related expenses. Salaries and benefits decreased by $5.2 million, or 14.1 percent, compared with the same quarter of 2015.

Asset Quality

All acquired loans are recorded at their discounted net present value; therefore, they are excluded from the computations of the asset quality ratios for the legacy loan portfolio, except for their inclusion in total assets.

At September 30, 2016, the allowance for loan losses for legacy loans was $34.1 million. The company's allowance for loan losses on legacy loans at September 30, 2016 was 0.86 percent of total loans and 91 percent of non-performing loans. In the legacy portfolio, non-performing loans as a percent of total loans were 0.95 percent.

The allowance for loan losses for acquired loans was $1.0 million and the acquired loan discount credit mark was $42.9 million. The allowances for loan losses and credit marks provide a total of $77.9 million of coverage, which equates to a total coverage ratio of 1.4 percent of gross loans. The ratio of credit mark and related allowance to acquired loans was 2.9 percent.

The 2016 year-to-date net charge-off ratio, excluding credit cards, was 44 basis points, and the year-to-date credit card charge-off ratio was 1.22 percent.

Capital

At September 30, 2016, common stockholders' equity was $1.1 billion, book value per share was $36.69 and tangible book value per share was $23.80. The company's ratio of stockholders' equity to total assets was 13.94 percent and its ratio of tangible common equity to tangible assets was 9.5 percent.

Simmons First National Corporation

Simmons First National Corporation is a financial holding company, headquartered in Pine Bluff, Ark., with total assets of $8.2 billion conducting financial operations throughout Arkansas, Kansas, Missouri and Tennessee. The company through its subsidiaries offers comprehensive financial solutions delivered with a client-centric approach. The company’s common stock trades on the NASDAQ Global Select Market under the symbol “SFNC.”

Conference Call

Management will conduct a conference call to review this information beginning at 3 p.m. CDT on Thursday, October 20, 2016. Interested persons can listen to this call by dialing toll-free 1-866-298-7926 (United States and Canada only) and asking for the Simmons First National Corporation conference call, conference ID 87389332. In addition, the call will be available live or in recorded version on the company’s website at www.simmonsbank.com.

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with generally accepted accounting principles (GAAP). The company’s management uses these non-GAAP financial measures in their analysis of the company’s performance. These measures typically adjust GAAP performance measures to include the tax benefit associated with revenue items that are tax-exempt, as well as adjust income available to common shareholders for certain significant activities or nonrecurring transactions. Since the presentation of these GAAP performance measures and their impact differ between companies, management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the company’s core businesses. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release.

Forward-Looking Statements

Statements in this news release that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any forward-looking statement speaks only as of the date of this news release, and we undertake no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date of this news release. By nature, forward-looking statements involve inherent risk and uncertainties. Various factors, including, but not limited to, economic conditions, credit quality, interest rates, loan demand and changes in the assumptions used in making the forward-looking statements, could cause actual results to differ materially from those contemplated by the forward-looking statements. Additional information on factors that might affect Simmons First National Corporation’s financial results is included in its Form 10-K filing with the Securities and Exchange Commission.



Simmons First National Corporation													SFNC
Consolidated End of Period Balance Sheets
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands)
ASSETS
Cash and non-interest bearing balances due from banks	$	112,572		$	96,037		$	118,468		$	97,656		$	106,678
Interest bearing balances due from banks		324,951			151,570			100,593			154,606			284,645
Federal funds sold		17,000			3,000			4,000			-			9,675
Cash and cash equivalents		454,523			250,607			223,061			252,262			400,998
Interest bearing balances due from banks - time		4,393			9,781			11,188			14,107			16,504
Investment securities - held-to-maturity		496,594			632,154			674,502			705,373			776,294
Investment securities - available-for-sale		1,024,206			821,372			857,673			821,407			703,347
Mortgage loans held for sale		28,069			30,529			24,563			30,265			15,556
Assets held in trading accounts		2,969			7,321			7,074			4,422			6,292
Loans:
Legacy loans		3,943,089			3,725,422			3,472,691			3,246,454			2,839,278
Allowance for loan losses		(34,094	)		(33,523	)		(32,681	)		(31,351	)		(30,380	)
Loans acquired
(net of discount and allowance)		1,458,198			1,288,435			1,457,370			1,672,901			2,013,816
Net loans		5,367,193			4,980,334			4,897,380			4,888,004			4,822,714
Premises and equipment		192,523			183,362			192,327			193,618			190,182
Premises held for sale		6,732			6,167			2,364			923			923
Foreclosed assets		30,396			30,529			41,126			44,820			48,073
Interest receivable		27,390			24,150			23,545			25,793			26,873
Bank owned life insurance		138,298			130,943			130,092			131,536			118,922
Goodwill		348,769			327,686			327,686			327,686			314,344
Other intangible assets		54,268			50,329			51,783			53,237			44,904
Other assets		50,669			48,955			72,589			66,205			73,768
Total assets	$	8,226,992		$	7,534,219		$	7,536,953		$	7,559,658		$	7,559,694

LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Non-interest bearing transaction accounts	$	1,473,420		$	1,283,426		$	1,274,816		$	1,280,234		$	1,212,724
Interest bearing transaction accounts and savings deposits		3,815,939			3,538,808			3,524,808			3,485,845			3,521,840
Time deposits less than $100,000		653,105			643,081			674,915			694,262			673,651
Time deposits greater than $100,000		674,917			562,888			605,236			625,755			681,585
Total deposits		6,617,381			6,028,203			6,079,775			6,086,096			6,089,800
Federal funds purchased and securities sold
under agreements to repurchase		124,289			103,038			97,429			99,398			110,437
Other borrowings		215,276			191,827			176,829			162,289			173,426
Subordinated debentures		60,290			60,184			60,077			60,570			61,906
Accrued interest and other liabilities		62,615			60,256			50,859			74,450			78,684
Total liabilities		7,079,851			6,443,508			6,464,969			6,482,803			6,514,253

Stockholders' equity:
Preferred stock		-			-			-			30,852			30,852
Common stock		313			304			303			303			299
Surplus		710,132			668,306			665,850			662,378			642,400
Undivided profits		434,579			417,863			402,265			385,987			369,172
Accumulated other comprehensive income (loss):
Unrealized appreciation (depreciation) on AFS securities		2,117			4,238			3,566			(2,665	)		2,718
Total stockholders' equity		1,147,141			1,090,711			1,071,984			1,076,855			1,045,441
Total liabilities and stockholders' equity	$	8,226,992		$	7,534,219		$	7,536,953		$	7,559,658		$	7,559,694


