10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

þ	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended September 30, 2013

OR

¨	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the transition period from ____________ to ____________

Commission file number 001-34605

OMNIAMERICAN BANCORP, INC.

(Exact Name of Registrant as Specified in its Charter)

Maryland	27-0983595
(State or Other Jurisdiction of	(I.R.S. Employer Identification No.)
Incorporation or Organization)
1320 S. University Drive, Fort Worth, Texas	76107
(Address of Principal Executive Offices)	(Zip Code)

(817) 367-4640

(Registrant’s Telephone Number, including Area Code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes þ No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes þ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.:

Large accelerated filer ¨ Accelerated filer þ Non-accelerated filer ¨ (Do not check if a smaller reporting company) Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No þ

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

There were 11,451,579shares of Common Stock, par value $0.01 per share, issued and outstanding as of November 1, 2013.

	Page Number
PART I — FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets at September 30, 2013, Unaudited and December 31, 2012	1
Unaudited Consolidated Statements of Income for the Three and Nine Months Ended September 30, 2013 and 2012	2
Unaudited Consolidated Statements of Comprehensive Income (Loss) for the Three and Nine Months Ended September 30, 2013 and 2012	3
Unaudited Consolidated Statement of Changes in Stockholders’ Equity for the Nine Months Ended September 30, 2013	4
Unaudited Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2013 and 2012	5
Condensed Notes to Unaudited Consolidated Interim Financial Statements	6
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	29
Item 3. Quantitative and Qualitative Disclosures about Market Risk	47
Item 4. Controls and Procedures	49
PART II — OTHER INFORMATION
Item 1. Legal Proceedings	50
Item 1A. Risk Factors	50
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	50
Item 3. Defaults Upon Senior Securities	50
Item 4. Mine Safety Disclosures	50
Item 5. Other Information	50
Item 6. Exhibits	50
SIGNATURES	51
EXHIBIT INDEX	52
Exhibit 31.1
Exhibit 31.2
Exhibit 32
EX-101 INSTANCE DOCUMENT
EX-101 SCHEMA DOCUMENT
EX-101 CALCULATION LINKBASE DOCUMENT
EX-101 LABELS LINKBASE DOCUMENT
EX-101 PRESENTATION LINKBASE DOCUMENT
EX-101 DEFINITION LINKBASE DOCUMENT

i

PART I — FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

OmniAmerican Bancorp, Inc. and Subsidiary

Consolidated Balance Sheets (Unaudited)

(Dollars in thousands, except per share data)

	September 30, 2013			December 31, 2012
ASSETS
Cash and due from financial institutions	$	11,965		$	21,931
Short-term interest-earning deposits in other financial institutions	2,095			1,922
Total cash and cash equivalents	14,060			23,853
Investments:
Securities available for sale (Amortized cost of $451,259 on September 30, 2013 and $372,940 on December 31, 2012)	452,500			383,909
Other	20,352			12,867
Loans held for sale	1,341			8,829
Loans, net of deferred fees and discounts	869,344			742,171
Less allowance for loan losses	(6,690		)	(6,900		)
Loans, net	862,654			735,271
Premises and equipment, net	41,714			43,126
Bank-owned life insurance	43,234			32,183
Other real estate owned	927			4,769
Mortgage servicing rights	1,385			1,009
Deferred tax asset, net	3,765			1,039
Accrued interest receivable	3,502			3,340
Other assets	2,948			7,154
Total assets	$	1,448,382		$	1,257,349
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deposits:
Noninterest-bearing	$	51,209		$	47,331
Interest-bearing	750,808			768,971
Total deposits	802,017			816,302
Federal Home Loan Bank advances	417,000			207,000
Other borrowings	9,000			19,000
Accrued expenses and other liabilities	14,062			9,469
Total liabilities	1,242,079			1,051,771
Commitments and contingencies
Stockholders’ equity:
Common stock, par value $0.01 per share; 100,000,000 shares authorized; 11,464,131 shares issued and outstanding at September 30, 2013 and 11,444,800 shares issued and outstanding at December 31, 2012	115			114
Additional paid-in capital	108,741			106,684
Unallocated Employee Stock Ownership Plan (“ESOP”) shares; 809,370 shares at September 30, 2013 and 837,936 shares at December 31, 2012	(8,094		)	(8,379		)
Retained earnings	106,680			101,877
Accumulated other comprehensive income (loss):
Unrealized gain on securities available for sale, net of income taxes	819			7,240
Unrealized loss on pension plan, net of income taxes	(1,958		)	(1,958		)
Total accumulated other comprehensive (loss) income	(1,139		)	5,282
Total stockholders’ equity	206,303			205,578
Total liabilities and stockholders’ equity	$	1,448,382		$	1,257,349

See Condensed Notes to Unaudited Consolidated Interim Financial Statements.

1

OmniAmerican Bancorp, Inc. and Subsidiary

Consolidated Statements of Income (Unaudited)

(Dollars in thousands, except per share data)

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Interest income:
Loans, including fees	$	11,097		$	9,753		$	29,263		$	29,139
Securities — taxable	2,335			2,742			6,613			9,331
Securities — nontaxable	—			—			1			—
Total interest income	13,432			12,495			35,877			38,470
Interest expense:
Deposits	1,181			1,530			4,028			4,781
Borrowed funds	646			981			1,832			3,831
Total interest expense	1,827			2,511			5,860			8,612
Net interest income	11,605			9,984			30,017			29,858
Provision for loan losses	200			550			1,800			1,950
Net interest income after provision for loan losses	11,405			9,434			28,217			27,908
Noninterest income:
Service charges and other fees	2,349			2,263			6,795			6,541
Net gains on sales of loans	405			941			1,427			1,761
Net gains on sales of securities available for sale (reclassified from unrealized gains (losses) on available-for-sale securities in accumulated other comprehensive income)	—			762			1,701			860
Net (losses) gains on disposition of premises and equipment	—			(1		)	344			—
Net gains (losses) on sales of repossessed assets	20			(91		)	17			(65		)
Commissions	462			341			1,067			1,080
Increase in cash surrender value of bank-owned life insurance	368			317			1,051			854
Other income	193			172			640			497
Total noninterest income	3,797			4,704			13,042			11,528
Noninterest expense:
Salaries and benefits	6,645			6,059			19,442			18,226
Software and equipment maintenance	719			547			2,025			1,765
Depreciation of furniture, software, and equipment	394			432			1,222			1,321
FDIC insurance	193			211			522			635
Net loss on write-down of other real estate owned	205			41			227			773
Real estate owned (income) expense	(29		)	47			(64		)	135
Service fees	133			116			373			353
Communications costs	258			267			731			806
Other operations expense	775			733			2,341			2,296
Occupancy	959			1,004			2,884			2,918
Professional and outside services	1,145			1,063			3,185			2,919
Loan servicing	281			44			513			205
Marketing	212			144			520			362
Total noninterest expense	11,890			10,708			33,921			32,714
Income before income tax expense	3,312			3,430			7,338			6,722
Income tax expense (includes income tax expense from items reclassified from accumulated other comprehensive income of $0 and $259 for the three months ended September 30, 2013 and 2012, respectively, and $578 and $292 for the nine months ended September 30, 2013 and 2012, respectively)	1,116			1,134			2,535			2,183
Net income	$	2,196		$	2,296		$	4,803		$	4,539
Earnings per share:
Basic	$	0.21		$	0.22		$	0.46		$	0.44
Diluted	$	0.21		$	0.22		$	0.46		$	0.44

See Condensed Notes to Unaudited Consolidated Interim Financial Statements.

2

OmniAmerican Bancorp, Inc. and Subsidiary

Consolidated Statements of Comprehensive Income (Loss) (Unaudited)

(Dollars in thousands)

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2013			2012			2013			2012
Net income	$	2,196		$	2,296		$	4,803		$	4,539
Change in unrealized gains (losses) on securities available for sale	1,337			635			(8,027		)	1,467
Reclassification of amount realized through sale of securities	—			(762		)	(1,701		)	(860		)
Income tax effect	(455		)	43			3,307			(206		)
Other comprehensive income (loss), net of income tax	882			(84		)	(6,421		)	401
Comprehensive income (loss)	$	3,078		$	2,212		$	(1,618	)	$	4,940

See Condensed Notes to Unaudited Consolidated Interim Financial Statements.

3

OmniAmerican Bancorp, Inc. and Subsidiary

Consolidated Statement of Changes in Stockholders’ Equity (Unaudited)

(Dollars in thousands, except share data)

	Common Stock		Additional Paid-in Capital			Unallocated ESOP Shares			Retained Earnings		Accumulated Other Comprehensive Income (Loss)			Total Stockholders’ Equity
Balances at January 1, 2013	$	114	$	106,684		$	(8,379	)	$	101,877	$	5,282		$	205,578
ESOP shares allocated, 28,566 shares	—		400			285			—		—			685
Stock purchased and retired at cost, 12,176 shares	—		(22		)	—			—		—			(22		)
Share-based compensation expense	—		1,459			—			—		—			1,459
Tax benefit from the exercise of stock options and the vesting of restricted stock	—		129			—			—		—			129
Stock options exercised, 25,070 shares	1		91			—			—		—			92
Net income	—		—			—			4,803		—			4,803
Other comprehensive loss	—		—			—			—		(6,421		)	(6,421		)
Balances at September 30, 2013	$	115	$	108,741		$	(8,094	)	$	106,680	$	(1,139	)	$	206,303

See Condensed Notes to Unaudited Consolidated Interim Financial Statements.

4

OmniAmerican Bancorp, Inc. and Subsidiary

Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

	Nine Months Ended
	September 30,
	2013			2012
Cash flows from operating activities:
Net income	$	4,803		$	4,539
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,534			2,597
Provision for loan losses	1,800			1,950
Amortization of net premium on investments	2,505			3,420
Amortization and impairment of mortgage servicing rights	(15		)	457
Net gains on sales of securities available for sale	(1,701		)	(860		)
Net gains on sales of loans	(1,427		)	(1,761		)
Proceeds from sales of loans held for sale	54,174			40,514
Loans originated for sale	(45,557		)	(44,388		)
Net loss on write-downs of other real estate owned	227			773
Net gains on disposition of premises and equipment	(344		)	—
Net (gains) losses on sales of repossessed assets	(17		)	65
Increase in cash surrender value of bank-owned life insurance	(1,051		)	(854		)
Federal Home Loan Bank stock dividends	(31		)	(33		)
ESOP compensation expense	685			573
Share-based compensation	1,459			955
Excess tax benefit from share-based compensation	(129		)	(61		)
Changes in operating assets and liabilities:
Accrued interest receivable	(162		)	568
Other assets	4,881			1,430
Accrued interest payable and other liabilities	4,593			2,615
Net cash provided by operating activities	27,227			12,499
Cash flows from investing activities:
Securities available for sale:
Purchases	(210,004		)	(32,075		)
Proceeds from sales	46,215			60,440
Proceeds from maturities, calls, and principal repayments	84,665			99,369
Purchases of other investments	(8,649		)	(1,912		)
Redemptions of other investments	1,195			628
Purchase of bank-owned life insurance	(10,000		)	(10,000		)
Net increase in loans held for investment	(131,435		)	(59,965		)
Proceeds from sales of loans held for investment	—			9,265
Purchases of premises and equipment	(1,471		)	(977		)
Proceeds from sales of premises and equipment	693			15
Proceeds from sales of foreclosed assets	2,050			2,201
Proceeds from sales of other real estate owned	3,807			1,971
Net cash (used in) provided by investing activities	(222,934		)	68,960
Cash flows from financing activities:
Net decrease in deposits	(14,285		)	(3,013		)
Net increase (decrease) in Federal Home Loan Bank advances	210,000			(10,000		)
Net decrease in other borrowings	(10,000		)	(50,000		)
Proceeds from stock options exercised	92			139
Excess tax benefit from share-based compensation	129			61
Purchase of common stock	(22		)	(893		)
Net cash provided by (used in) financing activities	185,914			(63,706		)
Net (decrease) increase in cash and cash equivalents	(9,793		)	17,753
Cash and cash equivalents, beginning of period	23,853			21,158
Cash and cash equivalents, end of period	$	14,060		$	38,911
Supplemental cash flow information:
Interest paid	$	5,926		$	9,101
Income tax paid, net of refunds	$	1,400		$	1,065
Non-cash transactions:
Loans transferred to other real estate owned	$	184		$	1,739
Loans transferred to foreclosed assets	$	2,068		$	2,274
Loans transferred to other investments	$	—		$	631
Change in unrealized gains on securities available for sale	$	(9,728	)	$	1,467

See Condensed Notes to Unaudited Consolidated Interim Financial Statements.

5

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements

NOTE 1 — Basis of Financial Statement Presentation and Significant Accounting Policies

Basis of Presentation

The accompanying unaudited consolidated financial statements of OmniAmerican Bancorp, Inc. (referred to herein as “the Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations. These interim consolidated financial statements and notes should be read in conjunction with the Company’s consolidated financial statements, and notes thereto, for the year ended December 31, 2012, included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013. In management’s opinion, the interim data as of September 30, 2013 and for the three- and nine- month periods ended September 30, 2013 and 2012, includes all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the results of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. References to the Company include, where appropriate, OmniAmerican Bank, the Company’s wholly-owned subsidiary.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The allowance for loan losses and the fair values of financial instruments are particularly subject to change.

NOTE 2 — Recent Accounting Pronouncements

In December 2011, the FASB issued ASU No. 2011-11, “Balance Sheet: Disclosures about Offsetting Assets and Liabilities.” ASU 2011-11 requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. ASU 2011-11 is effective for periods beginning on or after January 1, 2013. An entity should provide the disclosures required by those amendments retrospectively for all comparative periods presented. The adoption of this guidance did not have a material impact on the Company’s financial statements.

In January 2013, the FASB issued ASU No. 2013-01, “Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” This guidance amends the scope of ASU No. 2011-11 to clarify that the disclosure requirements are limited to derivatives, including bifurcated embedded derivatives, repurchase and reverse repurchase agreements, and securities borrowing and lending transactions that are either offset in the statement of financial position or subject to an enforceable master netting arrangement or similar agreement. The adoption of this guidance did not have a material impact on the Company’s financial statements.

In February 2013, the FASB issued ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” Under ASU 2013-02, an entity is required to provide information about the amounts reclassified out of accumulated comprehensive income by component. In addition, an entity is required to present, either on the face of the financial statements or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income, but only if the amount reclassified is required to be reclassified in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross reference to other disclosures that provide additional details about those amounts. ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in the financial statements. ASU 2013-02 is effective for reporting periods beginning after December 15, 2012 for public companies. The adoption of this guidance did not have a material impact on the Company’s financial statements.

6

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

NOTE 3 — Investment Securities

The amortized cost and estimated fair values of investment securities available for sale and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) as of September 30, 2013 and December 31, 2012 were as follows:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	292,348	$	3,858	$	(3,696	)	$	292,510
U. S. government sponsored collateralized mortgage obligations	147,733		2,355		(902		)	149,186
Agency bonds	5,000		—		(357		)	4,643
Municipal obligations	178		—		(10		)	168
Other equity securities	6,000		—		(7		)	5,993
Total investment securities available for sale	$	451,259	$	6,213	$	(4,972	)	$	452,500
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	192,894	$	6,843	$	(7	)	$	199,730
U. S. government sponsored collateralized mortgage obligations	169,046		3,871		(21		)	172,896
Agency bonds	5,000		15		—			5,015
Other equity securities	6,000		268		—			6,268
Total investment securities available for sale	$	372,940	$	10,997	$	(28	)	$	383,909

Investment securities available for sale with gross unrealized losses at September 30, 2013 and December 31, 2012, aggregated by investment category and length of time that individual securities have been in a continuous loss position, were as follows:

	Continuous Unrealized Losses Existing for
	Less Than 12 Months					Greater Than 12 Months					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	121,100	$	(3,696	)	$	—	$	—		$	121,100	$	(3,696	)
U. S. government sponsored collateralized mortgage obligations	28,275		(896		)	1,676		(6		)	29,951		(902		)
Agency bonds	4,643		(357		)	—		—			4,643		(357		)
Municipal obligations	168		(10		)	—		—			168		(10		)
Other equity securities	5,993		(7		)	—		—			5,993		(7		)
	$	160,179	$	(4,966	)	$	1,676	$	(6	)	$	161,855	$	(4,972	)
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	4,708	$	(7	)	$	—	$	—		$	4,708	$	(7	)
U. S. government sponsored collateralized mortgage obligations	9,467		(21		)	—		—			9,467		(21		)
	$	14,175	$	(28	)	$	—	$	—		$	14,175	$	(28	)

At September 30, 2013, the Company owned 202 investment securities of which 64 had unrealized losses. At December 31, 2012, the Company owned 170 investment securities of which seven had unrealized losses. Unrealized losses generally result from interest rate levels differing from those existing at the time of purchase of the securities and, as to mortgage-backed securities, estimated prepayment speeds. These unrealized losses are considered to be temporary as they reflect fair values on September 30, 2013 and December 31, 2012, and are subject to change daily as interest rates fluctuate. The Company does not intend to sell these securities, and it is more likely than not that the Company will not be required to sell prior to recovery.

7

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

Management evaluates investment securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent of the Company to sell or whether it would be more likely than not required to sell its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value.

The amortized cost and fair value of securities available for sale by contractual maturity at September 30, 2013 are summarized in the following table. Maturities are based on the final contractual payment dates, and do not reflect the impact of prepayments or earlier redemptions that may occur.

	Amortized Cost		Fair Value
	(In thousands)
Due in one year or less	$	—	$	—
Due from one to five years	982		1,041
Due from five to ten years	21,397		20,529
Due after ten years	422,880		424,937
Equity securities	6,000		5,993
Total	$	451,259	$	452,500

Investment securities with an amortized cost of $443.0 million and $322.2 million at September 30, 2013 and December 31, 2012, respectively, were pledged to secure Federal Home Loan Bank advances. In addition, investment securities with a fair value of $2.3 million and $9.0 million at September 30, 2013 and December 31, 2012, respectively, were pledged to secure repurchase agreements which are included in other borrowings.

Sales activity of securities available for sale for the three and nine months ended September 30, 2013 and 2012 was as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Proceeds from sales of investment securities	$	3	$	33,873	$	46,215	$	60,440
Gross gains from sales of investment securities	—		762		1,701		860

Gains or losses on the sales of securities are recognized at the trade date utilizing the specific identification method.

8

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

NOTE 4 — Loans and Allowance for Loan Losses

The composition of the loan portfolio was as follows at the dates indicated:

	September 30, 2013			December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	258,793		$	251,756
Home equity	19,338			20,863
Total residential real estate loans	278,131			272,619
Commercial loans:
Commercial real estate	104,847			84,783
Real estate construction	69,229			52,245
Commercial business	76,294			63,390
Total commercial loans	250,370			200,418
Consumer loans:
Automobile, indirect	287,893			221,907
Automobile, direct	32,005			27,433
Other consumer	15,587			16,707
Total consumer loans	335,485			266,047
Total loans	863,986			739,084
Plus (less):
Deferred fees and discounts	5,358			3,087
Allowance for loan losses	(6,690		)	(6,900		)
Total loans receivable, net	$	862,654		$	735,271

The Company originates one- to four-family residential real estate loans which are sold in the secondary market. The Company retains the servicing for residential real estate loans that are sold to the Federal National Mortgage Association (“FNMA”). Residential real estate loans serviced for FNMA are not included as assets on the consolidated balance sheets. The following table presents loans sold and serviced as of September 30, 2013 and December 31, 2012:

	September 30, 2013		December 31, 2012
	(In thousands)
Principal balances of the loans sold and serviced for FNMA	$	184,799	$	157,953
Mortgage servicing rights associated with the mortgage loans serviced for FNMA	1,385		1,009

9

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

The following table presents loans identified as impaired by class of loans as of September 30, 2013 and December 31, 2012:

	Recorded Balance		Unpaid Principal Balance		Related Allowance		Average Recorded Balance		Interest Income Recognized
	(In thousands)
September 30, 2013:
With no related allowance recorded:
One- to four-family	$	7,850	$	7,850	$	—	$	7,442	$	210
Home equity	1		1		—		8		—
Commercial real estate	2,392		2,392		—		4,862		24
Real estate construction	2,565		2,565		—		3,658		53
Commercial business	617		617		—		733		9
Automobile, indirect	692		692		—		700		19
Automobile, direct	27		27		—		36		2
Other consumer	—		—		—		7		—
Impaired loans with no related allowance recorded	14,144		14,144		—		17,446		317
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	1,124		1,124		209		1,064		7
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	1,124		1,124		209		1,064		7
Total	$	15,268	$	15,268	$	209	$	18,510	$	324
December 31, 2012:
With no related allowance recorded:
One- to four-family	$	6,995	$	6,995	$	—	$	7,781	$	285
Home equity	32		32		—		50		2
Commercial real estate	6,263		6,263		—		6,965		133
Real estate construction	4,707		4,707		—		6,093		122
Commercial business	807		807		—		1,301		35
Automobile, indirect	606		606		—		523		20
Automobile, direct	51		51		—		63		5
Other consumer	3		3		—		4		—
Impaired loans with no related allowance recorded	19,464		19,464		—		22,780		602
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	981		981		278		1,124		14
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	981		981		278		1,124		14
Total	$	20,445	$	20,445	$	278	$	23,904	$	616

For the nine months ended September 30, 2012, the average recorded investment in impaired loans and the related amount of interest income recognized during the time within the period that the loans were impaired were $24.8 million and $449,000, respectively.

10

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

As of September 30, 2013 and December 31, 2012, no additional funds were committed to be advanced in connection with impaired loans.

The following table presents the recorded investment in non-accrual loans by class of loans as of September 30, 2013 and December 31, 2012:

	September 30, 2013		December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	2,341	$	1,026
Home equity	1		—
Commercial loans:
Commercial real estate	1,775		5,444
Commercial business	1,464		1,245
Consumer loans:
Automobile, indirect	350		143
Automobile, direct	5		—
Total	$	5,936	$	7,858

There were no loans greater than 90 days past due that continued to accrue interest at September 30, 2013 or December 31, 2012.

The following table presents the aging of the recorded investment in past due loans as of September 30, 2013 and December 31, 2012 by class of loans:

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
September 30, 2013:
Residential real estate loans:
One- to four-family	$	—	$	550	$	2,221	$	2,771	$	256,022	$	258,793
Home equity	7		7		1		15		19,323		19,338
Commercial loans:
Commercial real estate	—		—		123		123		104,724		104,847
Real estate construction	—		—		—		—		69,229		69,229
Commercial business	—		—		—		—		76,294		76,294
Consumer loans:
Automobile, indirect	1,656		708		350		2,714		285,179		287,893
Automobile, direct	38		—		5		43		31,962		32,005
Other consumer	61		35		—		96		15,491		15,587
Total loans	$	1,762	$	1,300	$	2,700	$	5,762	$	858,224	$	863,986

11

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
December 31, 2012:
Residential real estate loans:
One- to four-family	$	3,717	$	1,487	$	897	$	6,101	$	245,655	$	251,756
Home equity	260		36		—		296		20,567		20,863
Commercial loans:
Commercial real estate	224		27		3,730		3,981		80,802		84,783
Real estate construction	—		—		—		—		52,245		52,245
Commercial business	18		—		—		18		63,372		63,390
Consumer loans:
Automobile, indirect	1,176		346		144		1,666		220,241		221,907
Automobile, direct	22		30		—		52		27,381		27,433
Other consumer	62		19		—		81		16,626		16,707
Total loans	$	5,479	$	1,945	$	4,771	$	12,195	$	726,889	$	739,084

Our methodology for evaluating the adequacy of the allowance for loan losses consists of:

• a specific loss component which is the allowance for impaired loans; and

• a general loss component for all other loans not individually evaluated for impairment but that, on a portfolio basis, are believed to have some inherent but unidentified loss.

The specific component of the allowance for loan losses relates to loans that are considered impaired, which are generally classified as doubtful or substandard. For such loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan are lower than the carrying value of that loan. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for non-homogeneous loans, including one- to four-family residential real estate loans with balances in excess of $1 million, commercial real estate, real estate construction, and commercial business loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, consumer and one- to four-family residential real estate loans with balances less than $1 million are not separately identified for impairment disclosures, unless such loans are the subject of a restructuring agreement.

The general component of the allowance for loan losses covers unimpaired loans and is based on the historical loss experience adjusted for other qualitative factors. The loan portfolio is stratified into homogeneous groups of loans that possess similar loss potential characteristics, and an appropriate loss ratio adjusted for other qualitative factors is applied to the homogeneous pools of loans to estimate the incurred losses in the loan portfolio. The other qualitative factors considered by management include, but are not limited to, the following:

• changes in lending policies and procedures, including underwriting standards and collection, charge-off, and recovery practices;

• changes in national and local economic and business conditions and developments, including the condition of various market segments;

12

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

• changes in the nature and volume of the loan portfolio;

• changes in the experience, ability, and depth of knowledge of the lending staff;

• changes in the trend of the volume and severity of past due and classified loans; and trends in the volume of non-accrual loans, troubled debt restructurings, and other loan modifications;

• changes in the quality of our loan review system and the degree of oversight by the board of directors;

• the existence and effect of any concentrations of credit, and changes in the level of such concentrations; and

• the effect of external factors such as competition and legal and regulatory requirements on the level of estimated credit losses in our current portfolio.