Simmons First National Corporation									SFNC
Consolidated Statements of Income - Quarter-to-Date
For the Quarters Ended	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
(Unaudited)		2016		2016		2016		2015		2015
($ in thousands, except per share data)
INTEREST INCOME
Loans	$	65,078	$	63,009	$	66,678	$	70,511	$	76,432
Federal funds sold		19		17		10		10		15
Investment securities		7,774		8,499		8,506		8,350		8,335
Mortgage loans held for sale		299		295		278		237		291
Assets held in trading accounts		4		3		6		6		4
Interest bearing balances due from banks		244		77		144		225		122
TOTAL INTEREST INCOME		73,418		71,900		75,622		79,339		85,199
INTEREST EXPENSE
Time deposits		1,767		1,741		1,636		1,858		1,936
Other deposits		1,965		2,035		2,018		2,105		2,222
Federal funds purchased and securities
sold under agreements to repurchase		59		59		65		60		55
Other borrowings		1,048		938		1,128		1,084		1,812
Subordinated debentures		516		544		543		481		498
TOTAL INTEREST EXPENSE		5,355		5,317		5,390		5,588		6,523
NET INTEREST INCOME		68,063		66,583		70,232		73,751		78,676
Provision for loan losses		8,294		4,616		2,823		3,230		1,615
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES		59,769		61,967		67,409		70,521		77,061
NON-INTEREST INCOME
Trust income		3,873		3,656		3,631		2,725		2,215
Service charges on deposit accounts		8,771		7,661		7,316		8,104		8,488
Other service charges and fees		1,840		1,571		1,909		1,654		2,672
Mortgage lending income		5,760		5,877		3,792		2,298		3,446
Investment banking income		1,131		1,181		687		784		663
Debit and credit card fees		7,825		7,688		7,200		7,647		6,879
Bank owned life insurance income		606		826		997		614		748
Gain on sale of securities, net		315		3,759		329		305		40
Net (loss) gain on assets covered by FDIC loss-share agreements		-		-		-		-		(9,085	)
Other income		6,755		4,669		3,642		4,518		7,006
TOTAL NON-INTEREST INCOME		36,876		36,888		29,503		28,649		23,072
NON-INTEREST EXPENSE
Salaries and employee benefits		31,784		33,103		34,773		39,523		37,000
Occupancy expense, net		4,690		4,990		4,471		3,418		4,812
Furniture and equipment expense		4,272		4,077		3,947		3,731		4,202
Other real estate and foreclosure expense		1,849		967		966		1,167		2,297
Deposit insurance		1,136		1,096		1,148		1,222		1,013
Merger-related costs		1,524		372		93		1,237		857
Other operating expenses		17,179		19,532		16,391		17,508		17,314
TOTAL NON-INTEREST EXPENSE		62,434		64,137		61,789		67,806		67,495
NET INCOME BEFORE INCOME TAXES		34,211		34,718		35,123		31,364		32,638
Provision for income taxes		10,782		11,809		11,618		7,505		10,963
NET INCOME		23,429		22,909		23,505		23,859		21,675
Preferred stock dividends		-		-		24		77		77
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS	$	23,429	$	22,909	$	23,481	$	23,782	$	21,598
BASIC EARNINGS PER SHARE	$	0.77	$	0.75	$	0.77	$	0.79	$	0.72
DILUTED EARNINGS PER SHARE	$	0.76	$	0.75	$	0.77	$	0.78	$	0.72


Simmons First National Corporation									SFNC
Consolidated Core Earnings - Quarter-to-Date (non-GAAP) (1)
For the Quarters Ended	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
(Unaudited)		2016		2016		2016		2015		2015
($ in thousands, except per share data)
INTEREST INCOME
Loans	$	65,078	$	63,009	$	66,678	$	70,511	$	76,432
Federal funds sold		19		17		10		10		15
Investment securities		7,774		8,499		8,506		8,350		8,335
Mortgage loans held for sale		299		295		278		237		291
Assets held in trading accounts		4		3		6		6		4
Interest bearing balances due from banks		244		77		144		225		122
TOTAL INTEREST INCOME		73,418		71,900		75,622		79,339		85,199
INTEREST EXPENSE
Time deposits		1,767		1,741		1,636		1,858		1,936
Other deposits		1,965		2,035		2,018		2,105		2,222
Federal funds purchased and securities
sold under agreements to repurchase		59		59		65		60		55
Other borrowings		1,048		938		1,128		1,084		1,812
Subordinated debentures		516		544		543		481		498
TOTAL INTEREST EXPENSE		5,355		5,317		5,390		5,588		6,523
NET INTEREST INCOME		68,063		66,583		70,232		73,751		78,676
Provision for loan losses		8,294		4,616		2,823		3,230		1,615
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES		59,769		61,967		67,409		70,521		77,061
NON-INTEREST INCOME
Trust income		3,873		3,656		3,631		2,725		2,215
Service charges on deposit accounts		8,771		7,661		7,316		8,104		8,488
Other service charges and fees		1,840		1,571		1,909		1,654		2,672
Mortgage lending income		5,760		5,877		3,792		2,298		3,446
Investment banking income		1,131		1,181		687		784		663
Debit and credit card fees		7,825		7,688		7,200		7,647		6,879
Bank owned life insurance income		606		826		997		614		748
Gain on sale of securities, net		315		3,759		329		305		40
Net (loss) gain on assets covered by FDIC loss-share agreements		-		-		-		-		(1,609	)
Other income		6,580		4,669		3,048		4,518		4,737
TOTAL NON-INTEREST INCOME		36,701		36,888		28,909		28,649		28,279
NON-INTEREST EXPENSE
Salaries and employee benefits		31,784		33,103		34,773		37,314		36,919
Occupancy expense, net		4,595		4,945		4,461		3,358		4,680
Furniture and equipment expense		4,270		4,077		3,947		3,731		4,172
Other real estate and foreclosure expense		1,787		967		966		1,167		2,297
Deposit insurance		1,136		1,096		1,148		1,222		1,013
Other operating expenses		17,120		16,358		16,387		17,508		17,094
TOTAL NON-INTEREST EXPENSE		60,692		60,546		61,682		64,300		66,175
CORE EARNINGS BEFORE INCOME TAXES (non-GAAP) (1)		35,778		38,309		34,636		34,870		39,165
Provision for income taxes		11,396		13,218		11,427		8,880		13,523
CORE EARNINGS (non-GAAP) (1)		24,382		25,091		23,209		25,990		25,642
Preferred stock dividends		-		-		24		77		77
CORE EARNINGS AVAILABLE TO COMMON S/H (non-GAAP) (1)	$	24,382	$	25,091	$	23,185	$	25,913	$	25,565
BASIC CORE EARNINGS PER SHARE (non-GAAP) (1)	$	0.80	$	0.83	$	0.76	$	0.86	$	0.85
DILUTED CORE EARNINGS PER SHARE (non-GAAP) (1)	$	0.79	$	0.82	$	0.76	$	0.86	$	0.85