Consumer loans generally have greater risk of loss or default than one- to four-family residential real estate loans, particularly in the case of loans that are secured by rapidly depreciable assets, such as automobiles, or loans that are unsecured. In these cases, a risk exists that the collateral, if any, for a defaulted loan may not provide an adequate source of repayment of the outstanding loan balance. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the ability to recover on consumer loans.

Commercial real estate loans generally have greater credit risks compared to one- to four-family residential real estate loans, as they typically involve larger loan balances concentrated with single borrowers or groups of related borrowers. In addition, the payment experience on loans secured by income-producing properties typically depends on the successful operation of the related real estate project and thus may be subject to a greater extent to adverse conditions in the real estate market and in the general economy.

Commercial business loans involve a greater risk of default than residential real estate loans of like duration since their repayment generally depends on the successful operation of the borrower’s business and the sufficiency of collateral, if any. Loans secured by multi-family residential real estate generally involve a greater degree of credit risk than one- to four-family residential real estate loans and carry larger loan balances. This increased credit risk is a result of several factors, including the concentration of principal in a limited number of loans and borrowers, the effects of general economic conditions on income producing properties, and the increased difficulty of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by multi-family mortgages typically depends upon the successful operation of the related real estate property. If the cash flow from the project is reduced, the borrower’s ability to repay the loan may be impaired.

Real estate construction loans generally have greater credit risk than traditional one- to four-family residential real estate loans. The repayment of these loans depends upon the sale of the property to third parties or the availability of permanent financing upon completion of all improvements. In the event a loan is made on property that is not yet approved for the planned development, there is the risk that approvals will not be granted or will be delayed. These events may adversely affect the borrower and the collateral value of the property. Real estate construction loans also expose the Company to the risk that improvements will not be completed on time in accordance with specifications and projected costs. In addition, the ultimate sale or rental of the property may not occur as anticipated.

When establishing the allowance for loan losses, management categorizes loans into risk categories based on the class of loans — residential real estate, commercial, or consumer — and relevant information about the ability of the borrowers to repay the loans, such as the current economic conditions, historical payment experience, the nature and volume of the loan portfolio, the financial strength of the borrower, and the estimated value of any underlying collateral, among other factors. Management classifies the loans individually analyzed for impairment as to credit risk. This analysis includes residential real estate loans with an outstanding balance in excess of $1 million and non-homogeneous loans, such as commercial real estate, real estate construction, and commercial business loans. The following definitions for the credit risk ratings are used for such loans:

Special mention. Special mention loans have potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution’s credit position at some future date. Special mention assets are not adversely classified and do not expose the institution to sufficient risk to warrant adverse classification.

Substandard. Substandard loans have well defined weaknesses where a payment default and/or a loss is possible, but not yet probable. Loans so classified are inadequately protected by the current net worth and repayment capacity of the obligor or of the collateral pledged, if any. If deficiencies are not corrected quickly, there is a possibility of loss.

13

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

Doubtful. Doubtful loans have the weaknesses and characteristics of substandard loans, but the available information suggests that collection or liquidation in its entirety, on the basis of currently existing facts, conditions and values, is highly improbable. The possibility of a loss is exceptionally high, but certain identifiable contingencies could possibly arise (proposed merger, acquisition, capital injection, refinancing plans, and pledging of additional collateral) that may strengthen the loan, such that it is reasonable to defer its classification as a loss until a more exact status is determined.

Loans not meeting the criteria described above are considered to be pass-rated loans. The following table presents the risk category of loans by class for loans individually analyzed for impairment as of September 30, 2013 and December 31, 2012:

	Commercial Real Estate		Real Estate Construction		Commercial Business		One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Pass	$	99,875	$	66,551	$	71,947	$	15,590	$	1,500	$	255,463
Special Mention	—		—		1,819		—		—		1,819
Substandard	4,972		2,678		2,528		3,192		—		13,370
Doubtful	—		—		—		—		—		—
	$	104,847	$	69,229	$	76,294	$	18,782	$	1,500	$	270,652
December 31, 2012:
Pass	$	75,698	$	47,299	$	58,488	$	12,191	$	—	$	193,676
Special Mention	—		—		2,264		—		—		2,264
Substandard	9,085		4,946		2,638		3,250		—		19,919
Doubtful	—		—		—		—		—		—
	$	84,783	$	52,245	$	63,390	$	15,441	$	—	$	215,859

The Company classifies residential real estate loans that are not analyzed individually for impairment (less than $1 million) as prime or subprime. The Company defines a subprime residential real estate loan as any loan to a borrower who has no credit score or a credit score of less than 661 along with at least one of the following at the time of funding:

• Two or more 30 day delinquencies in the past 12 months;

• One or more 60 day delinquencies in the past 24 months;

• Bankruptcy filing within the past 60 months;

• Judgment or unpaid charge-off of $500 or more in the last 24 months; and

• Foreclosure or repossession in the past 24 months.

All other residential real estate loans not individually analyzed for impairment are classified as prime.

The following table presents the prime and subprime residential real estate loans collectively evaluated for impairment as of September 30, 2013 and December 31, 2012:

	One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Prime	$	192,734	$	17,200	$	209,934
Subprime	47,277		638		47,915
	$	240,011	$	17,838	$	257,849
December 31, 2012:
Prime	$	189,529	$	20,106	$	209,635
Subprime	46,786		757		47,543
	$	236,315	$	20,863	$	257,178

14

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

The Company evaluates consumer loans based on the credit score for each borrower when the loan is originated. The Company defines a subprime consumer loan as any loan to a borrower who has a credit score of less than 661 at the time of funding. The following table presents the credit score for each of the classes of consumer loans as of September 30, 2013 and December 31, 2012:

Risk Tier	Credit Score	Automobile, indirect		Automobile, direct		Other consumer		Total
	(In thousands)
September 30, 2013:
A	720+	$	148,297	$	23,159	$	11,566	$	183,022
B	690–719	58,077		4,610		2,281		64,968
C	661–689	48,472		2,382		1,337		52,191
D	660 and under	33,047		1,854		403		35,304
		$	287,893	$	32,005	$	15,587	$	335,485
December 31, 2012:
A	720+	$	113,192	$	19,873	$	12,408	$	145,473
B	690–719	45,625		3,986		2,203		51,814
C	661–689	36,247		2,023		1,631		39,901
D	660 and under	26,843		1,551		465		28,859
		$	221,907	$	27,433	$	16,707	$	266,047

15

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

The following table presents the activity in the allowance for loan losses by portfolio segment based on impairment method for the three and nine months ended September 30, 2013 and 2012:

	Residential Real Estate			Commercial			Consumer			Total
	(In thousands)
September 30, 2013:
Allowance for loan losses for the three months ended:
Beginning balance	$	794		$	3,375		$	2,913		$	7,082
Charge-offs	(86		)	—			(591		)	(677		)
Recoveries of loans previously charged-off	6			18			61			85
Provision for loan losses	157			(961		)	1,004			200
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Allowance for loan losses for the nine months ended:
Beginning balance	$	870		$	3,133		$	2,897		$	6,900
Charge-offs	(239		)	(202		)	(1,890		)	(2,331		)
Recoveries of loans previously charged-off	28			48			245			321
Provision for loan losses	212			(547		)	2,135			1,800
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	209		$	—		$	209
Collectively evaluated for impairment	871			2,223			3,387			6,481
Total ending balance	$	871		$	2,432		$	3,387		$	6,690
September 30, 2012:
Allowance for loan losses for the three months ended:
Beginning balance	$	1,134		$	2,933		$	3,089		$	7,156
Charge-offs	(2		)	(65		)	(606		)	(673		)
Recoveries of loans previously charged-off	82			45			152			279
Provision for loan losses	(180		)	425			305			550
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Allowance for loan losses for the nine months ended:
Beginning balance	$	1,268		$	3,443		$	3,197		$	7,908
Charge-offs	(79		)	(1,300		)	(1,797		)	(3,176		)
Recoveries of loans previously charged-off	112			100			418			630
Provision for loan losses	(267		)	1,095			1,122			1,950
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	552		$	—		$	552
Collectively evaluated for impairment	1,034			2,786			2,940			6,760
Total ending balance	$	1,034		$	3,338		$	2,940		$	7,312

16

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

The Company’s recorded investment in loans as of September 30, 2013, December 31, 2012, and September 30, 2012 related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of the Company’s impairment methodology is as follows:

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
September 30, 2013:
Loans individually evaluated for impairment	$	7,851	$	6,698	$	719	$	15,268
Loans collectively evaluated for impairment	270,280		243,672		334,766		848,718
Total ending balance	$	278,131	$	250,370	$	335,485	$	863,986
December 31, 2012:
Loans individually evaluated for impairment	$	7,027	$	12,758	$	660	$	20,445
Loans collectively evaluated for impairment	265,592		187,660		265,387		718,639
Total ending balance	$	272,619	$	200,418	$	266,047	$	739,084
September 30, 2012:
Loans individually evaluated for impairment	$	7,617	$	13,739	$	550	$	21,906
Loans collectively evaluated for impairment	269,305		174,384		266,725		710,414
Total ending balance	$	276,922	$	188,123	$	267,275	$	732,320

A loan is considered a troubled debt restructuring (“TDR”) if the Company, for economic or legal reasons related to a debtor’s financial difficulties, grants a concession to the debtor that it would not otherwise consider. Concessions granted under a TDR typically involve a temporary or permanent reduction in the interest rate to less than a current market rate of interest or an extension of a loan’s stated maturity date. Loans classified as TDRs are designated as impaired.

A summary of the Company’s loans classified as TDRs at September 30, 2013 and December 31, 2012 is presented below:

	September 30, 2013		December 31, 2012
	(In thousands)
TDR
Residential Real Estate	$	6,306	$	6,892
Commercial	5,198		10,841
Consumer	418		517
Total TDR	11,922		18,250
Less: TDR in non-accrual status
Residential Real Estate	797		892
Commercial	2,017		5,314
Consumer	54		—
Total performing TDR	$	9,054	$	12,044

17

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

The Company may grant concessions through a number of different restructuring methods. The following table presents the outstanding principal balance of loans by class and by method of concession that were the subject of a TDR during thenine months ended September 30, 2013 and 2012:

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
Nine Months Ended September 30, 2013:
Interest rate reduction	$	—	$	365	$	24	$	389
Loan maturity extension	—		—		28		28
Forbearance	—		—		—		—
Principal reduction	—		—		—		—
Total	$	—	$	365	$	52	$	417
Nine Months Ended September 30, 2012:
Interest rate reduction	$	—	$	—	$	97	$	97
Loan maturity extension	—		—		38		38
Forbearance	—		—		—		—
Principal reduction	—		—		23		23
Total	$	—	$	—	$	158	$	158

The following table presents the number of loans modified and the balances before and after modification for thenine months ended September 30, 2013 and 2012:

	Number of Loans	Pre-Modification Outstanding Recorded Balance		Post-Modification Outstanding Recorded Balance
	(Dollar amounts in thousands)
Nine Months Ended September 30, 2013:
Residential Real Estate	—	$	—	$	—
Commercial	1	371		371
Consumer	3	59		59
Total	4	$	430	$	430
Nine Months Ended September 30, 2012:
Residential Real Estate	—	$	—	$	—
Commercial	—	—		—
Consumer	11	173		170
Total	11	$	173	$	170

There were four consumer TDR loans with a total balance of $45,000 at September 30, 2013 that had payment defaults during the nine months ended September 30, 2013. There were two residential real estate TDR loans that had payment defaults during the nine months ended September 30, 2012. One had a balance of $451,000 at March 31, 2012 and was subsequently foreclosed in May 2012, and the other had a balance of $763,000 at September 30, 2012. Default occurs when a loan is 90 days or more past due or transferred to nonaccrual and is within 12 months of restructuring.

Included in the impaired loans as of September 30, 2013 and December 31, 2012 were TDRs of $11.9 million and $18.3 million, respectively. The Company did not allocate any specific reserves to customers whose loan terms have been modified as TDRs at September 30, 2013 or December 31, 2012. As of September 30, 2013 and December 31, 2012, no additional funds were committed to be advanced in connection with TDRs.

The Company’s other real estate owned and foreclosed assets represent properties and personal collateral acquired through customer loan defaults. The property is recorded at fair value less the estimated costs to sell at the date acquired. Any difference between the book value and estimated market value is recognized as a charge-off through the allowance for loan losses. Subsequently, should the fair market value of an asset less the estimated cost to sell decline to less than the carrying amount of the asset, the deficiency is recognized in the period in which it becomes known and is included in noninterest expense.

18

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

At September 30, 2013 and December 31, 2012, the Company had balances in non-performing assets consisting of the following:

	September 30, 2013			December 31, 2012
	(Dollar amounts in thousands)
Other real estate owned and foreclosed assets
Residential Real Estate	$	107		$	819
Commercial	820			3,950
Consumer	420			394
Total other real estate owned and foreclosed assets	1,347			5,163
Total non-accrual loans	5,936			7,858
Total non-performing assets	$	7,283		$	13,021
Non-accrual loans/Total loans	0.69		%	1.06		%
Non-performing assets/Total assets	0.50		%	1.04		%

NOTE 5 — Derivative Financial Instruments

The Company has entered into commitments with prospective residential mortgage borrowers to originate loans whereby the interest rate on the loan is determined prior to funding and the borrowers have locked into that interest rate. The interest rate lock commitments on loans originated for sale are recorded at fair value in accordance with ASC 815, “Derivatives and Hedging,” and are included in other assets in the consolidated balance sheets. The estimated fair values of the interest rate lock commitments are based on quoted secondary market pricing, include the fair value of the servicing rights based on the discounted present value of expected future cash flows, and assume an approximate closure rate based on recent historical experience. Changes in the fair value of interest rate lock commitments are recorded in current earnings as a component of net gains on sales of loans.

To manage the interest rate risk associated with interest rate lock commitments and mortgage loans held for sale, the Company may enter into forward loan sales commitments to deliver mortgage loan inventory to investors. The estimated fair values of forward loan sales commitments are based on quoted secondary market pricing. The fair values of the forward loan sales commitments are recorded as an other asset or an accrued liability in the consolidated balance sheets. Changes in the fair values of forward loan sales commitments are recorded in current earnings as a component of net gains on sales of loans.

The outstanding notional value and fair values of outstanding positions as of September 30, 2013 and December 31, 2012, and the recorded gains and losses during the nine months ended September 30, 2013 and the year ended December 31, 2012 were as follows:

	Outstanding Notional Balance		Fair Value		Recorded (Losses)/Gains
	(In thousands)
September 30, 2013:
Interest rate lock commitments	$	6,792	$	202	$	(62	)
December 31, 2012:
Interest rate lock commitments	$	10,805	$	264	$	264

The Company had no derivative financial instruments at September 30, 2012 and no forward loan sales commitments at September 30, 2013 or December 31, 2012.

19

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

NOTE 6 — Other Borrowings

Beginning July 26, 2007, the Company entered into sales of securities under agreements to repurchase (“Repurchase Agreements”) with PNC Bank, N.A. (“PNC”). The Repurchase Agreements are structured as the sale of a specified amount of identified securities to PNC which the Company has agreed to repurchase five years after the initial sale. The Repurchase Agreements are treated as financings, and the obligations to repurchase securities sold are included in other borrowings in the consolidated balance sheets. The underlying securities continue to be carried as assets of the Company, and the Company is entitled to receive interest and principal payments on the underlying securities. The Company had $2.0 million and $8.0 million in repurchase agreements outstanding at September 30, 2013 and December 31, 2012, respectively. These repurchase agreements were secured by investment securities with a fair value of $2.3 million and $9.0 million at September 30, 2013 and December 31, 2012, respectively.

Other borrowings included overnight borrowings from the Federal Home Loan Bank of Dallas of $7.0 million with an interest rate of 0.04% at September 30, 2013 and $11.0 million with an interest rate of 0.26% at December 31, 2012.

NOTE 7 — Employee Benefit Plans

Employee Stock Ownership Plan

OmniAmerican Bank adopted an Employee Stock Ownership Plan (“ESOP”) effective January 1, 2010. The ESOP enables all eligible employees of OmniAmerican Bank to share in the growth of the Company through the acquisition of Company common stock. Employees are generally eligible to participate in the ESOP after completion of one year of service and attaining age 21.

The ESOP purchased 8% of the shares sold in the initial public offering of the Company (952,200 shares). This purchase was facilitated by a note payable to the Company from the ESOP in the amount of $9.5 million. The note is secured by a pledge of the ESOP shares. The shares pledged as collateral are reported as unallocated ESOP shares in the accompanying consolidated balance sheets. The corresponding note is to be paid back in 25 approximately equal annual payments of $561,000 on the last day of each fiscal year, beginning December 31, 2010, including interest at an adjustable rate equal to the Wall Street Journal prime rate (3.25% as of September 30, 2013 and December 31, 2012). The note payable and the corresponding note receivable have been eliminated for consolidation purposes.

The Company may make discretionary contributions to the ESOP in the form of debt service. Dividends received on the unallocated ESOP shares, if any, are utilized to service the debt. Shares are released for allocation to plan participants based on principal and interest payments of the note. Compensation expense is recognized based on the number of shares allocated to plan participants each year at the average market price of the stock for the current year. Released ESOP shares become outstanding for earnings per share computations.

As compensation expense is incurred, the unallocated ESOP shares account is reduced based on the original cost of the stock. The difference between the cost and average market price of shares released for allocation is applied to additional paid-in capital.

The ESOP shares as of September 30, 2013 and December 31, 2012 were as follows:

	September 30, 2013		December 31, 2012
Allocated shares	142,830		114,264
Unearned shares	809,370		837,936
Total ESOP shares	952,200		952,200
Fair value of unearned shares (in thousands)	$	19,797	$	19,381
Year-to-date compensation expense recognized from the release of shares from the ESOP (in thousands)	685		792

20

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

Pension Plan

The Company has a noncontributory defined benefit pension plan (the “Pension Plan”) that provides for benefits to be paid to eligible employees at retirement based primarily upon years of service with the Company and compensation levels at retirement. Effective December 31, 2006, the Company froze benefits under the Pension Plan, so that no further benefits would be earned by employees after that date. In addition, no new participants may be added to the Pension Plan after December 31, 2006.

The net periodic pension cost for the three and nine months ended September 30, 2013 and 2012 includes the following components:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(In thousands)
Interest cost on projected benefit obligation	$	57		$	64		$	171		$	192
Expected return on assets	(74		)	(62		)	(222		)	(185		)
Amortization of net loss	48			33			144			99
Net periodic pension cost	$	31		$	35		$	93		$	106

Share-Based Compensation

At its annual meeting held May 24, 2011, the Company’s shareholders approved the OmniAmerican Bancorp, Inc. 2011 Equity Incentive Plan (the “Plan”) which provides for the grant of stock-based and other incentive awards to officers, employees, and directors of the Company. The Plan provides the board or a committee thereof with the flexibility to award no less than half the eligible awards, constituting 7% of the shares issued in the Company’s initial public offering, in the form of stock options and up to 7% of the shares issued in the initial public offering in the form of restricted stock. By resolution by the board of directors, the board confirmed that restricted stock awards will not exceed 4% of the common stock sold in the Company’s initial public offering. Pursuant to board resolution, 1,190,250 options to purchase shares of common stock and 476,100 restricted shares of common stock were made available. Share-based compensation expense for the three and nine months ended September 30, 2013 and 2012 was as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Share-based compensation expense	$	565	$	345	$	1,459	$	955

Restricted Stock

Compensation expense for restricted stock is recognized over the vesting period of the awards based on the fair value of the stock at grant date, which is determined using the last sale price as quoted on the NASDAQ Stock Market. Shares awarded to employees vest at a rate of 20% of the initially awarded amount per year, beginning on the first anniversary date of the award, and are contingent upon continuous service by the recipient through the vesting date. Shares awarded to directors vest at rates of 20% to 33% of the initially awarded amount per year, beginning on the first anniversary date of the award, and are contingent upon continuous service by the recipient through the vesting date. Under the terms of the Plan, awarded shares are restricted as to transferability and may not be sold, assigned, or transferred prior to vesting. The vesting period is subject to acceleration of vesting upon a change in control of the Company or upon the termination of the award recipient’s service due to death or disability. Total restricted shares issuable pursuant to board resolution were 476,100 at September 30, 2013, of which 292,038 shares had been issued under the Plan through September 30, 2013.

21

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

A summary of changes in the Company’s non-vested restricted shares for the nine months ended September 30, 2013 follows:

	Shares		Weighted- Average Grant Date Fair Value Per Share
Non-vested at January 1, 2013	254,323		$	18.69
Granted	7,500		22.59
Vested	(60,708	)	17.69
Forfeited	(1,063	)	14.97
Non-vested at September 30, 2013	200,052		$	19.16

As of September 30, 2013, the Company had $3.1 million of unrecognized compensation expense related to non-vested shares of restricted stock awarded under the Plan. The unrecognized compensation expense is expected to be recognized over a weighted-average period of 3.53 years. The Company applied an estimated forfeiture rate of 8.40% to employees’ and 0.00% to directors’ shares based on the historical turnover rates.

Stock Options

Under the terms of the Plan, stock options may not be granted with an exercise price less than the fair market value of the Company’s common stock on the date the option is granted and may not be exercised later than 10 years after the grant date. The fair market value is the last sale price as quoted on the NASDAQ Stock Market on the date of grant. All stock options granted must vest over at least three years and not more than five years, subject to acceleration of vesting upon a change in control, death, or disability.

The fair value of each option award is estimated on the date of grant using a closed form option valuation (Black-Scholes) model. The risk-free interest rate utilized in the model is the implied yield available on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term of the stock option in effect at the time of the grant. Although the contractual term of the stock options granted is 10 years, the expected term of the stock options is less because option restrictions do not permit recipients to sell or hedge their options. Management believes these restrictions encourage exercise of the option before the end of the contractual term. The Company does not have sufficient historical information about its own employees’ vesting behavior; therefore, the expected term of stock options is estimated using the average of the vesting period and contractual term. The Company does not have sufficient historical information about its own stock volatility; therefore the expected volatility is based on an average volatility of peer banks.

No stock options were granted during the nine months ended September 30, 2013.

A summary of activity in the stock option portion of the Plan for the nine months ended September 30, 2013 follows:

	Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term (years)	Aggregate Intrinsic Value (In thousands)
Outstanding at January 1, 2013	505,665		$	16.13	8.77	$	3,541
Granted	—		—		—	—
Exercised	(25,070	)	14.15		—	(232		)
Forfeited	(24,715	)	17.92		—	(162		)
Expired	(3,178	)	14.97		—	(30		)
Outstanding at September 30, 2013	452,702		$	16.15	8.03	$	3,762
Fully vested and expected to vest	415,648		$	16.10	8.02	$	3,476
Exercisable at September 30, 2013	149,462		$	15.15	7.87	$	1,391

As of September 30, 2013, the Company had $1.6 million of total unrecognized compensation expense related to non-vested stock options. That expense is expected to be recognized over a weighted-average period of 3.12 years. The intrinsic value for stock options is calculated based on the difference between the exercise price of the underlying awards and the market price of our common stock as of September 30, 2013.

22

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

NOTE 8 — Earnings Per Share

Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period, reduced for average unallocated ESOP shares and average unvested restricted stock awards. Diluted earnings per common share reflects the potential dilution that could occur if securities or other contracts to issue common stock (such as stock awards and options) were exercised or converted to common stock, or resulted in the issuance of common stock that then shared in the Company’s earnings. Diluted earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period increased for the dilutive effect of unexercised stock options and unvested restricted stock awards. The table below presents the information used to compute basic and diluted earnings per share:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(Dollars in thousands, except per share data)
Earnings:
Net income	$	2,196		$	2,296		$	4,803		$	4,539
Basic shares:
Weighted-average common shares outstanding	11,458,923			11,419,035			11,449,808			11,297,903
Less: Average unallocated ESOP shares	(812,544		)	(850,632		)	(822,066		)	(860,154		)
Average unvested restricted stock awards	(199,377		)	(229,611		)	(233,265		)	(107,081		)
Average shares for basic earnings per share	10,447,002			10,338,792			10,394,477			10,330,668
Net income per common share, basic	$	0.21		$	0.22		$	0.46		$	0.44
Diluted shares:
Weighted-average common shares outstanding for basic earnings per common share	10,447,002			10,338,792			10,394,477			10,330,668
Add: Dilutive effects of share-based compensation plan	112,321			81,590			143,050			51,977
Average shares for diluted earnings per share	10,559,323			10,420,382			10,537,527			10,382,645
Net income per common share, diluted	$	0.21		$	0.22		$	0.46		$	0.44

NOTE 9 — Fair Value Measurements

ASC 820, “Fair Value Measurements and Disclosures,” establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

• Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.