(1) Calculations of core earnings and core earnings per share and the reconciliations to GAAP are included in the schedules accompanying this release.


Simmons First National Corporation													SFNC
Consolidated Risk-Based Capital
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands)
Tier 1 capital
Stockholders' equity	$	1,147,141		$	1,090,711		$	1,071,984		$	1,076,855		$	1,045,441
Trust preferred securities, net allowable		60,290			60,184			60,077			60,570			61,906
Disallowed intangible assets, net of deferred tax		(354,582	)		(334,395	)		(335,166	)		(331,931	)		(314,735	)
Unrealized loss (gain) on AFS securities		(2,117	)		(4,238	)		(3,566	)		2,665			(2,718	)
Total Tier 1 capital		850,732			812,262			793,329			808,159			789,894

Tier 2 capital
Qualifying allowance for loan losses and
reserve for unfunded commitments		38,050			37,240			36,398			35,068			34,097
Total Tier 2 capital		38,050			37,240			36,398			35,068			34,097
Total risk-based capital	$	888,782		$	849,502		$	829,727		$	843,227		$	823,991

Common equity
Tier 1 capital	$	850,732		$	812,262		$	793,329		$	808,159		$	789,894
Less: Non-cumulative preferred stock		-			-			-			(30,852	)		(30,852	)
Less: Trust preferred securities		(60,290	)		(60,184	)		(60,077	)		(60,570	)		(61,906	)
Total common equity	$	790,442		$	752,078		$	733,252		$	716,737		$	697,136

Risk weighted assets	$	5,724,052		$	5,343,355		$	5,293,395		$	5,044,453		$	4,986,641

Adjusted average assets for leverage ratio	$	7,355,702		$	7,185,633		$	7,167,839		$	7,218,559		$	7,293,113

Ratios at end of quarter
Equity to assets		13.94	%		14.48	%		14.22	%		14.24	%		13.83	%
Tangible common equity to tangible assets (1)		9.51	%		9.96	%		9.68	%		9.26	%		9.10	%
Common equity Tier 1 ratio (CET1)		13.81	%		14.08	%		13.85	%		14.21	%		13.98	%
Tier 1 leverage ratio		11.57	%		11.30	%		11.07	%		11.20	%		10.83	%
Tier 1 risk-based capital ratio		14.86	%		15.20	%		14.99	%		16.02	%		15.84	%
Total risk-based capital ratio		15.53	%		15.90	%		15.67	%		16.72	%		16.52	%

(1) Calculations of tangible common equity to tangible assets and the reconciliations to GAAP are included in the schedules accompanying this release.


Simmons First National Corporation									SFNC
Consolidated Loans and Investments
For the Quarters Ended	Sep 30		Jun 30		Mar 31		Dec 31		Sep 30
(Unaudited)		2016		2016		2016		2015		2015
($ in thousands)
Legacy Loan Portfolio - End of Period⁽¹⁾
Consumer
Credit cards	$	175,032	$	171,468	$	167,803	$	177,288	$	171,701
Other consumer		275,947		248,018		227,480		208,380		182,472
Total consumer		450,979		419,486		395,283		385,668		354,173
Real Estate
Construction		304,082		330,666		300,042		279,740		253,761
Single-family residential		841,958		785,289		746,754		696,180		623,089
Other commercial		1,521,132		1,414,663		1,327,372		1,229,072		1,037,559
Total real estate		2,667,172		2,530,618		2,374,168		2,204,992		1,914,409
Commercial
Commercial		607,738		577,771		551,695		500,116		394,422
Agricultural		203,529		187,047		143,033		148,563		170,257
Total commercial		811,267		764,818		694,728		648,679		564,679
Other		13,671		10,500		8,512		7,115		6,017
Total Loans	$	3,943,089	$	3,725,422	$	3,472,691	$	3,246,454	$	2,839,278

(1) Excludes all acquired loans.

Investment Securities - End of Period
Held-to-Maturity
U.S. Government agencies	$	80,849	$	199,505	$	223,484	$	237,139	$	285,071
Mortgage-backed securities		21,454		22,612		23,734		24,774		25,913
State and political subdivisions		391,495		407,273		424,586		440,676		464,245
Other securities		2,796		2,764		2,698		2,784		1,065
Total held-to-maturity		496,594		632,154		674,502		705,373		776,294
Available-for-Sale
U.S. Treasury	$	63,985	$	4,305	$	4,302	$	3,994	$	4,008
U.S. Government agencies		148,781		58,113		78,308		120,237		153,576
Mortgage-backed securities		699,748		652,425		722,982		647,425		502,344
State and political subdivisions		67,019		64,836		11,260		9,874		10,976
FHLB stock		11,235		8,781		7,838		7,823		14,275
Other securities		33,438		32,912		32,983		32,054		18,168
Total available-for-sale		1,024,206		821,372		857,673		821,407		703,347
Total investment securities	$	1,520,800	$	1,453,526	$	1,532,175	$	1,526,780	$	1,479,641
Fair value - HTM investment securities	$	508,910	$	647,293	$	686,835	$	713,371	$	785,030

Investment Securities - QTD Average
Taxable securities	$	963,150	$	1,059,802	$	1,067,302	$	1,043,268	$	1,088,597
Tax exempt securities		466,782		443,492		439,370		463,631		478,436
Total investment securities - QTD average	$	1,429,932	$	1,503,294	$	1,506,672	$	1,506,899	$	1,567,033