• Level 2 Inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.), or inputs that are derived principally from or corroborated by market data by correlation or other means.

• Level 3 Inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities.

A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the fair value hierarchy, is set forth below.

Securities available for sale:Securities available for sale are valued at fair value on a recurring basis. The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying

23

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs).

Interest rate lock commitments: Interest rate locks on commitments to originate loans for the held for sale portfolio are reported at fair value in other assets on the consolidated balance sheets with changes in value recorded in current earnings. The estimated fair values of the interest rate lock commitments are based on quoted secondary market pricing, include the fair value of the servicing rights based on the discounted present value of expected future cash flows, and assume an approximate closure rate based on recent historical experience. At September 30, 2013, the fair value of the servicing rights was estimated as 0.92% of the loan balance for loans with terms of 180 months, and for loans with terms greater than 180 months, the fair value was estimated as 1.23% of the loan balance if the loan had an interest rate of 4.50% or lower and 0.98% of the loan balance if the loan had an interest rate higher than 4.50%. At December 31, 2012, the fair value of the servicing rights was estimated as 0.82% of the loan balance for loans with terms of greater than 180 months and 0.84% of the loan balance for loans with terms of 180 months. A significant change in the closure rate may result in a significant change in the ending fair value measurement of these derivatives relative to their total fair value. At September 30, 2013 and December 31, 2012, the estimated closure rate based on historical experience over the preceding two-year period was 76.4% and 72.1%, respectively. Because the closure rate and fair value of servicing rights are significant unobservable assumptions, interest rate lock commitments are included in Level 3 of the hierarchy.

Assets and liabilities measured at fair value on a recurring basis are summarized below:

	Fair Value Measurements at September 30, 2013, Using						Total Fair Value at September 30, 2013
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	292,510	$	—	$	292,510
U.S. government sponsored collateralized mortgage obligations	—		149,186		—		149,186
U.S. government agency securities	—		4,643		—		4,643
Municipal obligations	—		168		—		168
Other equity securities	—		5,993		—		5,993
Interest rate lock commitments	—		—		202		202

	Fair Value Measurements at December 31, 2012 Using						Total Fair Value at December 31, 2012
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	199,730	$	—	$	199,730
U.S. government sponsored collateralized mortgage obligations	—		172,896		—		172,896
U.S. government agency securities	—		5,015		—		5,015
Other equity securities	—		6,268		—		6,268
Interest rate lock commitments	—		—		264		264

A reconciliation and income statement classification of gains and losses for the assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the nine months ended September 30, 2013 and 2012 has not been provided since the amounts are not significant.

In accordance with ASC Topic 820, certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in

24

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

certain circumstances (for example, when there is evidence of impairment). Financial assets or liabilities required to be measured at fair value on a nonrecurring basis include impaired loans and mortgage servicing rights. Nonfinancial assets or liabilities required to be measured at fair value on a nonrecurring basis include other real estate owned.

Impaired loans (loans which are not expected to repay all principal and interest amounts due in accordance with the original contractual terms) are measured at an observable market price (if available) or at the fair value of the loan’s collateral (if collateral dependent). Fair value of the loan’s collateral is determined by appraisals or independent valuation which is then adjusted for the estimated costs related to liquidation of the collateral. Management’s ongoing review of appraisal information may result in additional discounts or adjustments to valuation based upon more recent market sales activity or more current appraisal information derived from properties of similar type and/or locale. A significant portion of the Company’s impaired loans are measured using the estimated fair market value of the collateral less the estimated costs to sell. Therefore, the Company has categorized its impaired loans as Level 3.

The following table presents impaired loans that were remeasured and reported at fair value through a specific reserve of the allowance for loan losses based upon the fair value of the underlying collateral during the nine months ended September 30, 2013 and 2012:

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of impaired loans	$	1,124		$	6,456
Specific reserve	(209		)	(552		)
Fair Value	$	915		$	5,904

Mortgage servicing rights are carried at the lower of amortized cost or estimated fair value. The estimated fair values of mortgage servicing rights are classified as Level 3 because they are obtained from independent third-party valuations through an analysis of cash flows and incorporating estimates of assumptions market participants would use in determining fair value, including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market-driven data, such as the market’s perception of future interest rate movements. At September 30, 2013 and December 31, 2012, the Company’s mortgage servicing rights were recorded at $1.4 million and $1.0 million, respectively.

Non-financial assets measured at fair value on a non-recurring basis are limited to other real estate owned. Other real estate owned is carried at fair value less estimated selling costs (as determined by independent appraisal) within Level 3 of the fair value hierarchy. At the time of foreclosure, the value of the underlying loan is written down to the fair value of the real estate to be acquired by a charge to the allowance for loan losses, if necessary. The fair value is reviewed periodically and subsequent write-downs are recorded accordingly. The following table represents other real estate owned that was remeasured and reported at fair value as of September 30, 2013 and September 30, 2012:

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of other real estate owned prior to remeasurement	$	1,631		$	7,314
Less: charge-offs recognized in the allowance for loan losses at initial acquisition	(18		)	(207		)
Add: fair value adjustments recognized in noninterest income at initial acquisition	43			—
Less: subsequent write-downs included in net loss on write-down of other real estate owned	(227		)	(773		)
Less: sales of other real estate owned	(502		)	(875		)
Carrying value of remeasured other real estate owned at end of period	$	927		$	5,459

25

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

Significant unobservable inputs used in Level 3 fair value measurements for financial assets and nonfinancial assets measured at fair value on a non-recurring basis at September 30, 2013 and December 31, 2012, are summarized below:

Quantitative Information about Level 3 Fair Value Measurements
	Fair Value (In thousands)		Valuation Techniques	Unobservable Input	Range  (Average)
September 30, 2013:
Impaired loans, net of allowance	$	915	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 120 (90)
Mortgage servicing rights	$	1,385	Discounted Cash Flow Analysis	Interest rate	2.6% - 7.9% (4.3%)
				Loan term (in months)	72 - 527 (313)
Other real estate owned	$	927	Third-Party Appraisal	Discount of market value	0% - 19.0% (15.4%)
				Estimated marketing costs	0% - 11.5% (9.8%)
				Estimated property maintenance	0% - 2.9% (2.3%)
December 31, 2012:
Impaired loans, net of allowance	$	703	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 85 (76)
Mortgage servicing rights	$	1,009	Discounted Cash Flow Analysis	Interest rate	2.0% - 8.1% (4.6%)
				Loan term (in months)	72 - 458 (323)
Other real estate owned	$	4,769	Third-Party Appraisal	Discount of market value	0% - 19.0% (4.0%)
				Estimated marketing costs	4.0% - 8.0% (7.0%)
				Estimated property maintenance	0% - 2.0% (0.4%)

There were no transfers between levels during the nine months ended September 30, 2013 or the year ended December 31, 2012.

ASC Topic 825, “Financial Instruments,” requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis.

The methodologies for estimating the fair value of financial assets and financial liabilities that are measured at fair value on a recurring or non-recurring basis are discussed above. The methodologies for the other financial assets and financial liabilities are discussed below:

Cash and cash equivalents: The carrying amounts for cash and cash equivalents approximate fair values.

Accrued interest receivable and payable: The carrying amounts for accrued interest receivable and payable approximate fair values.

Other investments: The carrying amount for other investments, which consists primarily of Federal Home Loan Bank stock, approximates fair values.

26

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

Loans held for sale: The fair value of loans held for sale is based on quoted market prices in the secondary market for loans with similar characteristics.

Loans: The estimated fair values for all fixed-rate loans are derived utilizing discounted cash flow analyses, the calculations of which are performed on groupings of loan receivables that are similar in terms of loan type and characteristics. The expected future cash flows of each grouping are discounted using the U.S. Treasury curve and current offering rates to calculate a discount spread to the curve. The estimated fair value for variable rate loans is the carrying amount. The impact of delinquent loans on the estimation of the fair values described above is not considered to have a material effect and, accordingly, delinquent loans have been disregarded in the valuation methodologies employed. Significant inputs to the fair value measurement of the loan portfolio are unobservable, and as such are classified as Level 3.

Deposits: The estimated fair value of demand deposit accounts is the carrying amount. The fair value of fixed-maturity certificates is estimated by discounting the estimated cash flows using the interest curve and current offering rates to calculate a discount spread to the curve.

Borrowed funds: The estimated fair value for borrowed funds is determined by discounting the estimated cash flows using the current rate at which similar borrowings would be made with similar ratings and maturities.

Off-balance sheet financial instruments: The fair values for the Company’s off-balance sheet commitments are estimated based on fees charged to others to enter into similar agreements taking into account the remaining terms of the agreements and credit standing of the members. The estimated fair value of these commitments is not significant.

The carrying amount and estimated fair value of the Company’s financial instruments at September 30, 2013 and December 31, 2012 are summarized as follows:

	September 30, 2013				December 31, 2012
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In thousands)
Financial assets:
Level 1 inputs:
Cash and cash equivalents	$	14,060	$	14,060	$	23,853	$	23,853
Level 2 inputs:
Securities available for sale	452,500		452,500		383,909		383,909
Other investments	20,352		20,352		12,867		12,867
Loans held for sale	1,341		1,401		8,829		9,094
Accrued interest receivable	3,502		3,502		3,340		3,340
Level 3 inputs:
Loans, net	862,654		877,332		735,271		743,463
Mortgage servicing rights	1,385		1,385		1,009		1,009
Interest rate lock commitments	202		202		264		264
Financial liabilities:
Level 2 inputs:
Federal Home Loan Bank advances	$	417,000	$	415,666	$	207,000	$	208,216
Other borrowings	7,000		7,000		11,000		11,000
Accrued interest payable	394		394		460		460
Level 3 inputs:
Deposits	802,017		804,917		816,302		820,551
Repurchase agreements	2,000		2,057		8,000		8,091
Off-balance sheet financial instruments:
Loan commitments	$	—	$	—	$	—	$	—
Letters of credit	—		—		—		—

27

OmniAmerican Bancorp, Inc. and Subsidiary

Condensed Notes to Unaudited Consolidated Interim Financial Statements — (Continued)

NOTE 10 — Subsequent Events

On October 9, 2013, the Company announced its plan to discontinue the purchase of auto loans originated through auto dealerships in order to strengthen the Company’s focus on its commercial, direct retail, and mortgage strategies. In addition to exiting the auto dealer market, the Company further reduced costs by eliminating 24 positions, which is approximately eight percent of the bank’s total workforce. Relative to these changes, the Company expects to record combined charges of approximately $800,000 in employee separation expense in the fourth quarter of 2013.

28

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Cautionary Statement Regarding Forward-Looking Information

This Quarterly Report on Form 10-Q contains forward-looking statements, which can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “plan,” “seek,” “expect,” “may,” and words of similar meaning. These forward-looking statements include, but are not limited to:

• statements of our goals, intentions, and expectations;

• statements regarding our business plans, prospects, growth, and operating strategies;

• statements regarding the asset quality of our loan and investment portfolios; and

• estimates of our risks and future costs and benefits.

These forward-looking statements are based on our current beliefs and expectations and are inherently subject to significant business, economic, and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. We are under no duty to and do not take any obligation to update any forward-looking statements after the date of this Quarterly Report.

The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements:

• general economic conditions, either nationally or in our market areas, that are worse than expected;

• competition among depository and other financial institutions;

• inflation and changes in the interest rate environment that reduce our margins or reduce the fair value of financial instruments;

• adverse changes in the securities markets;

• changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees and capital requirements;

• our ability to enter new markets successfully and capitalize on growth opportunities;

• our ability to successfully integrate acquired entities, if any;

• changes in consumer spending, borrowing, and savings habits;

• changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the Securities and Exchange Commission, and the Public Company Accounting Oversight Board;

• inability of borrowers and/or third-party providers to perform their obligations to us;

• the effect of developments in the secondary market affecting our loan pricing;

• changes in our organization, compensation, and benefit plans;

• changes in our financial condition or results of operations that reduce capital available to pay dividends;

• changes in the financial condition or future prospects of issuers of securities that we own;

• changes resulting from intense compliance and regulatory costs associated with the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”); and

• changes in our regulatory capital resulting from compliance with the final Basel III capital rules.

29

Because of these and a wide variety of other uncertainties, our actual future results may be materially different from the results indicated by these forward-looking statements. For a more detailed discussion of these and other factors that may affect our business, see the discussion under the caption “Risk Factors” in our Annual Report on Form 10-K and the discussion in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.

General

OmniAmerican Bancorp, Inc. (referred to herein as “we,” “us,” “our,” or the “Company”) is the Maryland corporation that owns all of the outstanding shares of common stock of OmniAmerican Bank (the “Bank”) following the January 20, 2010 completion of the mutual-to-stock conversion of the Bank and initial public stock offering of the Company. The Company has no significant assets other than all of the outstanding shares of common stock of the Bank and the net proceeds that we retained in connection with the offering.

The Bank is a federally chartered savings bank headquartered in Fort Worth, Texas. The Bank was originally chartered in 1956 as a federal credit union serving the active and retired military personnel of Carswell Air Force Base. The Bank converted from a Texas credit union charter to a federal mutual savings bank charter on January 1, 2006. The objective of the charter conversion was to convert to a savings bank charter in order to carry out our business strategy of broadening our banking services into residential real estate and commercial lending, selling loans, and servicing loans for others. Broadening the services offered has allowed the Bank to better serve the needs of its customers and the local community.

Our principal business consists primarily of accepting deposits from the general public and investing those deposits, together with funds generated from operations and borrowings, in loans and investments. Our lending activity has focused primarily on mortgage loans secured by residential real estate, consumer loans, consisting primarily of indirect automobile loans (automobile loans referred to us by automobile dealerships), and to a lesser extent, commercial real estate, real estate construction, commercial business, and direct automobile loans. In recent years, we have increased our residential real estate, real estate construction, commercial real estate and commercial business lending while deemphasizing our consumer lending activities.

On October 9, 2013, the Company announced its plan to discontinue the purchase of auto loans originated through auto dealerships in order to further strengthen the Company’s focus on its commercial, direct retail and mortgage lending strategies. In addition, the Company eliminated 24 positions in the auto lending and administrative functions, or approximately eight percent of its total workforce. The Company expects to record employee separation expense of approximately $800,000 during the fourth quarter of 2013 as a result of the workforce reduction.

Loans are originated from our main office in Fort Worth, Texas, and from our branch network in the Dallas-Fort Worth Metroplex and surrounding communities in North Texas. We generally sell the long-term, fixed-rate one- to four-family residential mortgage loans (terms 15 years or greater) that we originate either to the Federal National Mortgage Association on a servicing-retained basis or into the secondary mortgage market on a servicing-released basis, in order to generate fee income and for interest rate risk management purposes. We retain in our portfolio all adjustable-rate loans that we originate, as well as fixed-rate one- to four-family residential mortgage loans with terms less than 15 years.

In addition to loans, we invest in a variety of investments, primarily government sponsored mortgage-backed securities and government sponsored collateralized mortgage obligations, and to a lesser extent municipal obligations, agency bonds and equity securities. At September 30, 2013, our investment securities portfolio had an amortized cost of $451.3 million.

We attract retail deposits from the general public in the areas surrounding our main office and our branch offices. We offer a variety of deposit accounts, including noninterest-bearing and interest-bearing demand accounts, savings accounts, money market accounts, and certificates of deposit.

Our revenues are derived primarily from interest on loans, mortgage-backed securities, and other investment securities. We also generate revenues from fees and service charges. Our primary sources of funds are deposits, principal and interest payments on securities and loans, and borrowings.

The Securities and Exchange Commission’s Division of Corporation Finance staff issued disclosure guidance that summarizes its observations about Management’s Discussion and Analysis of Financial Condition and Results of Operations and accounting policy disclosures of smaller financial institutions. The focus of the guidance is on asset quality and loan accounting issues. Please refer to Note 4 of our unaudited interim financial statements for our detailed disclosures related to asset quality and loan accounting issues.

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Critical Accounting Policies

There are no material changes to the critical accounting policies disclosed in our Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013.

Comparison of Financial Condition at September 30, 2013 and December 31, 2012

Assets. Total assets increased$191.0 million, or 15.2%, to $1.45 billion at September 30, 2013 from $1.26 billion at December 31, 2012. The increase was primarily the result of increases in loans, net of the allowance for loan losses and deferred fees and discounts, of $127.4 million, securities available for sale of $68.6 million, bank-owned life insurance of $11.0 million, and the net deferred tax asset of $2.7 million, partially offset by decreases in cash and cash equivalents of $9.8 million, loans held for sale of $7.5 million, and other real estate owned of $3.8 million.

Cash and Cash Equivalents. Total cash and cash equivalents decreased$9.8 million, or 41.1%, to $14.1 million at September 30, 2013from $23.9 million at December 31, 2012. The decrease in total cash and cash equivalents reflects $398.4 million in cash used to originate loans, $210.0 million in cash used to purchase securities classified as available for sale, a $14.3 million net decrease in deposits, $10.0 million in cash used to purchase bank-owned life insurance, and $10.0 million in cash used to repay other borrowings. These decreases were partially offset by $225.7 million in cash received from loan principal repayments, a $210.0 million net increase in Federal Home Loan Bank advances, $84.7 million in proceeds from principal repayments and maturities of securities, $54.2 million of proceeds from the sales of loans, and $46.2 million in proceeds from the sales of securities available for sale. The loans sold during the nine months ended September 30, 2013 consisted of one- to four-family residential real estate loans with terms 15 years or greater. These loans were sold in order to manage our interest rate risk.

Loans held for sale. Loans held for sale decreased$7.5 million, or 84.8%, to $1.3 million at September 30, 2013 from $8.8 million at December 31, 2012. The decrease in loans held for sale was primarily related to reduced processing time of loan sales which resulted in $53.0 million in sales, partially offset by originations of $45.5 million during the nine months ended September 30, 2013.

Securities. Securities classified as available for sale increased$68.6 million, or 17.9%, to $452.5 million at September 30, 2013 from $383.9 million at December 31, 2012. The increase was primarily due to purchases of $210.0 million in securities classified as available for sale, partially offset by principal repayments and maturities of $84.7 million, sales of investment securities of $44.5 million, a decrease in unrealized gains of $9.7 million, and amortization of net premiums on investments of $2.5 million. At September 30, 2013, securities classified as available for sale consisted of government sponsored mortgage-backed securities, government sponsored collateralized mortgage obligations, agency bonds, municipal obligations, and other equity securities.

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Loans. Loans, net of the allowance for loan losses and deferred fees and discounts, increased$127.4 million, or 17.3%, to $862.7 million at September 30, 2013 from $735.3 million at December 31, 2012.

	September 30, 2013			December 31, 2012			Dollar change			Percent change
	(Dollars in thousands)
One- to four-family	$	258,793		$	251,756		$	7,037		2.8	%
Home equity	19,338			20,863			(1,525		)	(7.3	)
Commercial real estate	104,847			84,783			20,064			23.7
Real estate construction	69,229			52,245			16,984			32.5
Commercial business	76,294			63,390			12,904			20.4
Automobile, indirect	287,893			221,907			65,986			29.7
Automobile, direct	32,005			27,433			4,572			16.7
Other consumer	15,587			16,707			(1,120		)	(6.7	)
Total loans	863,986			739,084			124,902			16.9
Other items:
Unearned fees and discounts, net	5,358			3,087			2,271			73.6
Allowance for loan losses	(6,690		)	(6,900		)	210			(3.0	)
Total loans, net	$	862,654		$	735,271		$	127,383		17.3	%

The increase in automobile loans (consisting of direct and indirect loans) of $70.6 million, or 28.3%, to $319.9 million at September 30, 2013 from $249.3 million at December 31, 2012, related primarily to our competitive rate structure. Commercial real estate loans increased $20.0 million, or 23.7%, to $104.8 million at September 30, 2013 from $84.8 million at December 31, 2012. The increase in commercial real estate loans was primarily due to $33.2 million of loan originations, partially offset by loan repayments of $13.2 million during the nine months ended September 30, 2013. Real estate construction loans increased $17.0 million, or 32.5%, to $69.2 million at September 30, 2013 from $52.2 million at December 31, 2012, as new construction borrowing demand increased in our market area. Commercial business loans increased $12.9 million, or 20.4%, to $76.3 million at September 30, 2013 from $63.4 million at December 31, 2012. The increase in commercial business loans was primarily due to $41.4 million of loan originations and $12.9 million of increases in lines of credit, partially offset by loan repayments of $40.0 million and a $1.4 million decrease in our participating interest in mortgage warehouse lines of credit with another financial institution during the nine months ended September 30, 2013. One- to four-family residential real estate loans increased $7.0 million, or 2.8%, to $258.8 million at September 30, 2013 from $251.8 million at December 31, 2012. The increase in one- to four-family residential real estate loans was primarily due to originations of $50.5 million, partially offset by repayments of $43.3 million. These increases were partially offset by decreases in home equity loans of $1.5 million, and decreases in other consumer loans of $1.1 million, as these loans are maturing and paying off. We continue to monitor the composition of our loan portfolio and seek to obtain a reasonable return while containing the potential for risk of loss.

Allowance for Loan Losses. The allowance for loan losses decreased$210,000, or 3.0%, to $6.7 million at September 30, 2013 from $6.9 million at December 31, 2012. The allowance for loan losses represented 0.77% and 0.93% of total loans at September 30, 2013 and December 31, 2012, respectively. Included in the allowance for loan losses at September 30, 2013 were specific reserves of $209,000 related to four impaired loans with balances totaling $1.1 million. Impaired loans with balances totaling $14.1 million did not require specific reserves at September 30, 2013. The allowance for loan losses at December 31, 2012 included specific reserves of $278,000 related to three impaired loans with balances totaling $981,000. Impaired loans with balances totaling $19.5 million did not require specific reserves at December 31, 2012. The balance of unimpaired loans increased $130.1 million, or 18.1%, to $848.7 million at September 30, 2013 from $718.6 million at December 31, 2012. The allowance for loan losses related to unimpaired loans decreased $140,000, or 2.1%, to $6.5 million at September 30, 2013 from $6.6 million at December 31, 2012.

The significant changes in the amount of the allowance for loan losses during the nine months ended September 30, 2013 related to: (i) a $633,000 decrease in the allowance for loan losses attributable to unimpaired commercial loans resulting from improvement in loan quality within the commercial portfolio at September 30, 2013 as compared to December 31, 2012 and (ii) a $491,000 increase in the allowance for loan losses attributable to unimpaired consumer loans resulting from a $69.4 million, or 26.1%, increase in unimpaired consumer loans outstanding at September 30, 2013 from December 31, 2012. Management also considered local economic factors and unemployment as well as the higher risk profile of real estate construction and commercial business loans when evaluating the adequacy of the allowance for loan losses as it pertains to these types of loans.

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Bank-Owned Life Insurance. Bank-owned life insurance increased $11.0 million, or 34.3%, to $43.2 million at September 30, 2013 from $32.2 million at December 31, 2012. The increase in bank-owned life insurance is primarily due to purchases of $10.0 million of life insurance policies on certain key employees to help offset costs associated with the Company’s compensation and benefits programs and to generate competitive investment yields.

Deposits. Deposits decreased $14.3 million, or 1.7%, to $802.0 million at September 30, 2013 from $816.3 million at December 31, 2012.

	September 30, 2013		December 31, 2012		Dollar change			Percent change
	(Dollars in thousands)
Noninterest-bearing demand	$	51,209	$	47,331	$	3,878		8.2	%
Interest-bearing demand	140,796		139,976		820			0.6
Savings	105,108		105,946		(838		)	(0.8	)
Money market	232,144		229,537		2,607			1.1
Certificates of deposit	272,760		293,512		(20,752		)	(7.1	)
Total deposits	$	802,017	$	816,302	$	(14,285	)	(1.7	)%

The decrease in deposits was primarily attributable to a decrease in certificates of deposits of $20.8 million, partially offset by increases in noninterest-bearing demand deposits of $3.9 million and money market deposits of $2.6 million. The decrease in certificates of deposits resulted from certificates of deposit that matured and were not renewed. The increase in noninterest-bearing demand deposits was primarily related to growth in commercial deposits. The increase in money market deposits was primarily attributable to increased sales of a cash sweep product.

Borrowings. Federal Home Loan Bank advances increased $210.0 million, or 101.4%, to $417.0 million at September 30, 2013 from $207.0 million at December 31, 2012. The increase in Federal Home Loan Bank advances was attributable to advances of $335.0 million, partially offset by scheduled maturities of $125.0 million during the nine months ended September 30, 2013. Other borrowings decreased$10.0 million, or 52.6%, to $9.0 million at September 30, 2013 from $19.0 million at December 31, 2012, due to the maturity and repayment of $6.0 million of repurchase agreements that occurred in January 2013 and a decrease in overnight borrowings of $4.0 million.

Stockholders’ Equity. At September 30, 2013, our stockholders’ equity was $206.3 million, an increase of $725,000, or 0.4%, from $205.6 million at December 31, 2012.

	September 30, 2013			December 31, 2012			Dollar change			Percent change
	(Dollars in thousands)
Common stock	$	115		$	114		$	1		0.9	%
Additional paid-in capital	108,741			106,684			2,057			1.9	%
Unallocated ESOP shares	(8,094		)	(8,379		)	285			(3.4	)%
Retained earnings	106,680			101,877			4,803			4.7	%
Accumulated other comprehensive (loss) income	(1,139		)	5,282			(6,421		)	(121.6	)%
Total stockholders’ equity	$	206,303		$	205,578		$	725		0.4	%

The increase in stockholders’ equity was primarily due to net income of $4.8 million for the nine months ended September 30, 2013, share-based compensation expense of $1.5 million, and ESOP compensation expense of $685,000 during the nine months ended September 30, 2013. This increase was partially offset by other comprehensive losses resulting from a decrease in unrealized gains on available for sale securities of $6.4 million after tax, partially due to the sale of $44.5 million in investment securities that resulted in a realized gain of $1.7 million for the nine months ended September 30, 2013.

Comparison of Operating Results for the Three Months Ended September 30, 2013 and 2012

General. Net income decreased $100,000, or 4.4%, to $2.2 million for the three months ended September 30, 2013 from $2.3 million for the prior year period. The decrease in net income reflected an increase in noninterest expense of $1.2 million and a decrease in noninterest income of $907,000, partially offset by an increase in net interest income of $1.6 million and a decrease in the provision for loan losses of $350,000.

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Interest Income. Interest income increased $937,000, or 7.5%, to $13.4 million for the three months ended September 30, 2013 from $12.5 million for the three months ended September 30, 2012. The increase resulted primarily from the recognition of $1.3 million of interest income on a non-performing loan that paid off in July 2013. Excluding this $1.3 million of interest income, total interest income decreased $320,000, primarily due to a 29 basis point decrease in the average yield on interest-earning assets, to 3.84% for the three months ended September 30, 2013 from 4.13% for the three months ended September 30, 2012, partially offset by an increase in the average balance of interest-earning assets of $56.5 million, or 4.7%, to $1.27 billion for the three months ended September 30, 2013 from $1.21 billion for the three months ended September 30, 2012. The increase in our average balance of interest-earning assets during the three months ended September 30, 2013 as compared to the prior year period was due to an increase in the volume of originations of new loans.

	Three Months Ended September 30,				Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Interest income:
Loans, including fees	$	11,097	$	9,753	$	1,344		13.8	%
Securities—taxable	2,335		2,742		(407		)	(14.8	)
Securities—nontaxable	—		—		—			—
Total interest income	$	13,432	$	12,495	$	937		7.5	%

The increase in interest income on loans of $1.3 million was primarily due to the recognition of $1.3 million of interest income on a non-performing loan that was paid off in July 2013. Excluding this $1.3 million of interest income, interest income on loans increased $87,000 for the three months ended September 30, 2013 compared to the prior year period. The increase in interest income on loans was due to an increase in the average balance of our loan portfolio of $90.8 million, or 12.1%, to $841.9 million for the three months ended September 30, 2013 from $751.1 million for the three months ended September 30, 2012, partially offset by a decrease in the average yield on our loan portfolio of 51 basis points to 4.68% for the three months ended September 30, 2013 from 5.19% for the three months ended September 30, 2012.

The decrease in interest income on investment securities of $407,000 resulted primarily from a $35.6 million, or 8.1%, decrease in the average balance of our securities portfolio to $404.0 million for the three months ended September 30, 2013 from $439.6 million for the three months ended September 30, 2012, primarily due to sales, principal repayments, and maturities of securities. In addition to the decrease in the average balance of our securities portfolio, the average yield on our securities portfolio decreased 18 basis points to 2.29% for the three months ended September 30, 2013 from 2.47% for the three months ended September 30, 2012.

Interest Expense. Interest expense decreased by $684,000, or 27.2%, to $1.8 million for the three months ended September 30, 2013 from $2.5 million for the three months ended September 30, 2012.

	Three Months Ended September 30,				Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Interest expense:
Deposits	$	1,181	$	1,530	$	(349	)	(22.8	)%
Borrowed funds	646		981		(335		)	(34.1	)
Total interest expense	$	1,827	$	2,511	$	(684	)	(27.2	)%

The decrease in interest expense on deposits of $349,000 resulted from a decrease in the average rate we paid on deposits and a decrease in the average balance of interest-bearing deposits. The average rate we paid decreased 17 basis points to 0.63% for the three months ended September 30, 2013 from 0.80% for the three months ended September 30, 2012, as we were able to reprice our deposits lower as market interest rates declined. The average balance of interest-bearing deposits decreased $12.7 million, or 1.7%, to $751.0 million for the three months ended September 30, 2013 from $763.7 million for the three months ended September 30, 2012. The decrease in the average balance of our interest-bearing deposits was primarily due to decreases in the average balances of our certificates of deposit, partially offset by increases in the average balances of our interest-bearing demand accounts and savings accounts.

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Interest expense on certificates of deposit decreased $329,000, or 24.4%, to $1.0 million for the three months ended September 30, 2013 from $1.3 million for the three months ended September 30, 2012. The average balance of certificates of deposit decreased $19.4 million, or 6.6%, to $276.8 million for the three months ended September 30, 2013 from $296.2 million for the three months ended September 30, 2012. In addition, the average rate paid on certificates of deposit decreased 35 basis points to 1.47% for the three months ended September 30, 2013 from 1.82% for the three months ended September 30, 2012, reflecting the continuing low market interest rate environment.

The decrease in interest expense on borrowed funds of $335,000 resulted primarily from a 61 basis point decrease in the average rate paid on borrowed funds to 0.73% for the three months ended September 30, 2013 from 1.34% for the three months ended September 30, 2012, partially offset by an increase of $58.9 million, or 20.1%, in the average balance of borrowed funds to $352.6 million for the three months ended September 30, 2013 from $293.7 million for the three months ended September 30, 2012.

Net Interest Income. Net interest income increased by $1.6 million, or 16.2%, to $11.6 million for the three months ended September 30, 2013 from $10.0 million for the prior year period. Our interest rate spread increased 40 basis points to 3.58% for the three months ended September 30, 2013 from 3.18% for the three months ended September 30, 2012. Our net interest margin increased 36 basis points to 3.66% for the three months ended September 30, 2013 from 3.30% for the three months ended September 30, 2012. These increases in net interest income, the net interest margin, and the interest rate spread resulted primarily from the recognition of $1.3 million of interest income on a non-performing loan that paid off in July 2013. Excluding this $1.3 million of interest income, net interest income increased $364,000, primarily due to an increase of $91.4 million, or 12.2%, in the average balance of our loan portfolio to $842.5 million for the three months ended September 30, 2013 from $751.1 million for the three months ended September 30, 2012, a 35 basis point decrease in the average rate we paid on certificates of deposit to 1.47% for the three months ended September 30, 2013 from 1.82% for the three months ended September 30, 2012, and a 61 basis point decrease in the average rate paid on borrowed funds to 0.73% for the three months ended September 30, 2013 from 1.34% for the three months ended September 30, 2012. Excluding the $1.3 million of interest income on the non-performing loan, the net interest rate spread remained constant at 3.18% and the net interest margin decreased three basis points to 3.27%.

Provision for Loan Losses. We recorded a provision for loan losses of $200,000 for the three months ended September 30, 2013 compared to $550,000 provision for loan losses for the three months ended September 30, 2012. The provision for loan losses is charged to operations to bring the allowance for loan losses to a level that reflects management’s best estimate of the losses inherent in the portfolio. An evaluation of the loan portfolio, current economic conditions, and other factors is performed at each balance sheet date. The allowance for loan losses to total loans receivable decreased to 0.77% at September 30, 2013 from 0.95% at September 30, 2012. Total substandard loans decreased $2.8 million, or 17.5%, to $13.4 million at September 30, 2013 from $16.2 million at September 30, 2012. Total impaired loans decreased $6.6 million, or 30.3%, to $15.3 million at September 30, 2013 from $21.9 million at September 30, 2012. Total loans increased$131.7 million, or 18.0%, to $864.0 million at September 30, 2013 from $732.3 million at September 30, 2012.

Non-performing loans include loans on non-accrual status or loans delinquent 90 days or greater and still accruing interest. None of our loans were delinquent 90 days or greater and still accruing interest at either September 30, 2013 or September 30, 2012. At September 30, 2013, non-performing loans totaled $5.9 million, or 0.69%, of total loans, compared to $8.4 million, or 1.14%, of total loans, at September 30, 2012. The allowance for loan losses as a percentage of non-performing loans increased to 112.70% at September 30, 2013 from 87.45% at September 30, 2012.

Noninterest Income. Noninterest income decreased $907,000, or 19.3%, to $3.8 million for the three months ended September 30, 2013 from $4.7 million for the three months ended September 30, 2012.

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	Three Months Ended September 30,					Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Noninterest income:
Service charges and other fees	$	2,349	$	2,263		$	86		3.8	%
Net gains on sales of loans	405		941			(536		)	(57.0	)
Net gains on sales of securities available for sale	—		762			(762		)	100.0
Net gains on sales of premises and equipment	—		(1		)	1			100.0
Net gains (losses) on sales of repossessed assets	20		(91		)	111			(122.0	)
Commissions	462		341			121			35.5
Increase in cash surrender value of bank-owned life insurance	368		317			51			16.1
Other income	193		172			21			12.2
Total noninterest income	$	3,797	$	4,704		$	(907	)	(19.3	)%

The decrease in noninterest income was primarily attributable to a $762,000decrease in net gains on the sales of investments and a $536,000decrease in net gains on the sales of loans, partially offset by a $121,000increase in commissions and a net gain on sales of repossessed assets of $20,000 compared to a net loss of $91,000 for the same period in the prior year. The decrease in gains on sales of investment securities is attributable to proceeds from sales of investment securities of $33.9 million in the third quarter of 2012 and $3,000 in the third quarter of 2013. The decrease in gains on sales of loans resulted primarily from a decrease in the volume of loans sold during the three months ended September 30, 2013 compared to the three months ended September 30, 2012. The increase in commissions is primarily due to increases in sales of fixed annuity investment products. The decrease in net losses on sales of repossessed assets was due primarily to a $15,000 net gain on the sale of two other real estate owned properties for the three months ended September 30, 2013 compared to a $55,000 net loss on the sale of three other real estate owned properties for the three months ended September 30, 2012.

Noninterest Expense. Noninterest expense increased $1.2 million, or 11.0%, to $11.9 million for the three months ended September 30, 2013 from $10.7 million for the three months ended September 30, 2012.

	Three Months Ended September 30,					Dollar change			Percent change
	2013			2012
	(Dollars in thousands)
Noninterest expense:
Salaries and benefits	$	6,645		$	6,059	$	586		9.7	%
Software and equipment maintenance	719			547		172			31.4
Depreciation of furniture, software, and equipment	394			432		(38		)	(8.8	)
FDIC insurance	193			211		(18		)	(8.5	)
Net loss on write-down of other real estate owned	205			41		164			400.0
Real estate owned (income) expense	(29		)	47		(76		)	(161.7	)
Service fees	133			116		17			14.7
Communications costs	258			267		(9		)	(3.4	)
Other operations expense	775			733		42			5.7
Occupancy	959			1,004		(45		)	(4.5	)
Professional and outside services	1,145			1,063		82			7.7
Loan servicing	281			44		237			538.6
Marketing	212			144		68			47.2
Total noninterest expense	$	11,890		$	10,708	$	1,182		11.0	%

The increase in noninterest expense was primarily attributable to a $586,000increase in salaries and benefits expense, a $237,000increase in loan servicing costs, a $172,000increase in software and equipment maintenance, and a $164,000increase in the net loss on write-down of other real estate owned. The increase in salaries and benefits expense was due primarily to a $312,000 increase in health insurance expense due to unfavorable medical claims experience and a $213,000

36

increase in equity incentive plan expenses. The increase in loan servicing costs was due primarily to a $228,000 increase in the accrued liability for credit losses on loan commitments due to a $57.4 million increase in unfunded commitments at September 30, 2013 compared to September 30, 2012. The increase in software and equipment maintenance expense resulted primarily from the addition of new software related to our enhanced E-banking and mobile banking services as well as higher costs on renewals of existing maintenance contracts. The increase in the net loss on write-down of other real estate owned expense resulted primarily from two other real estate owned properties that were written down for a total of $205,000 during the quarter ended September 30, 2013, compared to the write-down of two properties for a total of $41,000 in write-downs during the quarter ended September 30, 2012.

Income Tax Expense. Income tax expense remained relatively unchanged at $1.1 million for the three months ended September 30, 2013 and September 30, 2012 which reflected an effective tax rate of 33.70% for the three months ended September 30, 2013 and an effective tax rate of 33.06% for the three months ended September 30, 2012.

Analysis of Net Interest Income — Three Months Ended September 30, 2013 and 2012

Net interest income, the primary contributor to earnings, represents the difference between income on interest-earning assets and expenses on interest-bearing liabilities. Net interest income depends upon the volume of interest-earning assets and interest-bearing liabilities and the interest rates earned or paid on them.

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Average Balances and Yields

The following table sets forth average balance sheets, average yields and costs, and certain other information at or for the periods indicated. All average balances are daily average balances. Non-accrual loans were included in the computation of average balances, but have been reflected in the table as loans carrying a zero yield. The yields set forth below include the effect of deferred fees, discounts and premiums that are amortized or accreted to interest income or expense.

	For the Three Months Ended September 30,
	2013							2012
	Average Outstanding Balance			Interest		Yield/ Rate(1)		Average Outstanding Balance			Interest		Yield/ Rate(1)
	(Dollars in thousands)
Interest-earning assets:
Loans (2)	$	842,492		$	11,097	5.27	%	$	751,068		$	9,753	5.19	%
Investment securities available for sale	403,988			2,316		2.29		439,636			2,718		2.47
Cash and cash equivalents	3,553			2		0.23		4,920			5		0.41
Other	17,359			17		0.39		15,306			19		0.50
Total interest-earning assets (2)	1,267,392			13,432		4.24		1,210,930			12,495		4.13
Noninterest-earning assets	109,093							105,191
Total assets	$	1,376,485						$	1,316,121
Interest-bearing liabilities:
Interest-bearing demand	$	140,172		$	22	0.06	%	$	134,473		$	30	0.09	%
Savings accounts	105,794			12		0.05		104,711			15		0.06
Money market accounts	228,231			130		0.23		228,258			139		0.24
Certificates of deposit	276,817			1,017		1.47		296,217			1,346		1.82
Total interest-bearing deposits	751,014			1,181		0.63		763,659			1,530		0.80
Federal Home Loan Bank advances	338,793			627		0.74		263,783			721		1.09
Other secured borrowings	13,841			19		0.55		29,917			260		3.48
Total interest-bearing liabilities	1,103,648			1,827		0.66		1,057,359			2,511		0.95
Noninterest-bearing liabilities(3)	68,878							54,557
Total liabilities	1,172,526							1,111,916
Equity	203,959							204,205
Total liabilities and equity	$	1,376,485						$	1,316,121
Net interest income				$	11,605						$	9,984
Interest rate spread (2) (4)						3.58	%						3.18	%
Net interest-earning assets (5)	$	163,744						$	153,571
Net interest margin (2)(6)						3.66	%						3.30	%
Average interest-earning assets to interest-bearing liabilities	114.84		%					114.52		%

_______________________

(1) Annualized.

(2) Yields on loans and total interest-earning assets, the interest rate spread and the net interest margin include the effects of $1.3 million of non-accrual interest income recorded during the quarter ended September 30, 2013. The yields on loans and total interest-earning assets would have been 4.68% and 3.84%, respectively, excluding this non-accrual interest income. In addition, the interest rate spread would have been 3.18% and the net interest margin would have been 3.27%.

(3) Includes noninterest-bearing deposits.

(4) Interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(5) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(6) Net interest margin represents net interest income divided by average total interest-earning assets.

38

Rate/Volume Analysis

The following table presents the effects of changing rates and volumes on our net interest income for the periods indicated. The rate column shows the effects attributable to changes in rate (changes in rate multiplied by later volume). The volume column shows the effects attributable to changes in volume (changes in volume multiplied by prior rate). The net column represents the sum of the prior columns. For purposes of this table, changes attributable to both rate and volume, which cannot be segregated, have been allocated proportionately, based on the changes due to rate and the changes due to volume.

	Three Months Ended September 30, 2013 vs. 2012
	Increase (Decrease) Due to						Total Increase (Decrease)
	Volume			Rate
	(In thousands)
Interest-earning assets:
Loans	$	1,187		$	157		$	1,344
Investment securities available for sale	(220		)	(182		)	(402		)
Cash and cash equivalents	(1		)	(2		)	(3		)
Other	3			(5		)	(2		)
Total interest-earning assets	$	969		$	(32	)	$	937
Interest-bearing liabilities:
Interest-bearing demand	$	1		$	(9	)	$	(8	)
Savings accounts	—			(3		)	(3		)
Money market accounts	—			(9		)	(9		)
Certificates of deposit	(88		)	(241		)	(329		)
Total interest-bearing deposits	(87		)	(262		)	(349		)
Federal Home Loan Bank advances	205			(299		)	(94		)
Other secured borrowings	(140		)	(101		)	(241		)
Total interest-bearing liabilities	$	(22	)	$	(662	)	$	(684	)
Change in net interest income	$	991		$	630		$	1,621

Comparison of Operating Results for the Nine Months EndedSeptember 30, 2013 and 2012

General. Net income increased $264,000, or 5.8%, to $4.8 million for the nine months ended September 30, 2013 from $4.5 million for the prior year period. The increase in net income for the nine months ended September 30, 2013 reflected a decrease in interest expense of $2.7 million and an increase in noninterest income of $1.5 million, partially offset by a decrease in interest income of $2.6 million and an increase in noninterest expense of $1.2 million.

Interest Income. Interest income decreased $2.6 million, or 6.7%, to $35.9 million for the nine months ended September 30, 2013 from $38.5 million for the nine months ended September 30, 2012. The decrease resulted from decreases in average yield and average balance of interest-earning assets. The average yield on interest-earning assets decreased 16 basis points to 3.98% for the nine months ended September 30, 2013 from 4.14% for the nine months ended September 30, 2012. The average balance of interest-earning assets decreased $35.9 million, or 2.9%, to $1.20 billion for the nine months ended September 30, 2013 from $1.24 billion for the nine months ended September 30, 2012. The decrease in our average yield on interest-earning assets during the nine months ended September 30, 2013 as compared to the prior year period was due to the sustained low short-term market interest rate environment.

39

	Nine Months Ended September 30,				Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Interest income:
Loans, including fees	$	29,263	$	29,139	$	124		0.4	%
Securities—taxable	6,613		9,331		(2,718		)	(29.1	)
Securities—nontaxable	1		—		1			—
Total interest income	$	35,877	$	38,470	$	(2,593	)	(6.7	)%

The increase in interest income on loans of $124,000 was due to the recognition of $1.3 million of interest income on a non-performing loan that paid off in July 2013. Excluding this $1.3 million of interest income results in a $1.2 million decrease in interest income on loans for the nine months ended September 30, 2013 compared to the nine months ended September 30, 2012. The decrease resulted primarily from a decrease in the average yield on our loan portfolio of 57 basis points to 4.75% for the nine months ended September 30, 2013 from 5.32% for the nine months ended September 30, 2012, partially offset by an increase in the average balance of loans of $57.0 million, or 7.8%, to $786.7 million for the nine months ended September 30, 2013 from $729.7 million for the nine months ended September 30, 2012.

Interest income on investment securities decreased $2.7 million, or 29.1%, to $6.6 million for the nine months ended September 30, 2013 from $9.3 million for the nine months ended September 30, 2012. The decrease resulted primarily from decreases in the average balance and average yield of our securities portfolio. The average balance of our securities portfolio decreased $93.9 million, or 19.2%, to $395.7 million for the nine months ended September 30, 2013 from $489.6 million for the nine months ended September 30, 2012, due to sales, redemptions and maturities of securities, primarily U.S. government sponsored mortgage-backed securities and collateralized mortgage obligations. The average yield on our securities portfolio decreased 31 basis points to 2.21% for the nine months ended September 30, 2013 from 2.52% for the nine months ended September 30, 2012.

Interest Expense. Interest expense decreased by $2.7 million, or 32.0%, to $5.9 million for the nine months ended September 30, 2013 from $8.6 million for the nine months ended September 30, 2012.

	Nine Months Ended September 30,				Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Interest expense:
Deposits	$	4,028	$	4,781	$	(753	)	(15.7	)%
Borrowed funds	1,832		3,831		(1,999		)	(52.2	)
Total interest expense	$	5,860	$	8,612	$	(2,752	)	(32.0	)%

The decrease in interest expense on deposits of $753,000 resulted from a decrease in the average rate we paid on deposits and a decrease in the average balance of interest-bearing deposits. The average rate we paid decreased 12 basis points to 0.71% for the nine months ended September 30, 2013 from 0.83% for the nine months ended September 30, 2012, as we were able to reprice our deposits lower as market interest rates declined. The average balance of interest-bearing deposits decreased $10.6 million, or 1.4%, to $759.4 million for the nine months ended September 30, 2013 from $770.0 million for the nine months ended September 30, 2012. The decrease in the average balance of our interest-bearing deposits was primarily due to decreases in the average balances of our savings accounts and certificates of deposit, partially offset by increases in the average balances of our money market accounts and interest-bearing demand accounts. This shift in deposit composition also contributed to the decrease in the average rate paid on deposits.

Interest expense on certificates of deposit decreased $680,000, or 16.2%, to $3.5 million for the nine months ended September 30, 2013 from $4.2 million for the nine months ended September 30, 2012. The average rate paid on certificates of deposit decreased 20 basis points to 1.64% for the nine months ended September 30, 2013 from 1.84% for the nine months ended September 30, 2012, reflecting the continuing low market interest rate environment. In addition, the average balance of certificates of deposit decreased $18.6 million, or 6.1%, to $286.2 million for the nine months ended September 30, 2013 from $304.8 million for the nine months ended September 30, 2012.

40

The decrease in interest expense on borrowed funds of $2.0 million resulted primarily from a decrease of $35.1 million, or 11.1%, in the average balance of borrowed funds to $280.6 million for the nine months ended September 30, 2013 from $315.7 million for the nine months ended September 30, 2012. In addition, the average rate paid on borrowed funds decreased 75 basis points to 0.87% for the three months ended September 30, 2013 from 1.62% for the nine months ended September 30, 2012.

Net Interest Income. Net interest income increased by $159,000, or 0.5%, to $30.0 million for the nine months ended September 30, 2013 from $29.9 million for the prior year period. Our net interest margin increased 12 basis points to 3.33% for the nine months ended September 30, 2013 from 3.21% for the nine months ended September 30, 2012. The increase in net interest margin was primarily attributable to a $45.8 million, or 4.2%, decrease in the average balance of interest bearing liabilities to $1.04 billion for the nine months ended September 30, 2013 from $1.09 billion for the nine months ended September 30, 2012. Our interest rate spread increased 15 basis point to 3.23% for the nine months ended September 30, 2013 from 3.08% for the nine months ended September 30, 2012.

Provision for Loan Losses. We recorded a provision for loan losses of $1.8 million for the nine months ended September 30, 2013 compared to a provision for loan losses of $2.0 million for the nine months ended September 30, 2012. The provision for loan losses is charged to operations to bring the allowance for loan losses to a level that reflects management’s best estimate of the losses inherent in the portfolio. An evaluation of the loan portfolio, current economic conditions and other factors is performed at each balance sheet date. Net charge-offs decreased $142,000 to $2.0 million for the nine months ended September 30, 2013 from $2.2 million for the nine months ended September 30, 2012. Annualized net charge-offs as a percentage of average loans outstanding was 0.51% for the nine months ended September 30, 2013 compared to 0.59% for the nine months ended September 30, 2012. The allowance for loan losses to total loans decreased to 0.77% at September 30, 2013 from 0.99% at September 30, 2012. Total substandard loans decreased $2.8 million, or 17.5%, to $13.4 million at September 30, 2013 from $16.2 million at September 30, 2012. Total impaired loans decreased $6.6 million, or 30.3%, to $15.3 million at September 30, 2013 from $21.9 million at September 30, 2012. Total loans increased$131.7 million, or 18.0%, to $864.0 million at September 30, 2013 from $732.3 million at September 30, 2012.