Simmons First National Corporation													SFNC
Consolidated Loans and Credit Coverage
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands)
LOANS
Legacy loans	$	3,943,089		$	3,725,422		$	3,472,691		$	3,246,454		$	2,839,278
Allowance for loan losses (legacy loans)		(34,094	)		(33,523	)		(32,681	)		(31,351	)		(30,380	)
Legacy loans (net of allowance)		3,908,995			3,691,899			3,440,010			3,215,103			2,808,898
Loans acquired		1,502,051			1,327,683			1,503,482			1,729,557			2,085,211
Credit discount		(42,899	)		(38,294	)		(45,158	)		(55,702	)		(70,441	)
Allowance for loan losses (loans acquired)		(954	)		(954	)		(954	)		(954	)		(954	)
Loans acquired (net of discount and allowance)		1,458,198			1,288,435			1,457,370			1,672,901			2,013,816
Net loans	$	5,367,193		$	4,980,334		$	4,897,380		$	4,888,004		$	4,822,714


Loan Coverage Ratios
Allowance for loan losses to legacy loans		0.86	%		0.90	%		0.94	%		0.97	%		1.07	%

Discount for credit losses and allowance on loans acquired
to total loans acquired plus discount for credit losses
and allowance on loans acquired (non-GAAP) (1)		2.92	%		2.96	%		3.07	%		3.28	%		3.42	%

Total allowance and credit coverage (non-GAAP) (1)		1.43	%		1.44	%		1.58	%		1.77	%		2.07	%

(1) Calculations of the non-GAAP loan coverage ratios and the reconciliations to GAAP are included in the schedules accompanying this release.


Simmons First National Corporation													SFNC
Consolidated Allowance and Asset Quality
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands)
Allowance for Loan Losses (Legacy Loans)
Balance, beginning of quarter	$	33,523		$	32,681		$	31,351		$	30,380		$	30,567
Loans charged off
Credit cards		699			702			859			757			763
Other consumer		600			489			393			489			597
Real estate		6,297			824			229			845			109
Commercial		284			2,283			476			654			516
Total loans charged off		7,880			4,298			1,957			2,745			1,985

Recoveries of loans previously charged off
Credit cards		199			253			242			223			213
Other consumer		106			149			103			140			78
Real estate		55			111			112			120			25
Commercial		12			318			7			3			-
Total recoveries		372			831			464			486			316
Net loans charged off		7,508			3,467			1,493			2,259			1,669
Provision for loan losses		8,079			4,309			2,823			3,230			1,482
Balance, end of quarter	$	34,094		$	33,523		$	32,681		$	31,351		$	30,380

Non-performing assets^{(1) (2)}
Non-performing loans
Nonaccrual loans		37,392			43,305			34,244			17,714			15,305
Loans past due 90 days or more		144			227			881			1,191			1,506
Total non-performing loans		37,536			43,532			35,125			18,905			16,811
Other non-performing assets
Foreclosed assets held for sale ⁽²⁾		30,396			30,529			41,126			44,820			48,073
Other non-performing assets		621			519			256			211			172
Total other non-performing assets		31,017			31,048			41,382			45,031			48,245
Total non-performing assets	$	68,553		$	74,580		$	76,507		$	63,936		$	65,056
Performing TDRs (troubled debt restructurings)	$	13,604		$	10,887		$	10,759		$	3,031		$	1,955

Ratios^{(1) (2)}
Allowance for loan losses to total loans		0.86	%		0.90	%		0.94	%		0.97	%		1.07	%
Allowance for loan losses to non-performing loans		91	%		77	%		93	%		166	%		181	%
Non-performing loans to total loans		0.95	%		1.17	%		1.01	%		0.58	%		0.59	%
Non-performing assets (including performing TDRs)
to total assets		1.00	%		1.13	%		1.16	%		0.89	%		0.89	%
Non-performing assets to total assets		0.83	%		0.99	%		1.02	%		0.85	%		0.86	%
Annualized net charge offs to total loans		0.82	%		0.39	%		0.18	%		0.31	%		0.24	%
Annualized net credit card charge offs to
total credit card loans		1.14	%		1.07	%		1.46	%		1.22	%		1.26	%
Annualized net charge offs to total loans
(excluding credit cards)		0.81	%		0.36	%		0.11	%		0.25	%		0.17	%

(1) Excludes all acquired loans, except for their inclusion in total assets.
(2) Includes acquired foreclosed assets held for sale.


Simmons First National Corporation																			SFNC
Consolidated - Average Balance Sheet and Net Interest Income Analysis
For the Quarters Ended
(Unaudited)
	Three Months Ended Sep 2016							Three Months Ended Jun 2016							Three Months Ended Sep 2015
($ in thousands)	Average Balance		Income/ Expense		Yield/ Rate			Average Balance		Income/ Expense		Yield/ Rate			Average Balance		Income/ Expense		Yield/ Rate
ASSETS
Earning assets:
Interest bearing balances due from banks	$	246,818	$	244		0.39	%	$	126,114	$	77		0.25	%	$	206,467	$	122		0.23	%
Federal funds sold		6,431		19		1.18	%		2,570		17		2.66	%		19,086		15		0.31	%
Investment securities - taxable		1,038,437		4,445		1.70	%		1,087,179		5,273		1.95	%		1,209,985		4,901		1.61	%
Investment securities - non-taxable (FTE)		391,495		5,468		5.56	%		416,115		5,300		5.12	%		357,048		5,582		6.20	%
Mortgage loans held for sale		31,256		299		3.81	%		28,844		295		4.11	%		26,379		291		4.38	%
Assets held in trading accounts		5,108		4		0.31	%		6,932		3		0.17	%		6,401		4		0.25	%
Loans, including acquired loans		5,105,474		65,120		5.07	%		4,957,888		63,041		5.11	%		4,835,068		76,456		6.27	%
Total interest earning assets (FTE)		6,825,019		75,599		4.41	%		6,625,642		74,006		4.49	%		6,660,434		87,371		5.20	%
Non-earning assets		878,818							896,491							947,333
Total assets	$	7,703,837						$	7,522,133						$	7,607,767