Non-performing loans include loans on non-accrual status or loans delinquent 90 days or greater and still accruing interest. None of our loans were delinquent 90 days or greater and still accruing interest at either September 30, 2013 or September 30, 2012. At September 30, 2013, non-performing loans totaled $5.9 million, or 0.69% of total loans, compared to $8.4 million, or 1.14% of total loans, at September 30, 2012. The allowance for loan losses as a percentage of non-performing loans increased to 112.70% at September 30, 2013 from 87.45% at September 30, 2012.

Noninterest Income. Noninterest income increased $1.5 million, or 13.1%, to $13.0 million for the nine months ended September 30, 2013 from $11.5 million for the nine months ended September 30, 2012.

	Nine Months Ended September 30,					Dollar change			Percent change
	2013		2012
	(Dollars in thousands)
Noninterest income:
Service charges and other fees	$	6,795	$	6,541		$	254		3.9	%
Net gains on sales of loans	1,427		1,761			(334		)	(19.0	)
Net gains on sales of securities available for sale	1,701		860			841			100.0
Net gains on sales of premises and equipment	344		—			344			100.0
Net gains (losses) on sales of repossessed assets	17		(65		)	82			(126.2	)
Commissions	1,067		1,080			(13		)	(1.2	)
Increase in cash surrender value of bank-owned life insurance	1,051		854			197			23.1
Other income	640		497			143			28.8
Total noninterest income	$	13,042	$	11,528		$	1,514		13.1	%

The increase was primarily attributable to a $841,000 increase in net gains on sales of investment securities, a $344,000increase in net gains on sales of premises and equipment, and a $254,000 increase in service charges and other fees, partially offset by a $334,000 decrease in the net gains on sales of loans. The increase in gains on sales of investment securities was attributable to sales of $44.5 million of securities available for sale with gross realized gains of $1.7 million for the nine months ended September 30, 2013 compared to sales of $59.6 million of securities available for sale with gross realized gains of $860,000 for the nine months ended September 30, 2012. The increase in gains on sales of premises and equipment resulted

41

primarily from the sale of land adjacent to one of our branch locations during the nine months ended September 30, 2013. The increase in service charges and other fees was due primarily to a decrease in mortgage servicing rights impairment of $421,000 during the nine months ended September 30, 2013 compared to same period in the prior year. This decrease was due to declines in prepayment speeds resulting from declines in the volume of mortgage loan refinancing. The decrease in gains on sales of loans resulted primarily from less favorable pricing on loans sold due to rising interest rates during the nine months ended September 30, 2013 compared to the nine months ended September 30, 2012.

Noninterest Expense. Noninterest expense increased $1.2 million, or 3.7%, to $33.9 million for the nine months ended September 30, 2013 from $32.7 million for the nine months ended September 30, 2012.

	Nine Months Ended September 30,					Dollar change			Percent change
	2013			2012
	(Dollars in thousands)
Noninterest expense:
Salaries and benefits	$	19,442		$	18,226	$	1,216		6.7	%
Software and equipment maintenance	2,025			1,765		260			14.7
Depreciation of furniture, software, and equipment	1,222			1,321		(99		)	(7.5	)
FDIC insurance	522			635		(113		)	(17.8	)
Net loss on write-down of other real estate owned	227			773		(546		)	(70.6	)
Real estate owned (income) expense	(64		)	135		(199		)	(147.4	)
Service fees	373			353		20			5.7
Communications costs	731			806		(75		)	(9.3	)
Other operations expense	2,341			2,296		45			2.0
Occupancy	2,884			2,918		(34		)	(1.2	)
Professional and outside services	3,185			2,919		266			9.1
Loan servicing	513			205		308			150.2
Marketing	520			362		158			43.6
Total noninterest expense	$	33,921		$	32,714	$	1,207		3.7	%

The increase in noninterest expense was primarily due to a $1.2 millionincrease in salaries and benefits expense and a $308,000 increase in loan servicing expense, partially offset by a $546,000 decrease in the net loss on write-down of other real estate owned. The increase in salaries and benefits expense was due primarily to a $581,000 increase in health insurance expense due to unfavorable medical claims experience, a $334,000 increase in equity incentive plan expenses, and a $257,000 increase in salaries expense due in part to annual salary increases implemented at the beginning of 2013. The increase in loan servicing costs was primarily due to a $239,000 increase in the accrued liability for credit losses on loan commitments due to a $57.4 million increase in unfunded commitments at September 30, 2013 compared to September 30, 2012. The decrease in the net loss on write-down of other real estate owned expense resulted from 11 properties that were written down for a total $733,000 during the nine months ended September 30, 2012 while four other real estate owned properties were written down for a total of $227,000 during the nine months ended September 30, 2013.

Income Tax Expense. During the nine months ended September 30, 2013, we recognized income tax expense of $2.5 million, reflecting an effective tax rate of 34.55%, compared to income tax expense of $2.2 million, reflecting an effective tax rate of 32.48%, for the nine months ended September 30, 2012. The increase in the effective tax rate was primarily due to an increase in the nondeductible expenses.

Analysis of Net Interest Income — Nine Months EndedSeptember 30, 2013 and 2012

Net interest income, the primary contributor to earnings, represents the difference between income on interest-earning assets and expenses on interest-bearing liabilities. Net interest income depends upon the volume of interest-earning assets and interest-bearing liabilities and the interest rates earned or paid on them.

42

Average Balances and Yields

The following table sets forth average balance sheets, average yields and costs, and certain other information at or for the periods indicated. All average balances are daily average balances. Non-accrual loans were included in the computation of average balances, but have been reflected in the table as loans carrying a zero yield. The yields set forth below include the effect of deferred fees, discounts and premiums that are amortized or accreted to interest income or expense.

	For the Nine Months Ended September 30,
	2013							2012
	Average Outstanding Balance			Interest		Yield/ Rate(1)		Average Outstanding Balance			Interest		Yield/ Rate(1)
	(Dollars in thousands)
Interest-earning assets:
Loans	$	789,284		$	29,263	4.94	%	$	729,664		$	29,139	5.32	%
Investment securities available for sale	395,671			6,555		2.21		489,578			9,257		2.52
Cash and cash equivalents	3,324			7		0.28		5,092			16		0.42
Other	14,770			52		0.47		14,650			58		0.53
Total interest-earning assets	1,203,049			35,877		3.98		1,238,984			38,470		4.14
Noninterest-earning assets	107,012							100,644
Total assets	$	1,310,061						$	1,339,628
Interest-bearing liabilities:
Interest-bearing demand	$	140,158		$	77	0.07	%	$	134,041		$	90	0.09	%
Savings accounts	105,404			36		0.05		126,987			100		0.10
Money market accounts	227,601			400		0.23		204,189			396		0.26
Certificates of deposit	286,206			3,515		1.64		304,795			4,195		1.84
Total interest-bearing deposits	759,369			4,028		0.71		770,012			4,781		0.83
Federal Home Loan Bank advances	266,463			1,769		0.89		261,896			2,098		1.07
Other secured borrowings	14,108			63		0.60		53,842			1,733		4.29
Total interest-bearing liabilities	1,039,940			5,860		0.75		1,085,750			8,612		1.06
Noninterest-bearing liabilities(2)	64,571							51,642
Total liabilities	1,104,511							1,137,392
Equity	205,550							202,236
Total liabilities and equity	$	1,310,061						$	1,339,628
Net interest income				$	30,017						$	29,858
Interest rate spread (3)						3.23	%						3.08	%
Net interest-earning assets (4)	$	163,109						$	153,234
Net interest margin (5)						3.33	%						3.21	%
Average interest-earning assets to interest-bearing liabilities	115.68		%					114.11		%

_______________________

(1) Annualized.

(2) Includes noninterest-bearing deposits.

(3) Interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(4) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(5) Net interest margin represents net interest income divided by average total interest-earning assets.

43

Rate/Volume Analysis

The following table presents the effects of changing rates and volumes on our net interest income for the periods indicated. The rate column shows the effects attributable to changes in rate (changes in rate multiplied by later volume). The volume column shows the effects attributable to changes in volume (changes in volume multiplied by prior rate). The net column represents the sum of the prior columns. For purposes of this table, changes attributable to both rate and volume, which cannot be segregated, have been allocated proportionately, based on the changes due to rate and the changes due to volume.

	Nine Months Ended September 30, 2013 vs. 2012
	Increase (Decrease) Due to						Total Increase (Decrease)
	Volume			Rate
	(In thousands)
Interest-earning assets:
Loans	$	2,381		$	(2,257	)	$	124
Investment securities available for sale	(1,776		)	(926		)	(2,702		)
Cash and cash equivalents	(6		)	(3		)	(9		)
Other	—			(6		)	(6		)
Total interest-earning assets	$	599		$	(3,192	)	$	(2,593	)
Interest-bearing liabilities:
Interest-bearing demand	$	4		$	(17	)	$	(13	)
Savings accounts	(17		)	(47		)	(64		)
Money market accounts	45			(41		)	4
Certificates of deposit	(256		)	(424		)	(680		)
Total interest-bearing deposits	(224		)	(529		)	(753		)
Federal Home Loan Bank advances	37			(366		)	(329		)
Other secured borrowings	(1,279		)	(391		)	(1,670		)
Total interest-bearing liabilities	$	(1,466	)	$	(1,286	)	$	(2,752	)
Change in net interest income	$	2,065		$	(1,906	)	$	159

Liquidity and Capital Resources

Liquidity is the ability to meet current and future financial obligations of a short-term nature. Our primary sources of funds consist of deposit inflows, loan repayments, advances from the Federal Home Loan Bank of Dallas, and maturities and sales of available-for-sale securities. While maturities and scheduled amortization of loans and securities are predictable sources of funds, deposit flows and mortgage prepayments are greatly influenced by general interest rates, economic conditions and competition. We monitor our liquidity targets and strategies in order to ensure that sufficient liquidity exists for meeting the borrowing needs and deposit withdrawals of our customers as well as unanticipated contingencies.

We regularly monitor and adjust our investments in liquid assets based upon our assessment of:

(i) expected loan demand;

(ii) expected deposit flows and borrowing maturities;

(iii) yields available on interest-earning deposits and securities; and

(iv) the objectives of our asset/liability management program.

Excess liquid assets are invested generally in interest-earning deposits and short- and intermediate-term securities.

44

Our most liquid assets are cash and cash equivalents. The levels of these assets are affected by our operating, financing, lending and investing activities during any given period. At September 30, 2013, cash and cash equivalents totaled $14.1 million. Securities classified as available for sale, which provide additional sources of liquidity, totaled $452.5 million at September 30, 2013. On that date, we had $417.0 million in Federal Home Loan Bank advances, with the ability to borrow an additional $196.4 million.

Our cash flows are derived from operating activities, investing activities, and financing activities as reported in our Consolidated Statements of Cash Flows included in our consolidated financial statements.

At September 30, 2013, we had $113.0 million in commitments to extend credit. Included in these commitments to extend credit were $102.2 million in unused lines of credit to borrowers. Certificates of deposit due within one year of September 30, 2013 totaled $160.4 million, or 20.0% of total deposits. If these deposits do not remain with us, we will be required to seek other sources of funds, including loan sales and Federal Home Loan Bank advances. Depending on unfavorable market conditions, we may be required to pay higher rates on such deposits or other borrowings than we currently pay on the certificates of deposit due on or before September 30, 2014. We believe, however, based on past experience, that a significant portion of such deposits will remain with us. We have the ability to attract and retain deposits by adjusting the interest rates offered.

Generally, our primary investing activity is originating loans. During the nine months ended September 30, 2013, we originated $398.4 million of loans. In addition, we purchased $210.0 million of securities classified as available for sale during the nine months ended September 30, 2013.

Financing activities consist primarily of activity in deposit accounts and Federal Home Loan Bank advances and other borrowings. Total deposits decreased$14.3 million for the nine months ended September 30, 2013. Deposit flows are affected by the overall level of interest rates, the interest rates and products offered by us and our local competitors, and by other factors.

Liquidity management is both a daily and long-term function of business management. If we require funds beyond our ability to generate them internally, we may utilize our borrowing agreements with the Federal Home Loan Bank of Dallas, which provides an additional source of funds. Federal Home Loan Bank advances increased by $210.0 million for the nine months ended September 30, 2013. At September 30, 2013, we had the ability to borrow up to $620.6 million from the Federal Home Loan Bank of Dallas. In addition, we maintained $55.0 million in federal funds lines with other financial institutions at September 30, 2013. We also have a line of credit with the Federal Reserve Bank of Dallas, which allows us to borrow on a collateralized basis at a fixed term with pledged assignments. At September 30, 2013, the borrowing limit for this line of credit was $305.6 million.

45

The Bank is subject to various regulatory capital requirements, including a risk-based capital measure. The risk-based capital guidelines include both a definition of capital and a framework for calculating risk-weighted assets by assigning balance sheet assets and off-balance sheet items to broad risk categories. At September 30, 2013, the Bank exceeded all regulatory capital requirements. The Bank is considered “well capitalized” under regulatory guidelines. The table below presents the capital required as a percentage of total and risk-weighted assets and the percentage and the total amount of capital maintained at September 30, 2013 and December 31, 2012 without giving effect to the final Basel III capital rules adopted by the Federal Reserve Board on July 2, 2013 and by the Office of the Comptroller of the Currency on July 9, 2013.

	Actual				Minimum For Capital Adequacy Purposes				Minimum To Be Well Capitalized Under Prompt Corrective Actions Provisions
	Amount		Ratio		Amount		Ratio		Amount		Ratio
	(Dollars in thousands)
Consolidated as of September 30, 2013
Total risk-based capital to risk-weighted assets	$	211,266	22.29	%	$	75,825	8.00	%	$	94,781	10.00	%
Tier I risk-based capital to risk-weighted assets	204,125		21.54	%	37,912		4.00	%	56,869		6.00	%
Tier I (Core) capital to adjusted total assets	204,125		14.13	%	57,803		4.00	%	72,253		5.00	%
OmniAmerican Bank as of September 30, 2013
Total risk-based capital to risk-weighted assets	$	193,657	20.43	%	$	75,831	8.00	%	$	94,788	10.00	%
Tier I risk-based capital to risk-weighted assets	186,516		19.68	%	37,915		4.00	%	56,873		6.00	%
Tier I (Core) capital to adjusted total assets	186,516		12.91	%	57,806		4.00	%	72,257		5.00	%
Consolidated as of December 31, 2012
Total risk-based capital to risk-weighted assets	$	203,734	25.47	%	$	63,997	8.00	%	$	79,996	10.00	%
Tier I risk-based capital to risk-weighted assets	196,435		24.56	%	31,998		4.00	%	47,998		6.00	%
Tier I (Core) capital to adjusted total assets	196,435		15.67	%	50,140		4.00	%	62,674		5.00	%
OmniAmerican Bank as of December 31, 2012
Total risk-based capital to risk-weighted assets	$	185,856	23.23	%	$	64,003	8.00	%	$	80,004	10.00	%
Tier I risk-based capital to risk-weighted assets	178,557		22.32	%	32,002		4.00	%	48,002		6.00	%
Tier I (Core) capital to adjusted total assets	178,557		14.24	%	50,143		4.00	%	62,678		5.00	%

Management continues to evaluate the final Basel III capital rules and their impact, which rules will apply beginning in reporting periods after January 1, 2015.

Off-Balance Sheet Arrangements and Aggregate Contractual Obligations

Commitments. As a financial services provider, we routinely are a party to various financial instruments with off-balance sheet risks, such as commitments to extend credit and unused lines of credit. While these contractual obligations represent our future cash requirements, a significant portion of commitments to extend credit may expire without being drawn upon. Such commitments are subject to the same credit policies and approval process accorded to loans we make.

Contractual Obligations. In the ordinary course of our operations, we enter into certain contractual obligations. Such obligations include operating leases for premises and equipment, agreements with respect to borrowed funds and deposit liabilities.

46

The following table summarizes our significant fixed and determinable contractual obligations and other funding needs by payment date at September 30, 2013. The payment amounts represent those amounts due to the recipient and do not include any unamortized premiums or discounts or other similar carrying amount adjustments.

	Payments Due by Period
	One year or less		More than one year to three years		More than three years to five years		More than five years		Total
	(In thousands)
Contractual obligations:
Long-term debt (1)	$	251,167	$	159,500	$	8,333	$	—	$	419,000
Operating leases	595		1,071		1,010		1,032		3,708
Certificates of deposit	160,378		78,510		33,771		101		272,760
Total contractual obligations	$	412,140	$	239,081	$	43,114	$	1,133	$	695,468
Off-balance sheet loan commitments:
Undisbursed portion of loans closed	$	10,750	$	—	$	—	$	—	$	10,750
Unused lines of credit (2)	—		—		—		—		102,232
Total loan commitments	$	10,750	$	—	$	—	$	—	$	112,982
Total contractual obligations and loan commitments	$	422,890	$	239,081	$	43,114	$	1,133	$	808,450

_______________________

(1) Includes Federal Home Loan Bank advances and securities sold under agreements to repurchase.

(2) Because lines of credit may expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

General. Because the majority of our assets and liabilities are sensitive to changes in interest rates, our most significant form of market risk is interest rate risk. We are vulnerable to an increase in interest rates to the extent that our interest-bearing liabilities mature or reprice more quickly than our interest-earning assets. As a result, a principal part of our business strategy is to manage interest rate risk and limit the exposure of our net interest income to changes in market interest rates. Accordingly, our board of directors has established an Asset/Liability Management Committee, which is responsible for evaluating the interest rate risk inherent in our assets and liabilities, for determining the level of risk that is appropriate, given our business strategy, operating environment, capital, liquidity, and performance objectives, and for managing this risk consistent with the guidelines approved by the board of directors.

Our interest rate sensitivity is monitored through the use of a net interest income simulation model which generates estimates of the change in our net interest income over a range of interest rate scenarios. The model assumes loan prepayment rates, reinvestment rates, and deposit decay rates based on historical experience and current economic conditions.

We have sought to manage our interest rate risk in order to control the exposure of our earnings and capital to changes in interest rates. As part of our ongoing asset-liability management, we currently use the following strategies to manage our interest rate risk:

(i) sell the long-term, fixed-rate one- to four-family residential mortgage loans (terms 15 years or greater) that we originate into the secondary mortgage market;

(ii) lengthen the weighted-average maturity of our liabilities through retail deposit pricing strategies and through longer-term wholesale funding sources such as fixed-rate advances from the Federal Home Loan Bank of Dallas;

(iii) invest in shorter- to medium-term securities;

(iv) originate commercial business and consumer loans, which tend to have shorter terms and higher interest rates than residential mortgage loans, and which generate customer relationships that can result in larger noninterest-bearing demand deposit accounts;

(v) maintain adequate levels of capital; and

47

(vi) evaluate the performance of the leveraging strategy by utilizing our internal measuring and monitoring systems which include interest rate sensitivity analysis.

In July 2012, we began selling the 15-year, fixed rate one- to four-family mortgage loans that we originate into the secondary mortgage market to manage our exposure to interest rate risk in response to the low interest rates currently being offered in the market on these types of loans.

We have not engaged in hedging through the use of derivatives.

Net Portfolio Value. We currently use a net portfolio value (“NPV”) analysis to monitor our level of interest rate risk. This analysis measures interest rate risk by capturing changes in the NPV of our cash flows from assets, liabilities, and off-balance sheet items, based on a range of assumed changes in market interest rates. NPV represents the market value of portfolio equity and is equal to the market value of assets minus the market value of liabilities, with adjustments made for off-balance sheet items. These analyses assess the risk of loss in market risk-sensitive instruments in the event of a sudden and sustained 100 to 300 basis point increase or 100 basis point decrease in the United States Treasury yield curve with no effect given to any steps that we might take to counter the effect of that interest rate movement.

The table below sets forth, as of September 30, 2013, our calculation of the estimated changes in our NPV that would result from the designated immediate changes in the United States Treasury yield curve. In addition to NPV calculations, we analyze our sensitivity to changes in interest rates through our internal net interest income model which is also summarized in the table below at September 30, 2013:

At September 30, 2013
								NPV as a Percentage of
								Present Value of Assets(3)				Net Interest Income
														Increase (Decrease) in
Change in			Estimated Increase							Increase		Estimated		Estimated Net Interest
Interest Rates	Estimated		(Decrease) in NPV							(Decrease)		Net Interest		Income
(basis points)(1)	NPV(2)		Amount			Percent		NPV Ratio(4)		(basis points)		Income		Amount			Percent
	(Dollars in thousands)
+300	$	255,681	$	(11,679	)	(4.37	)%	17.12	%	(36	)	$	37,910	$	(4,773	)	(11.18	)%
+200	261,781		(5,579		)	(2.09	)%	17.36	%	(12	)	38,981		(3,702		)	(8.67	)%
+100	265,649		(1,711		)	(0.64	)%	17.48	%	—		39,924		(2,759		)	(6.46	)%
—	267,360		—			—		17.48	%	—		42,683		—			—
-100	259,540		(7,820		)	(2.92	)%	16.99	%	(49	)	38,141		(4,542		)	(10.64	)%

(1) Assumes an instantaneous uniform change in interest rates at all maturities.

(2) NPV is the discounted present value of expected cash flows from assets, liabilities, and off-balance sheet contracts.

(3) Present value of assets represents the discounted present value of incoming cash flows on interest-earning assets.

(4) NPV Ratio represents NPV divided by the present value of assets.

The table above indicates that at September 30, 2013, in the event of a 200 basis point increase in interest rates, we would experience a 2.09% decrease in NPV. In the event of a 100 basis point decrease in interest rates, we would experience a 2.92% decrease in NPV.

Net Interest Income. Net interest income is the difference between the interest income we earn on our interest-earning assets, such as loans and securities, and the interest we pay on our interest-bearing liabilities, such as deposits and borrowings. In our model, we estimate what our net interest income would be for a rolling forward twelve-month period using historical data for assumptions such as loan prepayment rates and deposit decay rates, the current term structure for interest rates, and current deposit and loan offering rates. We then calculate what the net interest income would be for the same period in the event of an instantaneous 200 basis point increase or a 100 basis point decrease in market interest rates. As of September 30, 2013, using our internal interest rate risk model, we estimated that our net interest income for the nine months ended September 30, 2013 would decrease by 8.67% in the event of an instantaneous 200 basis point increase in market interest rates, and would decrease by 10.64% in the event of an instantaneous 100 basis point decrease in market interest rates.

We use various assumptions in assessing interest rate risk through changes in NPV and net interest income. These assumptions relate to interest rates, loan prepayment rates, deposit decay rates and the market values of certain assets under differing interest rate scenarios, among others. As with any method of measuring interest rate risk, certain shortcomings are inherent in the methods of analyses presented in the foregoing table. For example, although certain assets and liabilities may

48

have similar maturities or periods to repricing, they may react in different degrees to changes in market interest rates. Also, the interest rates on certain types of assets and liabilities may fluctuate in advance of changes in market interest rates, while interest rates on other types may lag behind changes in market rates. Additionally, certain assets, such as adjustable-rate mortgage loans, have features that restrict changes in interest rates on a short-term basis and over the life of the asset. Further, if there is a change in interest rates, expected rates of prepayments on loans and early withdrawals from certificates could deviate significantly from those assumed in calculating the table. Prepayment rates can have a significant impact on interest income. Because of the large percentage of loans and mortgage-backed securities we hold, rising or falling interest rates have a significant impact on the prepayment speeds of our earning assets that in turn affect the rate sensitivity position. While we believe these assumptions to be reasonable, there can be no assurance that assumed prepayment rates will approximate actual future mortgage-backed security and loan repayment activity.

ITEM 4. CONTROLS AND PROCEDURES

An evaluation was performed under the supervision and with the participation of the Company’s management, including the President and Chief Executive Officer and the Senior Executive Vice President and Chief Financial Officer, of the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) promulgated under the Securities and Exchange Act of 1934, as amended) as of September 30, 2013. Based on that evaluation, the Company’s management, including the President and Chief Executive Officer and the Senior Executive Vice President and Chief Financial Officer, concluded that the Company’s disclosure controls and procedures were effective.

During the quarter ended September 30, 2013, there have been no changes in the Company’s internal control over financial reporting that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

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PART II — OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

The Company is involved in legal actions that are considered ordinary routine litigation incidental to the business of the Company. In the opinion of management, based on currently available information, the resolution of these legal actions is not expected to have a materially adverse effect on the Company’s financial condition, results of operations or cash flows.

ITEM 1A. RISK FACTORS

There are no material changes to the risk factors as previously disclosed in the Company’s Form 10-K for the year ended December 31, 2012, as filed with the Securities and Exchange Commission on March 11, 2013.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

(a) Not applicable.

(b) Not applicable.

(c) The following table provides information with respect to purchases made by or on behalf of the Company or any “affiliated purchaser” (as defined in Rule 10b-18(a)(3) under the Securities Exchange Act of 1934), of the Company’s common stock during the three months ended September 30, 2013.