LIABILITIES AND STOCKHOLDERS' EQUITY
Interest bearing liabilities:
Interest bearing transaction and
savings accounts	$	3,645,414	$	1,965		0.21	%	$	3,526,278	$	2,035		0.23	%	$	3,600,930	$	2,222		0.24	%
Time deposits		1,213,895		1,767		0.58	%		1,242,805		1,741		0.56	%		1,397,928		1,936		0.55	%
Total interest bearing deposits		4,859,309		3,732		0.31	%		4,769,083		3,776		0.32	%		4,998,858		4,158		0.33	%
Federal funds purchased and securities
sold under agreement to repurchase		105,576		59		0.22	%		104,668		59		0.23	%		109,311		55		0.20	%
Other borrowings		192,453		1,048		2.17	%		172,268		938		2.19	%		197,832		1,812		3.63	%
Subordinated debentures		60,238		516		3.41	%		60,132		544		3.64	%		61,851		498		3.19	%
Total interest bearing liabilities		5,217,576		5,355		0.41	%		5,106,151		5,317		0.42	%		5,367,852		6,523		0.48	%
Non-interest bearing liabilities:
Non-interest bearing deposits		1,322,818							1,271,878							1,121,078
Other liabilities		49,191							57,486							74,696
Total liabilities		6,589,585							6,435,515							6,563,626
Stockholders' equity		1,114,252							1,086,618							1,044,141
Total liabilities and stockholders' equity	$	7,703,837						$	7,522,133						$	7,607,767
Net interest income (FTE)			$	70,244						$	68,689						$	80,848
Net interest spread (FTE)						4.00	%						4.07	%						4.72	%
Net interest margin (FTE) - quarter-to-date						4.09	%						4.17	%						4.82	%

Net interest margin (FTE) - year-to-date						4.22	%						4.29	%						4.58	%

Core net interest margin (FTE) - quarter-to-date (1)						3.81	%						3.88	%						3.93	%
Core loan yield (FTE) - quarter-to-date (1)						4.69	%						4.73	%						5.05	%

Core net interest margin (FTE) - year-to-date (1)						3.87	%						3.90	%						3.82	%
Core loan yield (FTE) - year-to-date (1)						4.75	%						4.77	%						5.07	%

(1) Calculations of core net interest margin and core loan yield and the reconciliations to GAAP are included in the schedules accompanying this release.


Simmons First National Corporation													SFNC
Consolidated - Selected Financial Data
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands, except share data)
QUARTER-TO-DATE
Financial Highlights - GAAP
Net Income	$	23,429		$	22,909		$	23,481		$	23,782		$	21,598
Diluted earnings per share		0.76			0.75			0.77			0.78			0.72
Return on average assets		1.21	%		1.22	%		1.26	%		1.25	%		1.13	%
Return on average common equity		8.36	%		8.48	%		8.87	%		9.15	%		8.46	%
Return on tangible common equity		13.26	%		13.52	%		14.30	%		14.62	%		13.58	%
Net interest margin (FTE)		4.09	%		4.17	%		4.41	%		4.53	%		4.82	%
FTE adjustment		2,181			2,105			2,084			2,185			2,172
Amortization of intangibles		1,503			1,451			1,455			1,337			1,265
Amortization of intangibles, net of taxes		913			882			884			813			769
Average diluted shares outstanding		30,843,714			30,452,285			30,481,604			30,301,190			30,046,062
Cash dividends declared per common share		0.24			0.24			0.24			0.23			0.23
Financial Highlights - Core (non-GAAP)
Core earnings (excludes nonrecurring items) (1)	$	24,382		$	25,091		$	23,185		$	25,913		$	25,565
Diluted core earnings per share (1)		0.79			0.82			0.76			0.86			0.85
Core net interest margin (FTE) (2)		3.81	%		3.88	%		3.92	%		3.87	%		3.93	%
Efficiency ratio (1)		53.83	%		57.09	%		58.73	%		59.26	%		57.40	%
Core return on average assets (1)		1.26	%		1.34	%		1.24	%		1.36	%		1.33	%
Core return on average common equity (1)		8.71	%		9.29	%		8.75	%		9.96	%		10.01	%
Core return on tangible common equity (1)		13.78	%		14.76	%		14.13	%		15.89	%		15.99	%
YEAR-TO-DATE
Financial Highlights - GAAP
Net Income	$	69,819		$	46,390		$	23,481		$	74,107		$	50,325
Diluted earnings per share		2.28			1.52			0.77			2.63			1.83
Return on average assets		1.23	%		1.24	%		1.26	%		1.03	%		0.96	%
Return on average common equity		8.57	%		8.67	%		8.87	%		7.90	%		7.41	%
Return on tangible common equity		13.68	%		13.90	%		14.30	%		12.53	%		11.73	%
Net interest margin (FTE)		4.22	%		4.29	%		4.41	%		4.55	%		4.58	%
FTE adjustment		6,370			4,189			2,084			8,517			6,332
Amortization of intangibles		4,409			2,906			1,455			4,889			3,552
Amortization of intangibles, net of taxes		2,679			1,766			884			2,972			2,159
Average diluted shares outstanding		30,656,882			30,438,939			30,481,604			28,209,661			27,497,813
Cash dividends declared per common share		0.72			0.48			0.24			0.92			0.69
Financial Highlights - Core (non-GAAP)
Core earnings (excludes nonrecurring items) (1)	$	72,658		$	48,276		$	23,185		$	89,622		$	63,709
Diluted core earnings per share (1)		2.37			1.59			0.76			3.18			2.32
Core net interest margin (FTE) (2)		3.87	%		3.90	%		3.92	%		3.82	%		3.82	%
Efficiency ratio (1)		56.50	%		57.91	%		58.73	%		59.01	%		58.91	%
Core return on average assets (1)		1.28	%		1.29	%		1.24	%		1.25	%		1.21	%
Core return on average common equity (1)		8.91	%		9.02	%		8.75	%		9.55	%		9.39	%
Core return on tangible common equity (1)		14.22	%		14.45	%		14.13	%		15.05	%		14.73	%
END OF PERIOD
Book value per share	$	36.69		$	35.86		$	35.35		$	34.55		$	33.89
Tangible book value per share		23.80			23.43			22.84			21.97			21.89
Shares outstanding		31,267,614			30,415,980			30,324,499			30,278,432			29,939,698
Full-time equivalent employees		1,985			1,880			1,931			1,946			1,967
Total number of ATM's		186			174			185			182			183
Total number of financial centers		150			140			149			149			149

(1) Core earnings exclude nonrecurring items, which is a non-GAAP measurement. Reconciliations to GAAP are included in the schedules accompanying this release.
(2) Excludes accretable yield adjustment on loans, which is a non-GAAP measurement. Reconciliations to GAAP are included in the schedules accompanying this release.


Simmons First National Corporation													SFNC
Consolidated - Reconciliation of Core Earnings (non-GAAP)
For the Quarters Ended	Sep 30			Jun 30			Mar 31			Dec 31			Sep 30
(Unaudited)		2016			2016			2016			2015			2015
($ in thousands, except per share data)
QUARTER-TO-DATE
Net Income	$	23,429		$	22,909		$	23,481		$	23,782		$	21,598
Nonrecurring items
Accelerated vesting on retirement agreements		-			-			-			2,209			-
Gain on sale of banking operations		-			-			-			-			(2,110	)
Gain from early retirement of trust preferred securities		-			-			(594	)		-			-
Loss on FDIC loss-share termination		-			-			-			-			7,476
Merger-related costs		1,524			372			93			1,237			857
Branch right-sizing		43			3,219			14			60			304
Tax effect ⁽¹⁾		(614	)		(1,409	)		191			(1,375	)		(2,560	)
Net nonrecurring items		953			2,182			(296	)		2,131			3,967
Core earnings (non-GAAP)	$	24,382		$	25,091		$	23,185		$	25,913		$	25,565

Diluted earnings per share	$	0.76		$	0.75		$	0.77		$	0.78		$	0.72
Nonrecurring items
Accelerated vesting on retirement agreements		-			-			-			0.08			-
Gain on sale of banking operations		-			-			-			-			(0.07	)
Gain from early retirement of trust preferred securities		-			-			(0.02	)		-			-
Loss on FDIC loss-share termination		-			-			-			-			0.25
Merger-related costs		0.05			0.01			-			0.05			0.03
Branch right-sizing		-			0.11			-			-			0.01
Tax effect ⁽¹⁾		(0.02	)		(0.05	)		0.01			(0.05	)		(0.09	)
Net nonrecurring items		0.03			0.07			(0.01	)		0.08			0.13
Core earnings (non-GAAP)	$	0.79		$	0.82		$	0.76		$	0.86		$	0.85

YEAR-TO-DATE
Net Income	$	69,819		$	46,390		$	23,481		$	74,107		$	50,325
Nonrecurring items
Accelerated vesting on retirement agreements		-			-			-			2,209			-
Gain on sale of banking operations		-			-			-			(2,110	)		(2,110	)
Gain from early retirement of trust preferred securities		(594	)		(594	)		(594	)		-			-
Loss on FDIC loss-share termination		-			-			-			7,476			7,476
Merger-related costs		1,989			465			93			13,760			12,523
Branch right-sizing		3,276			3,233			14			3,144			3,084
Tax effect ⁽¹⁾		(1,832	)		(1,218	)		191			(8,964	)		(7,589	)
Net nonrecurring items		2,839			1,886			(296	)		15,515			13,384
Core earnings (non-GAAP)	$	72,658		$	48,276		$	23,185		$	89,622		$	63,709

Diluted earnings per share	$	2.28		$	1.52		$	0.77		$	2.63		$	1.83
Nonrecurring items
Accelerated vesting on retirement agreements		-			-			-			0.08			-
Gain on sale of banking operations		-			-			-			(0.07	)		(0.07	)
Gain from early retirement of trust preferred securities		(0.02	)		(0.02	)		(0.02	)		-			-
Loss on FDIC loss-share termination		-			-			-			0.27			0.27
Merger-related costs		0.06			0.02			-			0.49			0.46
Branch right-sizing		0.11			0.11			-			0.11			0.11
Tax effect ⁽¹⁾		(0.06	)		(0.04	)		0.01			(0.33	)		(0.28	)
Net nonrecurring items		0.09			0.07			(0.01	)		0.55			0.49
Core earnings (non-GAAP)	$	2.37		$	1.59		$	0.76		$	3.18		$	2.32

(1) Effective tax rate of 39.225%, adjusted for non-deductible merger-related costs.


Simmons First National Corporation													SFNC
Reconciliation Of Non-GAAP Financial Measures - End of Period
For the Quarters Ended
(Unaudited)	Sept 30			Jun 30			Mar 31			Dec 31			Sept 30
		2016			2016			2016			2015			2015
($ in thousands, except per share data)

Calculation of Tangible Common Equity and the Ratio of Tangible Common Equity to Tangible Assets

Total stockholders' equity	$	1,147,141		$	1,090,711		$	1,071,984		$	1,076,855		$	1,045,441
Preferred stock		-			-			-			(30,852	)		(30,852	)
Total common stockholders' equity		1,147,141			1,090,711			1,071,984			1,046,003			1,014,589
Intangible assets:
Goodwill		(348,769	)		(327,686	)		(327,686	)		(327,686	)		(314,344	)
Other intangible assets		(54,268	)		(50,329	)		(51,783	)		(53,237	)		(44,904	)
Total intangibles		(403,037	)		(378,015	)		(379,469	)		(380,923	)		(359,248	)
Tangible common stockholders' equity	$	744,104		$	712,696		$	692,515		$	665,080		$	655,341

Total assets	$	8,226,992		$	7,534,219		$	7,536,953		$	7,559,658		$	7,559,694
Intangible assets:
Goodwill		(348,769	)		(327,686	)		(327,686	)		(327,686	)		(314,344	)
Other intangible assets		(54,268	)		(50,329	)		(51,783	)		(53,237	)		(44,904	)
Total intangibles		(403,037	)		(378,015	)		(379,469	)		(380,923	)		(359,248	)
Tangible assets	$	7,823,955		$	7,156,204		$	7,157,484		$	7,178,735		$	7,200,446

Ratio of equity to assets		13.94	%		14.48	%		14.22	%		14.24	%		13.83	%
Ratio of tangible common equity to tangible assets		9.51	%		9.96	%		9.68	%		9.26	%		9.10	%

Calculation of Discount for credit losses and allowance on loans acquired to total loans acquired plus discount for credit losses and allowance on loans acquired