Period	(a) Total Number of Shares Purchased (1)	(b) Average Cost Per Share		(c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1)	(d) Maximum Number of Shares That May Yet Be Purchased Under the Plans or Program (2)
July 1, 2013 through July 31, 2013	405	$	23.90	—	411,469
August 1, 2013 through August 31, 2013	—	—		—	411,469
September 1, 2013 through September 30, 2013	—	—		—	411,469
Total	405	$	23.90	—	411,469

______________________

(1) Consists of 405 shares withheld from employees to satisfy tax withholding obligations upon the vesting of restricted shares awarded under our 2011 Executive Stock Incentive Plan. The shares were purchased pursuant to the terms of the plan and not pursuant to our publicly announced share repurchase program.

(2) On September 1, 2011, the Company’s Board of Directors approved a stock repurchase program under which the Company may repurchase up to 565,369 shares of the Company’s common stock, from time to time, subject to market conditions. The repurchase program will continue until completed or terminated by the Board of Directors.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None

ITEM 4. MINE SAFETY DISCLOSURES

None

ITEM 5. OTHER INFORMATION

None

ITEM 6. EXHIBITS

The exhibits required by Item 601 of Regulation S-K are included with this Form 10-Q and are listed on the “Index to Exhibits” immediately following the Signatures.

50

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	OMNIAMERICAN BANCORP, INC.
	(Registrant)
Date: November 1, 2013	/s/ Tim Carter
	Tim Carter
	President and Chief Executive Officer
Date: November 1, 2013	/s/ Deborah B. Wilkinson
	Deborah B. Wilkinson
	Senior Executive Vice President and Chief Financial Officer

51

INDEX TO EXHIBITS

Exhibit Number	Description
31.1	Certification of Tim Carter, President and Chief Executive Officer, Pursuant to Rule 13a-14(a) and Rule 15d-14(a).
31.2	Certification of Deborah B. Wilkinson, Senior Executive Vice President and Chief Financial Officer, Pursuant to Rule 13a-14(a) and Rule 15d-14(a).
32	Certification of Tim Carter, President and Chief Executive Officer, and Deborah B. Wilkinson, Senior Executive Vice President and Chief Financial Officer, Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101+	Interactive Data File

+ As provided in Rule 406T of Regulation S-T, this information is furnished and not filed for purposes of Sections 11 and 12 of the Securities Act of 1933 and Section 18 of the Securities Exchange Act of 1934.

52

EX-31.1

Exhibit 31.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Tim Carter, certify that:

1. I have reviewed this quarterly report on Form 10-Q of OmniAmerican Bancorp, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 1, 2013

/s/ Tim Carter

Tim Carter

President and Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Deborah B. Wilkinson, certify that:

1. I have reviewed this quarterly report on Form 10-Q of OmniAmerican Bancorp, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 1, 2013

/s/ Deborah B. Wilkinson

Deborah B. Wilkinson

Senior Executive Vice President and Chief Financial Officer

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of OmniAmerican Bancorp, Inc. (the “Company”) on Form 10-Q for the period ended September 30, 2013, as filed with the Securities and Exchange Commission (the “Report”), we hereby certify, in our capacities of Chief Executive Officer and Chief Financial Officer, respectively, pursuant to 18 U.S.C. Section 1350, as added by Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of our knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in this Report fairly presents, in all material respects, the consolidated financial condition and results of operations of the Company as of and for the periods covered by this Report.

By:	/s/ Tim Carter
	Tim Carter
	President and Chief Executive Officer
	November 1, 2013
By:	/s/ Deborah B. Wilkinson
	Deborah B. Wilkinson
	Senior Executive Vice President and Chief Financial Officer
	November 1, 2013

XML

Earnings Per Share

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Earnings Per Share

Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period, reduced for average unallocated ESOP shares and average unvested restricted stock awards. Diluted earnings per common share reflects the potential dilution that could occur if securities or other contracts to issue common stock (such as stock awards and options) were exercised or converted to common stock, or resulted in the issuance of common stock that then shared in the Company’s earnings. Diluted earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period increased for the dilutive effect of unexercised stock options and unvested restricted stock awards. The table below presents the information used to compute basic and diluted earnings per share:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(Dollars in thousands, except per share data)
Earnings:
Net income	$	2,196		$	2,296		$	4,803		$	4,539
Basic shares:
Weighted-average common shares outstanding	11,458,923			11,419,035			11,449,808			11,297,903
Less: Average unallocated ESOP shares	(812,544		)	(850,632		)	(822,066		)	(860,154		)
Average unvested restricted stock awards	(199,377		)	(229,611		)	(233,265		)	(107,081		)
Average shares for basic earnings per share	10,447,002			10,338,792			10,394,477			10,330,668
Net income per common share, basic	$	0.21		$	0.22		$	0.46		$	0.44
Diluted shares:
Weighted-average common shares outstanding for basic earnings per common share	10,447,002			10,338,792			10,394,477			10,330,668
Add: Dilutive effects of share-based compensation plan	112,321			81,590			143,050			51,977
Average shares for diluted earnings per share	10,559,323			10,420,382			10,537,527			10,382,645
Net income per common share, diluted	$	0.21		$	0.22		$	0.46		$	0.44

XML

Employee Benefit Plans - Employee Stock Ownership Plan (ESOP) Narrative (Details) (USD $) In Thousands, except Share data, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Employee Stock Ownership Plan (ESOP)
ESOP plan effective date	January 1, 2010
Percentage of shares purchased by the bank for the ESOP plan	8.00%
Employee Stock Ownership Plan (ESOP), Shares in ESOP	952,200	952,200
Note payable to the Company from the ESOP	$ 9,500
ESOP interest rate - Wall Street Journal Prime Rate	3.25%	3.25%
Number of equal annual payments of ESOP loan
Employee Stock Ownership Plan (ESOP)
ESOP debt structure	25
Amount of equal annual payments of ESOP loan
Employee Stock Ownership Plan (ESOP)
Repayment of Employee Stock Ownership Plan Loan	$ 561

XML

Consolidated Statements of Income (Unaudited) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Interest income:
Loans, including fees	$ 11,097	$ 9,753	$ 29,263	$ 29,139
Securities - taxable	2,335	2,742	6,613	9,331
Securities - nontaxable	0	0	1	0
Total interest income	13,432	12,495	35,877	38,470
Interest expense:
Deposits	1,181	1,530	4,028	4,781
Borrowed funds	646	981	1,832	3,831
Total interest expense	1,827	2,511	5,860	8,612
Net interest income	11,605	9,984	30,017	29,858
Provision for loan losses	200	550	1,800	1,950
Net interest income after provision for loan losses	11,405	9,434	28,217	27,908
Noninterest income:
Service charges and other fees	2,349	2,263	6,795	6,541
Net gains on sales of loans	405	941	1,427	1,761
Net gains on sales of securities available for sale (reclassified from unrealized gains (losses) on available-for-sale securities in accumulated other comprehensive income)	0	762	1,701	860
Net (losses) gains on disposition of premises and equipment	0	(1)	344	0
Net gains (losses) on sales of repossessed assets	20	(91)	17	(65)
Commissions	462	341	1,067	1,080
Increase in cash surrender value of bank-owned life insurance	368	317	1,051	854
Other income	193	172	640	497
Total noninterest income	3,797	4,704	13,042	11,528
Noninterest expense:
Salaries and benefits	6,645	6,059	19,442	18,226
Software and equipment maintenance	719	547	2,025	1,765
Depreciation of furniture, software, and equipment	394	432	1,222	1,321
FDIC insurance	193	211	522	635
Net loss on write-down of other real estate owned	205	41	227	773
Real estate owned (income) expense	(29)	47	(64)	135
Service fees	133	116	373	353
Communications costs	258	267	731	806
Other operations expense	775	733	2,341	2,296
Occupancy	959	1,004	2,884	2,918
Professional and outside services	1,145	1,063	3,185	2,919
Loan servicing	281	44	513	205
Marketing	212	144	520	362
Total noninterest expense	11,890	10,708	33,921	32,714
Income before income tax expense	3,312	3,430	7,338	6,722
Income tax expense (includes income tax expense from items reclassified from accumulated other comprehensive income of $0 and $259 for the three months ended September 30, 2013 and 2012, respectively, and $578 and $292 for the nine months ended September 30, 2013 and 2012, respectively)	1,116	1,134	2,535	2,183
Net income	$ 2,196	$ 2,296	$ 4,803	$ 4,539
Earnings per share:
Basic	$ 0.21	$ 0.22	$ 0.46	$ 0.44
Diluted	$ 0.21	$ 0.22	$ 0.46	$ 0.44

XML

Basis of Financial Statement Presentation and Significant Accounting Policies

9 Months Ended

Sep. 30, 2013

Accounting Policies [Abstract]

Basis of Financial Statement Presentation and Significant Accounting Policies

Basis of Financial Statement Presentation and Significant Accounting Policies

Basis of Presentation

The accompanying unaudited consolidated financial statements of OmniAmerican Bancorp, Inc. (referred to herein as “the Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations. These interim consolidated financial statements and notes should be read in conjunction with the Company’s consolidated financial statements, and notes thereto, for the year ended December 31, 2012, included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013. In management’s opinion, the interim data as of September 30, 2013 and for the three- and nine- month periods ended September 30, 2013 and 2012, includes all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the results of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. References to the Company include, where appropriate, OmniAmerican Bank, the Company’s wholly-owned subsidiary.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The allowance for loan losses and the fair values of financial instruments are particularly subject to change.

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Employee Benefit Plans - (Tables)

9 Months Ended

Sep. 30, 2013

Employee Benefits and Share-based Compensation [Abstract]

Summary of Employee Stock Ownership Plan (ESOP) shares

	September 30, 2013		December 31, 2012
Allocated shares	142,830		114,264
Unearned shares	809,370		837,936
Total ESOP shares	952,200		952,200
Fair value of unearned shares (in thousands)	$	19,797	$	19,381
Year-to-date compensation expense recognized from the release of shares from the ESOP (in thousands)	685		792

Summary of net periodic pension cost

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(In thousands)
Interest cost on projected benefit obligation	$	57		$	64		$	171		$	192
Expected return on assets	(74		)	(62		)	(222		)	(185		)
Amortization of net loss	48			33			144			99
Net periodic pension cost	$	31		$	35		$	93		$	106

Share-based compensation

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Share-based compensation expense	$	565	$	345	$	1,459	$	955

Restricted shares activity

	Shares		Weighted- Average Grant Date Fair Value Per Share
Non-vested at January 1, 2013	254,323		$	18.69
Granted	7,500		22.59
Vested	(60,708	)	17.69
Forfeited	(1,063	)	14.97
Non-vested at September 30, 2013	200,052		$	19.16

Stock options activity

	Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term (years)	Aggregate Intrinsic Value (In thousands)
Outstanding at January 1, 2013	505,665		$	16.13	8.77	$	3,541
Granted	—		—		—	—
Exercised	(25,070	)	14.15		—	(232		)
Forfeited	(24,715	)	17.92		—	(162		)
Expired	(3,178	)	14.97		—	(30		)
Outstanding at September 30, 2013	452,702		$	16.15	8.03	$	3,762
Fully vested and expected to vest	415,648		$	16.10	8.02	$	3,476
Exercisable at September 30, 2013	149,462		$	15.15	7.87	$	1,391

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Fair Value Measurements - Level 3 Asset Valuation Techniques and Unobservable Inputs (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Fair Value of Level 3 Assets Measured on a Nonrecurring Basis [Abstract]
Impaired Loans, Net of Allowance	$ 915	$ 703
Mortgage servicing rights	1,385	1,009
Other real estate owned	$ 927	$ 4,769
Impaired Loans, Net of Allowance | Discounted Cash Flow Valuation Technique
Unobservable Inputs
Interest Rate, Range Minimum	6.30%	6.30%
Interest Rate, Range Maximum	7.00%	7.00%
Interest Rate, Range Average	6.50%	6.50%
Loan Term (in months), Range Minimum	60	60
Loan Term (in months), Range Maximum	120	85
Loan Term (in months), Range Average	87	76
Mortgage Servicing Rights | Discounted Cash Flow Valuation Technique
Unobservable Inputs
Interest Rate, Range Minimum	2.60%	2.00%
Interest Rate, Range Maximum	7.90%	8.10%
Interest Rate, Range Average	4.30%	4.60%
Loan Term (in months), Range Minimum	72	72
Loan Term (in months), Range Maximum	527	458
Loan Term (in months), Range Average	314	323
Other Real Estate Owned | Third Party Appraisal Valuation Technique
Unobservable Inputs
Discount of Market Value, Range Minimum	0.00%	0.00%
Discount of Market Value, Range Maximum	19.00%	19.00%
Discount of Market Value, Range Average	4.20%	4.00%
Estimated Marketing Costs, Range Minimum	0.00%	4.00%
Estimated Marketing Costs, Range Maximum	8.00%	8.00%
Estimated Marketing Costs, Range Average	6.90%	7.00%
Estimated Property Maintenance, Range Minimum	0.00%	0.00%
Estimated Property Maintenance, Range Maximum	2.00%	2.00%
Estimated Property Maintenance, Range Average	0.40%	0.40%

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Employee Benefit Plans - Share based compensation (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Share-based Compensation
Equity Incentive Plan Approval Date			May 24, 2011
IPO Shares Authorized for Stock Options			7.00%
IPO Shares Authorized for Restricted Stock			7.00%
Maximum Restricted Stock Awards			4.00%
Share-based Compensation	$ 565	$ 345	$ 1,459	$ 955
Stock Options
Share-based Compensation
Number of Shares Authorized	1,190,250		1,190,250
Restricted Stock
Share-based Compensation
Number of Shares Authorized	476,100		476,100

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Fair Value Measurements

9 Months Ended

Sep. 30, 2013

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

ASC 820, “Fair Value Measurements and Disclosures,” establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

• Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.

• Level 2 Inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.), or inputs that are derived principally from or corroborated by market data by correlation or other means.

• Level 3 Inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities.

A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the fair value hierarchy, is set forth below.

Securities available for sale:Securities available for sale are valued at fair value on a recurring basis. The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs).

Interest rate lock commitments: Interest rate locks on commitments to originate loans for the held for sale portfolio are reported at fair value in other assets on the consolidated balance sheets with changes in value recorded in current earnings. The estimated fair values of the interest rate lock commitments are based on quoted secondary market pricing, include the fair value of the servicing rights based on the discounted present value of expected future cash flows, and assume an approximate closure rate based on recent historical experience. At September 30, 2013, the fair value of the servicing rights was estimated as 0.92% of the loan balance for loans with terms of 180 months, and for loans with terms greater than 180 months, the fair value was estimated as 1.23% of the loan balance if the loan had an interest rate of 4.50% or lower and 0.98% of the loan balance if the loan had an interest rate higher than 4.50%. At December 31, 2012, the fair value of the servicing rights was estimated as 0.82% of the loan balance for loans with terms of greater than 180 months and 0.84% of the loan balance for loans with terms of 180 months. A significant change in the closure rate may result in a significant change in the ending fair value measurement of these derivatives relative to their total fair value. At September 30, 2013 and December 31, 2012, the estimated closure rate based on historical experience over the preceding two-year period was 76.4% and 72.1%, respectively. Because the closure rate and fair value of servicing rights are significant unobservable assumptions, interest rate lock commitments are included in Level 3 of the hierarchy.

Assets and liabilities measured at fair value on a recurring basis are summarized below:

	Fair Value Measurements at September 30, 2013, Using						Total Fair Value at September 30, 2013
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	292,510	$	—	$	292,510
U.S. government sponsored collateralized mortgage obligations	—		149,186		—		149,186
U.S. government agency securities	—		4,643		—		4,643
Municipal obligations	—		168		—		168
Other equity securities	—		5,993		—		5,993
Interest rate lock commitments	—		—		202		202

	Fair Value Measurements at December 31, 2012 Using						Total Fair Value at December 31, 2012
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	199,730	$	—	$	199,730
U.S. government sponsored collateralized mortgage obligations	—		172,896		—		172,896
U.S. government agency securities	—		5,015		—		5,015
Other equity securities	—		6,268		—		6,268
Interest rate lock commitments	—		—		264		264

A reconciliation and income statement classification of gains and losses for the assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the nine months ended September 30, 2013 and 2012 has not been provided since the amounts are not significant.

In accordance with ASC Topic 820, certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Financial assets or liabilities required to be measured at fair value on a nonrecurring basis include impaired loans and mortgage servicing rights. Nonfinancial assets or liabilities required to be measured at fair value on a nonrecurring basis include other real estate owned.

Impaired loans (loans which are not expected to repay all principal and interest amounts due in accordance with the original contractual terms) are measured at an observable market price (if available) or at the fair value of the loan’s collateral (if collateral dependent). Fair value of the loan’s collateral is determined by appraisals or independent valuation which is then adjusted for the estimated costs related to liquidation of the collateral. Management’s ongoing review of appraisal information may result in additional discounts or adjustments to valuation based upon more recent market sales activity or more current appraisal information derived from properties of similar type and/or locale. A significant portion of the Company’s impaired loans are measured using the estimated fair market value of the collateral less the estimated costs to sell. Therefore, the Company has categorized its impaired loans as Level 3.

The following table presents impaired loans that were remeasured and reported at fair value through a specific reserve of the allowance for loan losses based upon the fair value of the underlying collateral during the nine months ended September 30, 2013 and 2012:

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of impaired loans	$	1,124		$	6,456
Specific reserve	(209		)	(552		)
Fair Value	$	915		$	5,904

Mortgage servicing rights are carried at the lower of amortized cost or estimated fair value. The estimated fair values of mortgage servicing rights are classified as Level 3 because they are obtained from independent third-party valuations through an analysis of cash flows and incorporating estimates of assumptions market participants would use in determining fair value, including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market-driven data, such as the market’s perception of future interest rate movements. At September 30, 2013 and December 31, 2012, the Company’s mortgage servicing rights were recorded at $1.4 million and $1.0 million, respectively.

Non-financial assets measured at fair value on a non-recurring basis are limited to other real estate owned. Other real estate owned is carried at fair value less estimated selling costs (as determined by independent appraisal) within Level 3 of the fair value hierarchy. At the time of foreclosure, the value of the underlying loan is written down to the fair value of the real estate to be acquired by a charge to the allowance for loan losses, if necessary. The fair value is reviewed periodically and subsequent write-downs are recorded accordingly. The following table represents other real estate owned that was remeasured and reported at fair value as of September 30, 2013 and September 30, 2012:

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of other real estate owned prior to remeasurement	$	1,631		$	7,314
Less: charge-offs recognized in the allowance for loan losses at initial acquisition	(18		)	(207		)
Add: fair value adjustments recognized in noninterest income at initial acquisition	43			—
Less: subsequent write-downs included in net loss on write-down of other real estate owned	(227		)	(773		)
Less: sales of other real estate owned	(502		)	(875		)
Carrying value of remeasured other real estate owned at end of period	$	927		$	5,459

Significant unobservable inputs used in Level 3 fair value measurements for financial assets and nonfinancial assets measured at fair value on a non-recurring basis at September 30, 2013 and December 31, 2012, are summarized below:

Quantitative Information about Level 3 Fair Value Measurements
	Fair Value (In thousands)		Valuation Techniques	Unobservable Input	Range  (Average)
September 30, 2013:
Impaired loans, net of allowance	$	915	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 120 (90)
Mortgage servicing rights	$	1,385	Discounted Cash Flow Analysis	Interest rate	2.6% - 7.9% (4.3%)
				Loan term (in months)	72 - 527 (313)
Other real estate owned	$	927	Third-Party Appraisal	Discount of market value	0% - 19.0% (15.4%)
				Estimated marketing costs	0% - 11.5% (9.8%)
				Estimated property maintenance	0% - 2.9% (2.3%)
December 31, 2012:
Impaired loans, net of allowance	$	703	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 85 (76)
Mortgage servicing rights	$	1,009	Discounted Cash Flow Analysis	Interest rate	2.0% - 8.1% (4.6%)
				Loan term (in months)	72 - 458 (323)
Other real estate owned	$	4,769	Third-Party Appraisal	Discount of market value	0% - 19.0% (4.0%)
				Estimated marketing costs	4.0% - 8.0% (7.0%)
				Estimated property maintenance	0% - 2.0% (0.4%)

There were no transfers between levels during the nine months ended September 30, 2013 or the year ended December 31, 2012.

ASC Topic 825, “Financial Instruments,” requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis.

The methodologies for estimating the fair value of financial assets and financial liabilities that are measured at fair value on a recurring or non-recurring basis are discussed above. The methodologies for the other financial assets and financial liabilities are discussed below:

Cash and cash equivalents: The carrying amounts for cash and cash equivalents approximate fair values.

Accrued interest receivable and payable: The carrying amounts for accrued interest receivable and payable approximate fair values.

Other investments: The carrying amount for other investments, which consists primarily of Federal Home Loan Bank stock, approximates fair values.

Loans held for sale: The fair value of loans held for sale is based on quoted market prices in the secondary market for loans with similar characteristics.

Loans: The estimated fair values for all fixed-rate loans are derived utilizing discounted cash flow analyses, the calculations of which are performed on groupings of loan receivables that are similar in terms of loan type and characteristics. The expected future cash flows of each grouping are discounted using the U.S. Treasury curve and current offering rates to calculate a discount spread to the curve. The estimated fair value for variable rate loans is the carrying amount. The impact of delinquent loans on the estimation of the fair values described above is not considered to have a material effect and, accordingly, delinquent loans have been disregarded in the valuation methodologies employed. Significant inputs to the fair value measurement of the loan portfolio are unobservable, and as such are classified as Level 3.

Deposits: The estimated fair value of demand deposit accounts is the carrying amount. The fair value of fixed-maturity certificates is estimated by discounting the estimated cash flows using the interest curve and current offering rates to calculate a discount spread to the curve.

Borrowed funds: The estimated fair value for borrowed funds is determined by discounting the estimated cash flows using the current rate at which similar borrowings would be made with similar ratings and maturities.

Off-balance sheet financial instruments: The fair values for the Company’s off-balance sheet commitments are estimated based on fees charged to others to enter into similar agreements taking into account the remaining terms of the agreements and credit standing of the members. The estimated fair value of these commitments is not significant.

The carrying amount and estimated fair value of the Company’s financial instruments at September 30, 2013 and December 31, 2012 are summarized as follows:

	September 30, 2013				December 31, 2012
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In thousands)
Financial assets:
Level 1 inputs:
Cash and cash equivalents	$	14,060	$	14,060	$	23,853	$	23,853
Level 2 inputs:
Securities available for sale	452,500		452,500		383,909		383,909
Other investments	20,352		20,352		12,867		12,867
Loans held for sale	1,341		1,401		8,829		9,094
Accrued interest receivable	3,502		3,502		3,340		3,340
Level 3 inputs:
Loans, net	862,654		877,332		735,271		743,463
Mortgage servicing rights	1,385		1,385		1,009		1,009
Interest rate lock commitments	202		202		264		264
Financial liabilities:
Level 2 inputs:
Federal Home Loan Bank advances	$	417,000	$	415,666	$	207,000	$	208,216
Other borrowings	7,000		7,000		11,000		11,000
Accrued interest payable	394		394		460		460
Level 3 inputs:
Deposits	802,017		804,917		816,302		820,551
Repurchase agreements	2,000		2,057		8,000		8,091
Off-balance sheet financial instruments:
Loan commitments	$	—	$	—	$	—	$	—
Letters of credit	—		—		—		—

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Loans and Allowance for Loan Losses - Impaired TDR Narrative (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Receivables [Abstract]
Financing Receivable, Modifications, Recorded Investment	$ 11,922	$ 18,250
Specific Reserve for Troubled Debt Restructurings	0	0
Loans and Leases Receivable, Troubled Debt Restructurings, Commitment to Lend	$ 0	$ 0

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Employee Benefit Plans - Restricted Shares Narrative (Details) (Restricted Stock, USD $) In Thousands, except Share data, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Share-based Compensation
Number of Shares Authorized	476,100
Total Shares Issued	292,038
Unrecognized compensation expense related to non-vested shares of restricted stock	$ 3,147
Weighted-average period which expense is expected to be recognized	3 years 6 months 12 days
Officer
Share-based Compensation
Annual vesting percentage	20.00%
Forfeiture rate	8.40%
Director
Share-based Compensation
Minimum vesting period	20.00%
Maximum vesting period	33.00%
Forfeiture rate	0.00%

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Loans and Allowance for Loan Losses - Past due loan aging (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	$ 1,762	$ 5,479
60 - 89 Days Past Due	1,300	1,945
90 Days and Greater Past Due	2,700	4,771
Total Past Due	5,762	12,195
Loans Not Past Due	858,224	726,889
Total loans	863,986	739,084	732,320
One- to four-family
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	0	3,717
60 - 89 Days Past Due	550	1,487
90 Days and Greater Past Due	2,221	897
Total Past Due	2,771	6,101
Loans Not Past Due	256,022	245,655
Total loans	258,793	251,756
Home Equity Loans and Lines of Credit [Member]
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	7	260
60 - 89 Days Past Due	7	36
90 Days and Greater Past Due	1	0
Total Past Due	15	296
Loans Not Past Due	19,323	20,567
Total loans	19,338	20,863
Commercial real estate
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	0	224
60 - 89 Days Past Due	0	27
90 Days and Greater Past Due	123	3,730
Total Past Due	123	3,981
Loans Not Past Due	104,724	80,802
Total loans	104,847	84,783
Real estate construction
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	0	0
60 - 89 Days Past Due	0	0
90 Days and Greater Past Due	0	0
Total Past Due	0	0
Loans Not Past Due	69,229	52,245
Total loans	69,229	52,245
Commercial business
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	0	18
60 - 89 Days Past Due	0	0
90 Days and Greater Past Due	0	0
Total Past Due	0	18
Loans Not Past Due	76,294	63,372
Total loans	76,294	63,390
Automobile, indirect
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	1,656	1,176
60 - 89 Days Past Due	708	346
90 Days and Greater Past Due	350	144
Total Past Due	2,714	1,666
Loans Not Past Due	285,179	220,241
Total loans	287,893	221,907
Automobile, direct
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	38	22
60 - 89 Days Past Due	0	30
90 Days and Greater Past Due	5	0
Total Past Due	43	52
Loans Not Past Due	31,962	27,381
Total loans	32,005	27,433
Other consumer
Analysis of the age of recorded investment in loans
30 - 59 Days Past Due	61	62
60 - 89 Days Past Due	35	19
90 Days and Greater Past Due	0	0
Total Past Due	96	81
Loans Not Past Due	15,491	16,626
Total loans	$ 15,587	$ 16,707

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Investment Securities - Amortized Cost and Estimated Fair Value (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Investment Securities
Amortized Cost	$ 451,259	$ 372,940
Gross Unrealized Gains	6,213	10,997
Gross Unrealized Losses	(4,972)	(28)
Fair Value	452,500	383,909
U. S. government sponsored mortgage-backed securities
Investment Securities
Amortized Cost	292,348	192,894
Gross Unrealized Gains	3,858	6,843
Gross Unrealized Losses	(3,696)	(7)
Fair Value	292,510	199,730
U. S. government sponsored collateralized mortgage obligations
Investment Securities
Amortized Cost	147,733	169,046
Gross Unrealized Gains	2,355	3,871
Gross Unrealized Losses	(902)	(21)
Fair Value	149,186	172,896
Agency Bonds
Investment Securities
Amortized Cost	5,000	5,000
Gross Unrealized Gains	0	15
Gross Unrealized Losses	(357)	0
Fair Value	4,643	5,015
Municipal obligations
Investment Securities
Amortized Cost	178
Gross Unrealized Gains	0
Gross Unrealized Losses	(10)
Fair Value	168
Other equity securities
Investment Securities
Amortized Cost	6,000	6,000
Gross Unrealized Gains	0	268
Gross Unrealized Losses	(7)	0
Fair Value	$ 5,993	$ 6,268

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Fair Value Measurements - (Tables)

9 Months Ended

Sep. 30, 2013

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured on a Recurring Basis

	Fair Value Measurements at September 30, 2013, Using						Total Fair Value at September 30, 2013
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	292,510	$	—	$	292,510
U.S. government sponsored collateralized mortgage obligations	—		149,186		—		149,186
U.S. government agency securities	—		4,643		—		4,643
Municipal obligations	—		168		—		168
Other equity securities	—		5,993		—		5,993
Interest rate lock commitments	—		—		202		202

	Fair Value Measurements at December 31, 2012 Using						Total Fair Value at December 31, 2012
	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs
	(In thousands)
Measured on a recurring basis:
Assets:
Investment securities available for sale:
U.S. government sponsored mortgage-backed securities	$	—	$	199,730	$	—	$	199,730
U.S. government sponsored collateralized mortgage obligations	—		172,896		—		172,896
U.S. government agency securities	—		5,015		—		5,015
Other equity securities	—		6,268		—		6,268
Interest rate lock commitments	—		—		264		264

Fair value of impaired loans

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of impaired loans	$	1,124		$	6,456
Specific reserve	(209		)	(552		)
Fair Value	$	915		$	5,904

Foreclosed Assets Remeasured and Reported at Fair Value

	Nine Months Ended September 30,
	2013			2012
	(In thousands)
Carrying value of other real estate owned prior to remeasurement	$	1,631		$	7,314
Less: charge-offs recognized in the allowance for loan losses at initial acquisition	(18		)	(207		)
Add: fair value adjustments recognized in noninterest income at initial acquisition	43			—
Less: subsequent write-downs included in net loss on write-down of other real estate owned	(227		)	(773		)
Less: sales of other real estate owned	(502		)	(875		)
Carrying value of remeasured other real estate owned at end of period	$	927		$	5,459

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]

Quantitative Information about Level 3 Fair Value Measurements
	Fair Value (In thousands)		Valuation Techniques	Unobservable Input	Range  (Average)
September 30, 2013:
Impaired loans, net of allowance	$	915	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 120 (90)
Mortgage servicing rights	$	1,385	Discounted Cash Flow Analysis	Interest rate	2.6% - 7.9% (4.3%)
				Loan term (in months)	72 - 527 (313)
Other real estate owned	$	927	Third-Party Appraisal	Discount of market value	0% - 19.0% (15.4%)
				Estimated marketing costs	0% - 11.5% (9.8%)
				Estimated property maintenance	0% - 2.9% (2.3%)
December 31, 2012:
Impaired loans, net of allowance	$	703	Discounted Cash Flow Analysis	Interest rate	6.3% - 7.0% (6.5%)
				Loan term (in months)	60 - 85 (76)
Mortgage servicing rights	$	1,009	Discounted Cash Flow Analysis	Interest rate	2.0% - 8.1% (4.6%)
				Loan term (in months)	72 - 458 (323)
Other real estate owned	$	4,769	Third-Party Appraisal	Discount of market value	0% - 19.0% (4.0%)
				Estimated marketing costs	4.0% - 8.0% (7.0%)
				Estimated property maintenance	0% - 2.0% (0.4%)

Fair Value of Financial Instruments

	September 30, 2013				December 31, 2012
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(In thousands)
Financial assets:
Level 1 inputs:
Cash and cash equivalents	$	14,060	$	14,060	$	23,853	$	23,853
Level 2 inputs:
Securities available for sale	452,500		452,500		383,909		383,909
Other investments	20,352		20,352		12,867		12,867
Loans held for sale	1,341		1,401		8,829		9,094
Accrued interest receivable	3,502		3,502		3,340		3,340
Level 3 inputs:
Loans, net	862,654		877,332		735,271		743,463
Mortgage servicing rights	1,385		1,385		1,009		1,009
Interest rate lock commitments	202		202		264		264
Financial liabilities:
Level 2 inputs:
Federal Home Loan Bank advances	$	417,000	$	415,666	$	207,000	$	208,216
Other borrowings	7,000		7,000		11,000		11,000
Accrued interest payable	394		394		460		460
Level 3 inputs:
Deposits	802,017		804,917		816,302		820,551
Repurchase agreements	2,000		2,057		8,000		8,091
Off-balance sheet financial instruments:
Loan commitments	$	—	$	—	$	—	$	—
Letters of credit	—		—		—		—

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Loans and Allowance for Loan Losses - TDR loans modified during the period (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Troubled Debt Restructurings
Financing Receivable, Modifications, Number of Contracts	4	11
Pre-Modification Outstanding Recorded Balance	$ 430	$ 173
Post-Modification Outstanding Recorded Balance	430	170
Residential Real Estate
Troubled Debt Restructurings
Financing Receivable, Modifications, Number of Contracts	0	0
Pre-Modification Outstanding Recorded Balance	0	0
Post-Modification Outstanding Recorded Balance	0	0
Commercial
Troubled Debt Restructurings
Financing Receivable, Modifications, Number of Contracts	1	0
Pre-Modification Outstanding Recorded Balance	371	0
Post-Modification Outstanding Recorded Balance	371	0
Consumer
Troubled Debt Restructurings
Financing Receivable, Modifications, Number of Contracts	3	11
Pre-Modification Outstanding Recorded Balance	59	173
Post-Modification Outstanding Recorded Balance	$ 59	$ 170

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Loans and Allowance for Loan Losses - Mortgage Servicing (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Receivables [Abstract]
Loans sold with servicing retained	$ 184,799	$ 157,953
Mortgage servicing rights	$ 1,385	$ 1,009

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Loans and Allowance for Loan Losses - Residential real estate loans collectively evaluated for impairment (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Real Estate credit risk
One- to four-family	$ 258,793	$ 251,756
Home equity	19,338	20,863
Total residential real estate loans	278,131	272,619	276,922
Collectively evaluated for impairment
Real Estate credit risk
One- to four-family	240,011	236,315
Home equity	17,838	20,863
Total residential real estate loans	257,849	257,178
Prime | Collectively evaluated for impairment
Real Estate credit risk
One- to four-family	192,734	189,529
Home equity	17,200	20,106
Total residential real estate loans	209,934	209,635
Subprime | Collectively evaluated for impairment
Real Estate credit risk
One- to four-family	47,277	46,786
Home equity	638	757
Total residential real estate loans	$ 47,915	$ 47,543

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Loans and Allowance for Loan Losses - Non-performing assets (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Nonperforming assets
Total other real estate owned and foreclosed assets	$ 1,347	$ 5,163
Non-Accrual loans	5,936	7,858
Nonperforming Assets	7,283	13,021
Non-accrual loans/Total loans	0.69%	1.06%
Non-performing assets/Total assets	0.50%	1.04%
Residential Portfolio Segment [Member]
Nonperforming assets
Other real estate owned	107	819
Commercial Portfolio Segment [Member]
Nonperforming assets
Other real estate owned	820	3,950
Consumer Portfolio Segment [Member]
Nonperforming assets
Foreclosed assets	$ 420	$ 394

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Investment Securities - Pledged Securities Narrative (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Federal Home Loan Bank Advances
Investment Securities
Securities Pledged as Collateral	$ 443,000	$ 322,200
Other Borrowings
Investment Securities
Securities Pledged as Collateral	$ 2,300	$ 9,000

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Fair Value Measurements - Fair value of Impaired loans (Details) (Fair Value, Measurements, Nonrecurring, Fair Value, Level 3 Inputs, USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Fair Value, Measurements, Nonrecurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Carrying value of impaired loans	$ 1,124	$ 6,456
Specific reserve	(209)	(552)
Fair value	$ 915	$ 5,904

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Fair Value Measurements- Assets and Liabilities Measured on a Recurring basis (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	$ 452,500	$ 383,909
U. S. government sponsored mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	292,510	199,730
U. S. government sponsored mortgage-backed securities | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	292,510	199,730
U. S. government sponsored mortgage-backed securities | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
U. S. government sponsored mortgage-backed securities | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	292,510	199,730
U. S. government sponsored mortgage-backed securities | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
U. S. government sponsored collateralized mortgage obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	149,186	172,896
U. S. government sponsored collateralized mortgage obligations | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	149,186	172,896
U. S. government sponsored collateralized mortgage obligations | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
U. S. government sponsored collateralized mortgage obligations | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	149,186	172,896
U. S. government sponsored collateralized mortgage obligations | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
Agency Bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	4,643	5,015
Agency Bonds | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	4,643	5,015
Agency Bonds | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
Agency Bonds | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	4,643	5,015
Agency Bonds | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
Municipal obligations | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	168
Municipal obligations | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0
Municipal obligations | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	168
Municipal obligations | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0
Other equity securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	5,993	6,268
Other equity securities | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	5,993	6,268
Other equity securities | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
Other equity securities | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	5,993	6,268
Other equity securities | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available-for-sale Securities	0	0
Interest rate lock commitments | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Interest rate lock commitments	202	264
Interest rate lock commitments | Fair Value, Measurements, Recurring | Fair Value, Level 1 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Interest rate lock commitments	0	0
Interest rate lock commitments | Fair Value, Measurements, Recurring | Fair Value, Level 2 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Interest rate lock commitments	0	0
Interest rate lock commitments | Fair Value, Measurements, Recurring | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Interest rate lock commitments	$ 202	$ 264

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Loans and Allowance for Loan Losses - Recorded investment in loans by allowance category (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Loans
Loans individually evaluated for impairment	$ 15,268	$ 20,445	$ 21,906
Loans collectively evaluated for impairment	848,718	718,639	710,414
Total residential real estate loans	278,131	272,619	276,922
Total commercial loans	250,370	200,418	188,123
Total consumer loans	335,485	266,047	267,275
Total loans	863,986	739,084	732,320
Residential Real Estate
Loans
Loans individually evaluated for impairment	7,851	7,027	7,617
Loans collectively evaluated for impairment	270,280	265,592	269,305
Commercial
Loans
Loans individually evaluated for impairment	6,698	12,758	13,739
Loans collectively evaluated for impairment	243,672	187,660	174,384
Consumer
Loans
Loans individually evaluated for impairment	719	660	550
Loans collectively evaluated for impairment	$ 334,766	$ 265,387	$ 266,725

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Subsequent Events (Details) (Subsequent Event [Member], USD $) In Thousands, unless otherwise specified	0 Months Ended
	Oct. 09, 2013
Subsequent Event [Member]
Subsequent Event [Line Items]
Restructuring and Related Cost, Number of Positions Eliminated	24
Restructuring and Related Cost, Number of Positions Eliminated, Period Percent	8.00%
Restructuring and Related Cost, Expected Cost	$ 800

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Earnings Per Share - (Tables)

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(Dollars in thousands, except per share data)
Earnings:
Net income	$	2,196		$	2,296		$	4,803		$	4,539
Basic shares:
Weighted-average common shares outstanding	11,458,923			11,419,035			11,449,808			11,297,903
Less: Average unallocated ESOP shares	(812,544		)	(850,632		)	(822,066		)	(860,154		)
Average unvested restricted stock awards	(199,377		)	(229,611		)	(233,265		)	(107,081		)
Average shares for basic earnings per share	10,447,002			10,338,792			10,394,477			10,330,668
Net income per common share, basic	$	0.21		$	0.22		$	0.46		$	0.44
Diluted shares:
Weighted-average common shares outstanding for basic earnings per common share	10,447,002			10,338,792			10,394,477			10,330,668
Add: Dilutive effects of share-based compensation plan	112,321			81,590			143,050			51,977
Average shares for diluted earnings per share	10,559,323			10,420,382			10,537,527			10,382,645
Net income per common share, diluted	$	0.21		$	0.22		$	0.46		$	0.44

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Consolidated Statements of Comprehensive Income (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Statement of Comprehensive Income [Abstract]
Net income	$ 2,196	$ 2,296	$ 4,803	$ 4,539
Change in unrealized gains (losses) on securities available for sale	1,337	635	(8,027)	1,467
Reclassification of amount realized through sale of securities	0	(762)	(1,701)	(860)
Income tax effect	(455)	43	3,307	(206)
Other comprehensive income (loss), net of income tax	882	(84)	(6,421)	401
Comprehensive income (loss)	$ 3,078	$ 2,212	$ (1,618)	$ 4,940

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Consolidated Statement of Changes in Stockholders' Equity (Unaudited) (Parenthetical)	9 Months Ended
	Sep. 30, 2013
Statement of Stockholders' Equity Parenthetical [Abstract]
ESOP shares allocated	28,566
Stock purchased and retired at cost	12,176
Stock options exercised	25,070
Restricted Stock Award, Net of Forfeitures	6,437

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Recent Accounting Pronouncements

9 Months Ended

Sep. 30, 2013

New Accounting Pronouncement or Change in Accounting Principle, Current Period Disclosures [Abstract]

Recent Accounting Pronouncements

Recent Accounting Pronouncements

In December 2011, the FASB issued ASU No. 2011-11, “Balance Sheet: Disclosures about Offsetting Assets and Liabilities.” ASU 2011-11 requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. ASU 2011-11 is effective for periods beginning on or after January 1, 2013. An entity should provide the disclosures required by those amendments retrospectively for all comparative periods presented. The adoption of this guidance did not have a material impact on the Company’s financial statements.

In January 2013, the FASB issued ASU No. 2013-01, “Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” This guidance amends the scope of ASU No. 2011-11 to clarify that the disclosure requirements are limited to derivatives, including bifurcated embedded derivatives, repurchase and reverse repurchase agreements, and securities borrowing and lending transactions that are either offset in the statement of financial position or subject to an enforceable master netting arrangement or similar agreement. The adoption of this guidance did not have a material impact on the Company’s financial statements.

In February 2013, the FASB issued ASU No. 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” Under ASU 2013-02, an entity is required to provide information about the amounts reclassified out of accumulated comprehensive income by component. In addition, an entity is required to present, either on the face of the financial statements or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income, but only if the amount reclassified is required to be reclassified in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross reference to other disclosures that provide additional details about those amounts. ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in the financial statements. ASU 2013-02 is effective for reporting periods beginning after December 15, 2012 for public companies. The adoption of this guidance did not have a material impact on the Company’s financial statements.

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Consolidated Statements of Cash Flow (Unaudited) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities:
Net income	$ 4,803	$ 4,539
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,534	2,597
Provision for loan losses	1,800	1,950
Amortization of net premium on investments	2,505	3,420
Amortization and impairment of mortgage servicing rights	(15)	457
Net gains on sales of securities available for sale	(1,701)	(860)
Net gains on sales of loans	(1,427)	(1,761)
Proceeds from sales of loans held for sale	54,174	40,514
Loans originated for sale	(45,557)	(44,388)
Net loss on write-down of other real estate owned	227	773
Net gains on disposition of premises and equipment	(344)	0
Net (gains) losses on sales of repossessed assets	(17)	65
Increase in cash surrender value of bank-owned life insurance	(1,051)	(854)
Federal Home Loan Bank stock dividends	(31)	(33)
ESOP compensation expense	685	573
Share-based compensation	1,459	955
Excess Tax Benefit from Share-based Compensation, Operating Activities	(129)	(61)
Changes in operating assets and liabilities:
Accrued interest receivable	(162)	568
Other assets	4,881	1,430
Accrued interest payable and other liabilities	4,593	2,615
Net cash provided by operating activities	27,227	12,499
Securities available for sale:
Purchases	(210,004)	(32,075)
Proceeds from sales	46,215	60,440
Proceeds from maturities, calls, and principal repayments	84,665	99,369
Purchases of other investments	(8,649)	(1,912)
Redemptions of other investments	1,195	628
Purchase of bank-owned life insurance	(10,000)	(10,000)
Net increase in loans held for investment	(131,435)	(59,965)
Proceeds from sales of loans held for investment	0	9,265
Purchases of premises and equipment	(1,471)	(977)
Proceeds from sales of premises and equipment	693	15
Proceeds from sales of foreclosed assets	2,050	2,201
Proceeds from sales of other real estate owned	3,807	1,971
Net cash (used in) provided by investing activities	(222,934)	68,960
Cash flows from financing activities:
Net decrease in deposits	(14,285)	(3,013)
Net increase (decrease) in Federal Home Loan Bank advances	210,000	(10,000)
Net decrease in other borrowings	(10,000)	(50,000)
Proceeds from stock options exercised	92	139
Excess tax benefit from share-based compensation	129	61
Purchase of common stock	(22)	(893)
Net cash provided by (used in) financing activities	185,914	(63,706)
Net (decrease) increase in cash and cash equivalents	(9,793)	17,753
Cash and cash equivalents, beginning of period	23,853	21,158
Cash and cash equivalents, end of period	14,060	38,911
Supplemental cash flow information:
Interest paid	5,926	9,101
Income taxes paid, net of refunds	1,400	1,065
Non-cash transactions:
Loans transfered to other real estate owned	184	1,739
Loans transferred to foreclosed assets	2,068	2,274
Loans transferred to other investments	0	631
Change in unrealized gains on securities available for sale	$ (9,728)	$ 1,467

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Loans and Allowance for Loan Losses - Consumer loans by credit score (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Loans
Automobile, indirect	$ 287,893	$ 221,907
Automobile, direct	32,005	27,433
Other consumer	15,587	16,707
Total consumer loans	335,485	266,047	267,275
Risk Tier A | Credit Score Greater than 720
Loans
Automobile, indirect	148,297	113,192
Automobile, direct	23,159	19,873
Other consumer	11,566	12,408
Total consumer loans	183,022	145,473
Risk Tier B | Credit Score 690 to 719
Loans
Automobile, indirect	58,077	45,625
Automobile, direct	4,610	3,986
Other consumer	2,281	2,203
Total consumer loans	64,968	51,814
Risk Tier C | Credit Score 661 to 689
Loans
Automobile, indirect	48,472	36,247
Automobile, direct	2,382	2,023
Other consumer	1,337	1,631
Total consumer loans	52,191	39,901
Risk Tier D | Credit Score 660 and under
Loans
Automobile, indirect	33,047	26,843
Automobile, direct	1,854	1,551
Other consumer	403	465
Total consumer loans	$ 35,304	$ 28,859

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Investment Securities - Continuous Unrealized Losses (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	$ 160,179	$ 14,175
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(4,966)	(28)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	1,676	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	(6)	0
Continuous Unrealized Losses, Total, Fair Value	161,855	14,175
Continuous Unrealized Losses, Total, Unrealized Losses	(4,972)	(28)
U. S. government sponsored mortgage-backed securities
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	121,100	4,708
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(3,696)	(7)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	0	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	0	0
Continuous Unrealized Losses, Total, Fair Value	121,100	4,708
Continuous Unrealized Losses, Total, Unrealized Losses	(3,696)	(7)
U. S. government sponsored collateralized mortgage obligations
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	28,275	9,467
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(896)	(21)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	1,676	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	(6)	0
Continuous Unrealized Losses, Total, Fair Value	29,951	9,467
Continuous Unrealized Losses, Total, Unrealized Losses	(902)	(21)
Agency Bonds
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	4,643
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(357)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	0
Continuous Unrealized Losses, Total, Fair Value	4,643
Continuous Unrealized Losses, Total, Unrealized Losses	(357)
Municipal obligations
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	168
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(10)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	0
Continuous Unrealized Losses, Total, Fair Value	168
Continuous Unrealized Losses, Total, Unrealized Losses	(10)
Other equity securities
Investment Securities
Continuous Unrealized Losses Existing for, Less than 12 Months, Fair Value	5,993
Continuous Unrealized Losses Existing for, Less than 12 Months, Unrealized Losses	(7)
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Fair Value	0
Continuous Unrealized Losses Existing for, Greater Than 12 Months, Unrealized Losses	0
Continuous Unrealized Losses, Total, Fair Value	5,993
Continuous Unrealized Losses, Total, Unrealized Losses	$ (7)

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Investment Securities - Realized Gains and Losses (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Investments, Debt and Equity Securities [Abstract]
Proceeds from sales of investment securities	$ 3	$ 33,873	$ 46,215	$ 60,440
Gross gains from sales of investment securities	$ 0	$ 762	$ 1,701	$ 860

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Loans and Allowance for Loan Losses - Nonaccrual Loans (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Loans
Non-Accrual loans	$ 5,936	$ 7,858
Loans past due greater than 90 days and still accruing interest	0	0
One- to four-family
Loans
Non-Accrual loans	2,341	1,026
Home Equity Loans and Lines of Credit
Loans
Non-Accrual loans	1	0
Commercial real estate
Loans
Non-Accrual loans	1,775	5,444
Commercial business
Loans
Non-Accrual loans	1,464	1,245
Automobile, indirect
Loans
Non-Accrual loans	350	143
Automobile, direct
Loans
Non-Accrual loans	$ 5	$ 0

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Employee Benefit Plans - Pension Plan (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Employee Benefits and Share-based Compensation [Abstract]
Interest cost on projected benefit obligation	$ 57	$ 64	$ 171	$ 192
Expected return on assets	(74)	(62)	(222)	(185)
Amortization of net loss	48	33	144	99
Net periodic pension cost	$ 31	$ 35	$ 93	$ 106

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Derivative Financial Instruments (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Interest Rate Lock Commitments
Derivatives, Fair Value
Derivative, Notional Amount	$ 6,792	$ 10,805
Interest Rate Lock Commitments, at Fair Value	202	264	0
(Loss) Gain on Interest Rate Lock Commitments	(62)	264
Forward Loan Sales Commitments
Derivatives, Fair Value
Forward loan sales commitments, at Fair Value	$ 0	$ 0	$ 0

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Loans and Allowance for Loan Losses - TDR method of concession (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	$ 417	$ 158
Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	365	0
Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	52	158
Interest rate reduction
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	389	97
Interest rate reduction | Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Interest rate reduction | Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	365	0
Interest rate reduction | Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	24	97
Loan maturity extension
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	28	38
Loan maturity extension | Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Loan maturity extension | Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Loan maturity extension | Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	28	38
Forbearance
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Forbearance | Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Forbearance | Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Forbearance | Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Principal reduction
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	23
Principal reduction | Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Principal reduction | Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	0	0
Principal reduction | Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans, restructured during the current period	$ 0	$ 23

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Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Statement of Financial Position [Abstract]
Amortized cost of available for sale securities	$ 451,259	$ 372,940
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	11,464,131	11,444,800
Common stock, shares outstanding	11,464,131	11,444,800
Unallocated Employee Stock Ownership Plan (ESOP) shares	809,370	837,936

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Derivative Financial Instruments

9 Months Ended

Sep. 30, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities Disclosure [Text Block]

Derivative Financial Instruments

The Company has entered into commitments with prospective residential mortgage borrowers to originate loans whereby the interest rate on the loan is determined prior to funding and the borrowers have locked into that interest rate. The interest rate lock commitments on loans originated for sale are recorded at fair value in accordance with ASC 815, “Derivatives and Hedging,” and are included in other assets in the consolidated balance sheets. The estimated fair values of the interest rate lock commitments are based on quoted secondary market pricing, include the fair value of the servicing rights based on the discounted present value of expected future cash flows, and assume an approximate closure rate based on recent historical experience. Changes in the fair value of interest rate lock commitments are recorded in current earnings as a component of net gains on sales of loans.