Credit discount on acquired loans	$	42,899		$	38,294		$	45,158		$	55,702		$	70,441
Allowance for loan losses on acquired loans		954			954			954			954			954
Total credit discount and ALLL on acquired loans	$	43,853		$	39,248		$	46,112		$	56,656		$	71,395
Total loans acquired	$	1,502,051		$	1,327,683		$	1,503,482		$	1,729,557		$	2,085,211
Discount and ALLL on acquired loans to acquired loans		2.92	%		2.96	%		3.07	%		3.28	%		3.42	%

Calculation of Total Allowance and Credit Coverage

Allowance for loan losses	$	34,094		$	33,523		$	32,681		$	31,351		$	30,380
Total credit discount and ALLL on acquired loans		43,853			39,248			46,112			56,656			71,395
Total allowance and credit discount	$	77,947		$	72,771		$	78,793		$	88,007		$	101,775
Total loans	$	5,445,140		$	5,053,105		$	4,976,173		$	4,976,011		$	4,924,489
Total allowance and credit coverage		1.43	%		1.44	%		1.58	%		1.77	%		2.07	%

Calculation of Tangible Book Value per Share

Total common stockholders' equity	$	1,147,141		$	1,090,711		$	1,071,984		$	1,046,003		$	1,014,589
Intangible assets:
Goodwill		(348,769	)		(327,686	)		(327,686	)		(327,686	)		(314,344	)
Other intangible assets		(54,268	)		(50,329	)		(51,783	)		(53,237	)		(44,904	)
Total intangibles		(403,037	)		(378,015	)		(379,469	)		(380,923	)		(359,248	)
Tangible common stockholders' equity	$	744,104		$	712,696		$	692,515		$	665,080		$	655,341
Shares of common stock outstanding		31,267,614			30,415,980			30,324,499			30,278,432			29,939,698
Book value per common share	$	36.69		$	35.86		$	35.35		$	34.55		$	33.89
Tangible book value per common share	$	23.80		$	23.43		$	22.84		$	21.97		$	21.89


Simmons First National Corporation													SFNC
Reconciliation Of Non-GAAP Financial Measures - Quarter-to-Date
For the Quarters Ended
(Unaudited)	Sept 30			Jun 30			Mar 31			Dec 31			Sept 30
		2016			2016			2016			2015			2015
($ in thousands)
Calculation of Core Return on Average Assets

Net income available to common stockholders	$	23,429		$	22,909		$	23,481		$	23,782		$	21,598
Net nonrecurring items, net of taxes, adjustment		953			2,182			(296	)		2,131			3,967
Core earnings	$	24,382		$	25,091		$	23,185		$	25,913		$	25,565

Average total assets	$	7,703,837		$	7,522,133		$	7,499,185		$	7,550,569		$	7,607,767

Return on average assets		1.21	%		1.22	%		1.26	%		1.25	%		1.13	%
Core return on average assets		1.26	%		1.34	%		1.24	%		1.36	%		1.33	%

Calculation of Return on Tangible Common Equity

Net income available to common stockholders	$	23,429		$	22,909		$	23,481		$	23,782		$	21,598
Amortization of intangibles, net of taxes		913			882			884			813			769
Total income available to common stockholders	$	24,342		$	23,791		$	24,365		$	24,595		$	22,367

Net nonrecurring items, net of taxes		953			2,182			(296	)		2,131			3,967
Core earnings		24,382			25,091			23,185			25,913			25,565
Amortization of intangibles, net of taxes		913			882			884			813			769
Total core income available to common stockholders	$	25,295		$	25,973		$	24,069		$	26,726		$	26,334

Average common stockholders' equity	$	1,114,252		$	1,086,618		$	1,065,296		$	1,031,710		$	1,013,289
Average intangible assets:
Goodwill		(332,893	)		(327,686	)		(327,686	)		(320,216	)		(314,344	)
Other intangibles		(50,893	)		(51,043	)		(52,498	)		(44,302	)		(45,712	)
Total average intangibles		(383,786	)		(378,729	)		(380,184	)		(364,518	)		(360,056	)
Average tangible common stockholders' equity	$	730,466		$	707,889		$	685,112		$	667,192		$	653,233

Return on average common equity		8.36	%		8.48	%		8.87	%		9.15	%		8.46	%
Return on tangible common equity		13.26	%		13.52	%		14.30	%		14.62	%		13.58	%
Core return on average common equity		8.71	%		9.29	%		8.75	%		9.96	%		10.01	%
Core return on tangible common equity		13.78	%		14.76	%		14.13	%		15.89	%		15.99	%

Calculation of Efficiency Ratio *(1)*

Non-interest expense	$	62,434		$	64,137		$	61,789		$	67,806		$	67,495
Nonrecurring non-interest expense adjustment		(1,742	)		(3,591	)		(107	)		(3,506	)		(1,320	)
Other real estate and foreclosure expense adjustment		(1,787	)		(967	)		(966	)		(1,167	)		(2,297	)
Amortization of intangibles adjustment		(1,503	)		(1,451	)		(1,455	)		(1,337	)		(1,265	)
Efficiency ratio numerator	$	57,402		$	58,128		$	59,261		$	61,796		$	62,613

Net-interest income	$	68,063		$	66,583		$	70,232		$	73,751		$	78,676
Non-interest income		36,876			36,888			29,503			28,649			23,072
Nonrecurring non-interest income adjustment		(175	)		-			(594	)		-			5,207
Fully tax-equivalent adjustment		2,181			2,105			2,084			2,185			2,172
(Gain) loss on sale of securities		(315	)		(3,759	)		(329	)		(305	)		(40	)
Efficiency ratio denominator	$	106,630		$	101,817		$	100,896		$	104,280		$	109,087

Efficiency ratio (1)		53.83	%		57.09	%		58.73	%		59.26	%		57.40	%

Calculation of Core Net Interest Margin

Net interest income	$	68,063		$	66,583		$	70,232		$	73,751		$	78,676
Fully tax-equivalent adjustment		2,181			2,105			2,084			2,185			2,172
Fully tax-equivalent net interest income		70,244			68,688			72,316			75,936			80,848

Total accretable yield		(4,928	)		(4,700	)		(8,077	)		(11,076	)		(14,928	)
Core net interest income	$	65,316		$	63,988		$	64,239		$	64,860		$	65,920
Average earning assets	$	6,825,019		$	6,625,642		$	6,597,389		$	6,652,486		$	6,660,434

Net interest margin		4.09	%		4.17	%		4.41	%		4.53	%		4.82	%
Core net interest margin		3.81	%		3.88	%		3.92	%		3.87	%		3.93	%

Calculation of Core Loan Yield

Loan interest income	$	65,078		$	63,009		$	66,678		$	70,511		$	76,432
Total accretable yield		(4,928	)		(4,700	)		(8,077	)		(11,076	)		(14,928	)
Core loan interest income	$	60,150		$	58,309		$	58,601		$	59,435		$	61,504
Average loan balance	$	5,105,474		$	4,957,888		$	4,889,685		$	4,868,283		$	4,835,068

Core loan yield		4.69	%		4.73	%		4.82	%		4.84	%		5.05	%

(1) Efficiency ratio is noninterest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully
taxable equivalent) and noninterest revenues, excluding gains and losses from securities transactions and nonrecurring items.


Simmons First National Corporation													SFNC
Reconciliation Of Non-GAAP Financial Measures - Year-to-Date
For the Quarters Ended
(Unaudited)	Sept 30			Jun 30			Mar 31			Dec 31			Sept 30
		2016			2016			2016			2015			2015
($ in thousands)
Calculation of Core Return on Average Assets

Net income available to common stockholders	$	69,819		$	46,390		$	23,481		$	74,107		$	50,325
Net nonrecurring items, net of taxes, adjustment		2,839			1,886			(296	)		15,515			13,384
Core earnings	$	72,658		$	48,276		$	23,185		$	89,622		$	63,709

Average total assets	$	7,575,053		$	7,510,657		$	7,499,185		$	7,164,788		$	7,036,535

Return on average assets		1.23	%		1.24	%		1.26	%		1.03	%		0.96	%
Core return on average assets		1.28	%		1.29	%		1.24	%		1.25	%		1.21	%

Calculation of Return on Tangible Common Equity

Net income available to common stockholders	$	69,819		$	46,390		$	23,481		$	74,107		$	50,325
Amortization of intangibles, net of taxes		2,679			1,766			884			2,972			2,159
Total income available to common stockholders	$	72,498		$	48,156		$	24,365		$	77,079		$	52,484

Net nonrecurring items, net of taxes		2,839			1,886			(296	)		15,515			13,384
Core earnings		72,658			48,276			23,185			89,622			63,709
Amortization of intangibles, net of taxes		2,679			1,766			884			2,972			2,159
Total core income available to common stockholders	$	75,337		$	50,042		$	24,069		$	92,594		$	65,868

Average common stockholders' equity	$	1,088,723		$	1,075,957		$	1,065,296		$	938,521		$	907,458
Average intangible assets:
Goodwill		(329,422	)		(327,686	)		(327,686	)		(281,133	)		(268,106	)
Other intangibles		(51,478	)		(51,771	)		(52,498	)		(42,104	)		(41,372	)
Total average intangibles		(380,900	)		(379,457	)		(380,184	)		(323,237	)		(309,478	)
Average tangible common stockholders' equity	$	707,823		$	696,500		$	685,112		$	615,284		$	597,980

Return on average common equity		8.57	%		8.67	%		8.87	%		7.90	%		7.41	%
Return on tangible common equity		13.68	%		13.90	%		14.30	%		12.53	%		11.73	%
Core return on average common equity		8.91	%		9.02	%		8.75	%		9.55	%		9.39	%
Core return on tangible common equity		14.22	%		14.45	%		14.13	%		15.05	%		14.73	%

Calculation of Efficiency Ratio *(1)*

Non-interest expense	$	188,360		$	125,931		$	61,789		$	256,970		$	189,166
Nonrecurring non-interest expense adjustment		(5,440	)		(3,698	)		(107	)		(18,747	)		(15,241	)
Other real estate and foreclosure expense adjustment		(3,720	)		(1,934	)		(966	)		(4,861	)		(3,694	)
Amortization of intangibles adjustment		(4,409	)		(2,906	)		(1,455	)		(4,889	)		(3,552	)
Efficiency ratio numerator	$	174,791		$	117,393		$	59,261		$	228,473		$	166,679

Net-interest income	$	204,878		$	136,814		$	70,232		$	278,595		$	204,844
Non-interest income		103,267			66,397			29,503			94,661			66,014
Nonrecurring non-interest income adjustment		(769	)		(594	)		(594	)		5,731			5,731
Fully tax-equivalent adjustment		6,370			4,189			2,084			8,517			6,332
(Gain) loss on sale of securities		(4,403	)		(4,088	)		(329	)		(307	)		(2	)
Efficiency ratio denominator	$	309,343		$	202,718		$	100,896		$	387,197		$	282,919

Efficiency ratio (1)		56.50	%		57.91	%		58.73	%		59.01	%		58.91	%

Calculation of Core Net Interest Margin

Net interest income	$	204,878		$	136,814		$	70,232		$	278,595		$	204,844
Fully tax-equivalent adjustment		6,370			4,189			2,084			8,517			6,332
Fully tax-equivalent net interest income		211,248			141,003			72,316			287,112			211,176

Total accretable yield		(17,705	)		(12,777	)		(8,077	)		(46,131	)		(35,055	)
Core net interest income	$	193,543		$	128,226		$	64,239		$	240,981		$	176,121
Average earning assets	$	6,682,683		$	6,611,516		$	6,597,389		$	6,305,966		$	6,170,521

Net interest margin		4.22	%		4.29	%		4.41	%		4.55	%		4.58	%
Core net interest margin		3.87	%		3.90	%		3.92	%		3.82	%		3.82	%

Calculation of Core Loan Yield

Loan interest income	$	194,765		$	129,688		$	66,678		$	268,367		$	197,857
Total accretable yield		(17,705	)		(12,777	)		(8,077	)		(46,131	)		(35,055	)
Core loan interest income	$	177,060		$	116,911		$	58,601		$	222,236		$	162,802
Average loan balance	$	4,984,349		$	4,923,787		$	4,889,685		$	4,434,074		$	4,289,339

Core loan yield		4.75	%		4.77	%		4.82	%		5.01	%		5.07	%

(1) Efficiency ratio is noninterest expense before foreclosed property expense and amortization of intangibles as a percent of net interest income (fully
taxable equivalent) and noninterest revenues, excluding gains and losses from securities transactions and nonrecurring items.

Simmons Reports Third Quarter Net Income of $23.4 Million

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