To manage the interest rate risk associated with interest rate lock commitments and mortgage loans held for sale, the Company may enter into forward loan sales commitments to deliver mortgage loan inventory to investors. The estimated fair values of forward loan sales commitments are based on quoted secondary market pricing. The fair values of the forward loan sales commitments are recorded as an other asset or an accrued liability in the consolidated balance sheets. Changes in the fair values of forward loan sales commitments are recorded in current earnings as a component of net gains on sales of loans.

The outstanding notional value and fair values of outstanding positions as of September 30, 2013 and December 31, 2012, and the recorded gains and losses during the nine months ended September 30, 2013 and the year ended December 31, 2012 were as follows:

	Outstanding Notional Balance		Fair Value		Recorded (Losses)/Gains
	(In thousands)
September 30, 2013:
Interest rate lock commitments	$	6,792	$	202	$	(62	)
December 31, 2012:
Interest rate lock commitments	$	10,805	$	264	$	264

The Company had no derivative financial instruments at September 30, 2012 and no forward loan sales commitments at September 30, 2013 or December 31, 2012.

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Consolidated Statements of Income (Unaudited) (Parenthetical) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Income Statement [Abstract]
Reclassifications from unrealized gains (losses) on available for sale securities in accumulated other comprehensive income	$ 0	$ 762	$ 1,701	$ 860
Income tax expense from items reclassified from accumulated other comprehensive income	$ 0	$ 259	$ 578	$ 292

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Employee Benefit Plans - Restricted Shares (Details) (USD $)	9 Months Ended
	Sep. 30, 2013
Employee Benefits and Share-based Compensation [Abstract]
Shares, Non-vested at Beginning of Period	254,323
Shares, Granted	7,500
Shares, Vested	(60,708)
Shares, Forfeited	(1,063)
Shares, Non-vested at End of Period	200,052
Weighted Average Grant Date Fair Value, Non-vested at Beginning of Period	$ 18.69
Weighted Average Grant Date Fair Value, Granted	$ 22.59
Weighted Average Grant Date Fair Value, Vested	$ 17.69
Weighted Average Grant Date Fair Value, Forfeited	$ 14.97
Weighted Average Grant Date Fair Value, Non-vested at End of Period	$ 19.16

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Consolidated Balance Sheets (Unaudited) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
ASSETS
Cash and due from financial institutions	$ 11,965	$ 21,931
Short-term interest-earning deposits in other financial institutions	2,095	1,922
Total cash and cash equivalents	14,060	23,853
Investments:
Securities available for sale (Amortized cost of $451,259 on September 30, 2013 and $372,940 on December 31, 2012)	452,500	383,909
Other	20,352	12,867
Loans held for sale	1,341	8,829
Loans, net of deferred fees and discounts	869,344	742,171
Less allowance for loan losses	(6,690)	(6,900)
Loans, net	862,654	735,271
Premises and equipment, net	41,714	43,126
Bank-owned life insurance	43,234	32,183
Other real estate owned	927	4,769
Mortgage servicing rights	1,385	1,009
Deferred tax asset, net	3,765	1,039
Accrued interest receivable	3,502	3,340
Other assets	2,948	7,154
Total assets	1,448,382	1,257,349
Deposits:
Noninterest-bearing	51,209	47,331
Interest-bearing	750,808	768,971
Total deposits	802,017	816,302
Federal Home Loan Bank advances	417,000	207,000
Other borrowings	9,000	19,000
Accrued expenses and other liabilities	14,062	9,469
Total liabilities	1,242,079	1,051,771
Commitments and contingencies
Stockholders’ equity:
Common stock, par value $0.01 per share; 100,000,000 shares authorized; 11,464,131 shares issued and outstanding at September 30, 2013 and 11,444,800 shares issued and outstanding at December 31, 2012	115	114
Additional paid-in capital	108,741	106,684
Unallocated Employee Stock Ownership Plan (“ESOP”) shares; 809,370 shares at September 30, 2013 and 837,936 shares at December 31, 2012	(8,094)	(8,379)
Retained earnings	106,680	101,877
Accumulated other comprehensive income (loss):
Unrealized gain on securities available for sale, net of income taxes	819	7,240
Unrealized loss on pension plan, net of income taxes	(1,958)	(1,958)
Total accumulated other comprehensive (loss) income	(1,139)	5,282
Total stockholders’ equity	206,303	205,578
Total liabilities and stockholders’ equity	$ 1,448,382	$ 1,257,349

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Repurchase agreements (Details) (Repurchase Agreements, USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Repurchase Agreements
Other borrowings
Debt Instrument Maturity Date (years)	5 years
Securities Sold under Agreements to Repurchase	$ 2,000	$ 8,000
Securities Pledged as Collateral	$ 2,324	$ 8,990

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Investment Securities - Unrealized Losses Narrative (Details)	Sep. 30, 2013	Dec. 31, 2012
Investments, Debt and Equity Securities [Abstract]
Available-for-sale, Number of investments	202	170
Available-for-sale, Securities in Unrealized Loss Positions, Number of Positions	64	7

XML

Derivative Financial Instruments Derivatives Table (Tables)

9 Months Ended

Sep. 30, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments

	Outstanding Notional Balance		Fair Value		Recorded (Losses)/Gains
	(In thousands)
September 30, 2013:
Interest rate lock commitments	$	6,792	$	202	$	(62	)
December 31, 2012:
Interest rate lock commitments	$	10,805	$	264	$	264

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Loans and Allowance for Loan Losses - Troubled debt restructuring summary (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Troubled Debt Restructurings
Troubled debt restructuring loans	$ 11,922	$ 18,250
Total performing troubled debt restructuring	9,054	12,044
Residential Real Estate
Troubled Debt Restructurings
Troubled debt restructuring loans	6,306	6,892
Troubled debt restructuring in non-accrual status	797	892
Commercial
Troubled Debt Restructurings
Troubled debt restructuring loans	5,198	10,841
Troubled debt restructuring in non-accrual status	2,017	5,314
Consumer
Troubled Debt Restructurings
Troubled debt restructuring loans	418	517
Troubled debt restructuring in non-accrual status	$ 54	$ 0

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Employee Benefit Plans - Employee Stock Ownership Plan (ESOP) (Details) (USD $) In Thousands, except Share data, unless otherwise specified	9 Months Ended		12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Employee Benefits and Share-based Compensation [Abstract]
Allocated Shares	142,830		114,264
Unearned shares	809,370		837,936
Total ESOP shares	952,200		952,200
Fair Value of unearned ESOP shares	$ 19,797		$ 19,381
ESOP compensation expense	$ 685	$ 573	$ 792

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Fair Value Measurements - Mortgage Servicing Rights (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Fair Value Disclosures [Abstract]
Mortgage servicing rights at fair value	$ 1,385	$ 1,009

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Loans and Allowance for Loan Losses - Risk category for loans by class for loans individually analyzed for impairment (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Loans
Commercial real estate	$ 104,847	$ 84,783
Real estate construction	69,229	52,245
Commercial business	76,294	63,390
One- to four-family	258,793	251,756
Home equity	19,338	20,863
Total loans	863,986	739,084	732,320
Individually evaluated for impairment
Loans
Commercial real estate	104,847	84,783
Real estate construction	69,229	52,245
Commercial business	76,294	63,390
One- to four-family	18,782	15,441
Home equity	1,500	0
Total loans	270,652	215,859
Individually evaluated for impairment | Pass
Loans
Commercial real estate	99,875	75,698
Real estate construction	66,551	47,299
Commercial business	71,947	58,488
One- to four-family	15,590	12,191
Home equity	1,500	0
Total loans	255,463	193,676
Individually evaluated for impairment | Special Mention
Loans
Commercial real estate	0	0
Real estate construction	0	0
Commercial business	1,819	2,264
One- to four-family	0	0
Home equity	0	0
Total loans	1,819	2,264
Individually evaluated for impairment | Substandard
Loans
Commercial real estate	4,972	9,085
Real estate construction	2,678	4,946
Commercial business	2,528	2,638
One- to four-family	3,192	3,250
Home equity	0	0
Total loans	13,370	19,919
Individually evaluated for impairment | Doubtful
Loans
Commercial real estate	0	0
Real estate construction	0	0
Commercial business	0	0
One- to four-family	0	0
Home equity	0	0
Total loans	$ 0	$ 0

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Loans and Allowance for Loan Losses - Impaired Loans (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended		12 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Impaired Loans
Recorded Balance	$ 15,268		$ 20,445
Unpaid Principal Balance	15,268		20,445
Related Allowance	209		278
Average Recorded Balance	18,510	24,789	23,904
Interest Income Recognized	324	449	616
Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	14,144		19,464
Unpaid Principal Balance	14,144		19,464
Related Allowance	0		0
Average Recorded Balance	17,446		22,780
Interest Income Recognized	317		602
Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	1,124		981
Unpaid Principal Balance	1,124		981
Related Allowance	209		278
Average Recorded Balance	1,064		1,124
Interest Income Recognized	7		14
One- to four-family | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	7,850		6,995
Unpaid Principal Balance	7,850		6,995
Related Allowance	0		0
Average Recorded Balance	7,442		7,781
Interest Income Recognized	210		285
One- to four-family | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Home equity | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	1		32
Unpaid Principal Balance	1		32
Related Allowance	0		0
Average Recorded Balance	8		50
Interest Income Recognized	0		2
Home equity | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Commercial real estate | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	2,392		6,263
Unpaid Principal Balance	2,392		6,263
Related Allowance	0		0
Average Recorded Balance	4,862		6,965
Interest Income Recognized	24		133
Commercial real estate | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Real estate construction | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	2,565		4,707
Unpaid Principal Balance	2,565		4,707
Related Allowance	0		0
Average Recorded Balance	3,658		6,093
Interest Income Recognized	53		122
Real estate construction | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Commercial business | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	617		807
Unpaid Principal Balance	617		807
Related Allowance	0		0
Average Recorded Balance	733		1,301
Interest Income Recognized	9		35
Commercial business | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	1,124		981
Unpaid Principal Balance	1,124		981
Related Allowance	209		278
Average Recorded Balance	1,064		1,124
Interest Income Recognized	7		14
Automobile, indirect | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	692		606
Unpaid Principal Balance	692		606
Related Allowance	0		0
Average Recorded Balance	700		523
Interest Income Recognized	19		20
Automobile, indirect | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Automobile, direct | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	27		51
Unpaid Principal Balance	27		51
Related Allowance	0		0
Average Recorded Balance	36		63
Interest Income Recognized	2		5
Automobile, direct | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	0		0
Other consumer | Impaired loan with no related allowance [Member]
Impaired Loans
Recorded Balance	0		3
Unpaid Principal Balance	0		3
Related Allowance	0		0
Average Recorded Balance	7		4
Interest Income Recognized	0		0
Other consumer | Impaired loans with related allowance [Member]
Impaired Loans
Recorded Balance	0		0
Unpaid Principal Balance	0		0
Related Allowance	0		0
Average Recorded Balance	0		0
Interest Income Recognized	$ 0		$ 0

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Loans and Allowance for Loan Losses - Impaired Loans Narrative (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Impaired Loans Narrative [Abstract]
Commitment to Lend on Impaired loans	$ 0	$ 0

XML

Loans and Allowance for Loan Losses

9 Months Ended

Sep. 30, 2013

Receivables [Abstract]

Loans and Allowance for Loan Losses

Loans and Allowance for Loan Losses

The composition of the loan portfolio was as follows at the dates indicated:

	September 30, 2013			December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	258,793		$	251,756
Home equity	19,338			20,863
Total residential real estate loans	278,131			272,619
Commercial loans:
Commercial real estate	104,847			84,783
Real estate construction	69,229			52,245
Commercial business	76,294			63,390
Total commercial loans	250,370			200,418
Consumer loans:
Automobile, indirect	287,893			221,907
Automobile, direct	32,005			27,433
Other consumer	15,587			16,707
Total consumer loans	335,485			266,047
Total loans	863,986			739,084
Plus (less):
Deferred fees and discounts	5,358			3,087
Allowance for loan losses	(6,690		)	(6,900		)
Total loans receivable, net	$	862,654		$	735,271

The Company originates one- to four-family residential real estate loans which are sold in the secondary market. The Company retains the servicing for residential real estate loans that are sold to the Federal National Mortgage Association (“FNMA”). Residential real estate loans serviced for FNMA are not included as assets on the consolidated balance sheets. The following table presents loans sold and serviced as of September 30, 2013 and December 31, 2012:

	September 30, 2013		December 31, 2012
	(In thousands)
Principal balances of the loans sold and serviced for FNMA	$	184,799	$	157,953
Mortgage servicing rights associated with the mortgage loans serviced for FNMA	1,385		1,009

The following table presents loans identified as impaired by class of loans as of September 30, 2013 and December 31, 2012:

	Recorded Balance		Unpaid Principal Balance		Related Allowance		Average Recorded Balance		Interest Income Recognized
	(In thousands)
September 30, 2013:
With no related allowance recorded:
One- to four-family	$	7,850	$	7,850	$	—	$	7,442	$	210
Home equity	1		1		—		8		—
Commercial real estate	2,392		2,392		—		4,862		24
Real estate construction	2,565		2,565		—		3,658		53
Commercial business	617		617		—		733		9
Automobile, indirect	692		692		—		700		19
Automobile, direct	27		27		—		36		2
Other consumer	—		—		—		7		—
Impaired loans with no related allowance recorded	14,144		14,144		—		17,446		317
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	1,124		1,124		209		1,064		7
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	1,124		1,124		209		1,064		7
Total	$	15,268	$	15,268	$	209	$	18,510	$	324
December 31, 2012:
With no related allowance recorded:
One- to four-family	$	6,995	$	6,995	$	—	$	7,781	$	285
Home equity	32		32		—		50		2
Commercial real estate	6,263		6,263		—		6,965		133
Real estate construction	4,707		4,707		—		6,093		122
Commercial business	807		807		—		1,301		35
Automobile, indirect	606		606		—		523		20
Automobile, direct	51		51		—		63		5
Other consumer	3		3		—		4		—
Impaired loans with no related allowance recorded	19,464		19,464		—		22,780		602
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	981		981		278		1,124		14
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	981		981		278		1,124		14
Total	$	20,445	$	20,445	$	278	$	23,904	$	616

For the nine months ended September 30, 2012, the average recorded investment in impaired loans and the related amount of interest income recognized during the time within the period that the loans were impaired were $24.8 million and $449,000, respectively.

As of September 30, 2013 and December 31, 2012, no additional funds were committed to be advanced in connection with impaired loans.

The following table presents the recorded investment in non-accrual loans by class of loans as of September 30, 2013 and December 31, 2012:

	September 30, 2013		December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	2,341	$	1,026
Home equity	1		—
Commercial loans:
Commercial real estate	1,775		5,444
Commercial business	1,464		1,245
Consumer loans:
Automobile, indirect	350		143
Automobile, direct	5		—
Total	$	5,936	$	7,858

There were no loans greater than 90 days past due that continued to accrue interest at September 30, 2013 or December 31, 2012.

The following table presents the aging of the recorded investment in past due loans as of September 30, 2013 and December 31, 2012 by class of loans:

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
September 30, 2013:
Residential real estate loans:
One- to four-family	$	—	$	550	$	2,221	$	2,771	$	256,022	$	258,793
Home equity	7		7		1		15		19,323		19,338
Commercial loans:
Commercial real estate	—		—		123		123		104,724		104,847
Real estate construction	—		—		—		—		69,229		69,229
Commercial business	—		—		—		—		76,294		76,294
Consumer loans:
Automobile, indirect	1,656		708		350		2,714		285,179		287,893
Automobile, direct	38		—		5		43		31,962		32,005
Other consumer	61		35		—		96		15,491		15,587
Total loans	$	1,762	$	1,300	$	2,700	$	5,762	$	858,224	$	863,986

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
December 31, 2012:
Residential real estate loans:
One- to four-family	$	3,717	$	1,487	$	897	$	6,101	$	245,655	$	251,756
Home equity	260		36		—		296		20,567		20,863
Commercial loans:
Commercial real estate	224		27		3,730		3,981		80,802		84,783
Real estate construction	—		—		—		—		52,245		52,245
Commercial business	18		—		—		18		63,372		63,390
Consumer loans:
Automobile, indirect	1,176		346		144		1,666		220,241		221,907
Automobile, direct	22		30		—		52		27,381		27,433
Other consumer	62		19		—		81		16,626		16,707
Total loans	$	5,479	$	1,945	$	4,771	$	12,195	$	726,889	$	739,084

Our methodology for evaluating the adequacy of the allowance for loan losses consists of:

• a specific loss component which is the allowance for impaired loans; and

• a general loss component for all other loans not individually evaluated for impairment but that, on a portfolio basis, are believed to have some inherent but unidentified loss.

The specific component of the allowance for loan losses relates to loans that are considered impaired, which are generally classified as doubtful or substandard. For such loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan are lower than the carrying value of that loan. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for non-homogeneous loans, including one- to four-family residential real estate loans with balances in excess of $1 million, commercial real estate, real estate construction, and commercial business loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, consumer and one- to four-family residential real estate loans with balances less than $1 million are not separately identified for impairment disclosures, unless such loans are the subject of a restructuring agreement.

The general component of the allowance for loan losses covers unimpaired loans and is based on the historical loss experience adjusted for other qualitative factors. The loan portfolio is stratified into homogeneous groups of loans that possess similar loss potential characteristics, and an appropriate loss ratio adjusted for other qualitative factors is applied to the homogeneous pools of loans to estimate the incurred losses in the loan portfolio. The other qualitative factors considered by management include, but are not limited to, the following:

• changes in lending policies and procedures, including underwriting standards and collection, charge-off, and recovery practices;

• changes in national and local economic and business conditions and developments, including the condition of various market segments;

• changes in the nature and volume of the loan portfolio;

• changes in the experience, ability, and depth of knowledge of the lending staff;

• changes in the trend of the volume and severity of past due and classified loans; and trends in the volume of non-accrual loans, troubled debt restructurings, and other loan modifications;

• changes in the quality of our loan review system and the degree of oversight by the board of directors;

• the existence and effect of any concentrations of credit, and changes in the level of such concentrations; and

• the effect of external factors such as competition and legal and regulatory requirements on the level of estimated credit losses in our current portfolio.

Consumer loans generally have greater risk of loss or default than one- to four-family residential real estate loans, particularly in the case of loans that are secured by rapidly depreciable assets, such as automobiles, or loans that are unsecured. In these cases, a risk exists that the collateral, if any, for a defaulted loan may not provide an adequate source of repayment of the outstanding loan balance. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the ability to recover on consumer loans.

Commercial real estate loans generally have greater credit risks compared to one- to four-family residential real estate loans, as they typically involve larger loan balances concentrated with single borrowers or groups of related borrowers. In addition, the payment experience on loans secured by income-producing properties typically depends on the successful operation of the related real estate project and thus may be subject to a greater extent to adverse conditions in the real estate market and in the general economy.

Commercial business loans involve a greater risk of default than residential real estate loans of like duration since their repayment generally depends on the successful operation of the borrower’s business and the sufficiency of collateral, if any. Loans secured by multi-family residential real estate generally involve a greater degree of credit risk than one- to four-family residential real estate loans and carry larger loan balances. This increased credit risk is a result of several factors, including the concentration of principal in a limited number of loans and borrowers, the effects of general economic conditions on income producing properties, and the increased difficulty of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by multi-family mortgages typically depends upon the successful operation of the related real estate property. If the cash flow from the project is reduced, the borrower’s ability to repay the loan may be impaired.

Real estate construction loans generally have greater credit risk than traditional one- to four-family residential real estate loans. The repayment of these loans depends upon the sale of the property to third parties or the availability of permanent financing upon completion of all improvements. In the event a loan is made on property that is not yet approved for the planned development, there is the risk that approvals will not be granted or will be delayed. These events may adversely affect the borrower and the collateral value of the property. Real estate construction loans also expose the Company to the risk that improvements will not be completed on time in accordance with specifications and projected costs. In addition, the ultimate sale or rental of the property may not occur as anticipated.

When establishing the allowance for loan losses, management categorizes loans into risk categories based on the class of loans — residential real estate, commercial, or consumer — and relevant information about the ability of the borrowers to repay the loans, such as the current economic conditions, historical payment experience, the nature and volume of the loan portfolio, the financial strength of the borrower, and the estimated value of any underlying collateral, among other factors. Management classifies the loans individually analyzed for impairment as to credit risk. This analysis includes residential real estate loans with an outstanding balance in excess of $1 million and non-homogeneous loans, such as commercial real estate, real estate construction, and commercial business loans. The following definitions for the credit risk ratings are used for such loans:

Special mention. Special mention loans have potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution’s credit position at some future date. Special mention assets are not adversely classified and do not expose the institution to sufficient risk to warrant adverse classification.

Substandard. Substandard loans have well defined weaknesses where a payment default and/or a loss is possible, but not yet probable. Loans so classified are inadequately protected by the current net worth and repayment capacity of the obligor or of the collateral pledged, if any. If deficiencies are not corrected quickly, there is a possibility of loss.

Doubtful. Doubtful loans have the weaknesses and characteristics of substandard loans, but the available information suggests that collection or liquidation in its entirety, on the basis of currently existing facts, conditions and values, is highly improbable. The possibility of a loss is exceptionally high, but certain identifiable contingencies could possibly arise (proposed merger, acquisition, capital injection, refinancing plans, and pledging of additional collateral) that may strengthen the loan, such that it is reasonable to defer its classification as a loss until a more exact status is determined.

Loans not meeting the criteria described above are considered to be pass-rated loans. The following table presents the risk category of loans by class for loans individually analyzed for impairment as of September 30, 2013 and December 31, 2012:

	Commercial Real Estate		Real Estate Construction		Commercial Business		One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Pass	$	99,875	$	66,551	$	71,947	$	15,590	$	1,500	$	255,463
Special Mention	—		—		1,819		—		—		1,819
Substandard	4,972		2,678		2,528		3,192		—		13,370
Doubtful	—		—		—		—		—		—
	$	104,847	$	69,229	$	76,294	$	18,782	$	1,500	$	270,652
December 31, 2012:
Pass	$	75,698	$	47,299	$	58,488	$	12,191	$	—	$	193,676
Special Mention	—		—		2,264		—		—		2,264
Substandard	9,085		4,946		2,638		3,250		—		19,919
Doubtful	—		—		—		—		—		—
	$	84,783	$	52,245	$	63,390	$	15,441	$	—	$	215,859

The Company classifies residential real estate loans that are not analyzed individually for impairment (less than $1 million) as prime or subprime. The Company defines a subprime residential real estate loan as any loan to a borrower who has no credit score or a credit score of less than 661 along with at least one of the following at the time of funding:

• Two or more 30 day delinquencies in the past 12 months;

• One or more 60 day delinquencies in the past 24 months;

• Bankruptcy filing within the past 60 months;

• Judgment or unpaid charge-off of $500 or more in the last 24 months; and

• Foreclosure or repossession in the past 24 months.

All other residential real estate loans not individually analyzed for impairment are classified as prime.

The following table presents the prime and subprime residential real estate loans collectively evaluated for impairment as of September 30, 2013 and December 31, 2012:

	One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Prime	$	192,734	$	17,200	$	209,934
Subprime	47,277		638		47,915
	$	240,011	$	17,838	$	257,849
December 31, 2012:
Prime	$	189,529	$	20,106	$	209,635
Subprime	46,786		757		47,543
	$	236,315	$	20,863	$	257,178

The Company evaluates consumer loans based on the credit score for each borrower when the loan is originated. The Company defines a subprime consumer loan as any loan to a borrower who has a credit score of less than 661 at the time of funding. The following table presents the credit score for each of the classes of consumer loans as of September 30, 2013 and December 31, 2012:

Risk Tier	Credit Score	Automobile, indirect		Automobile, direct		Other consumer		Total
	(In thousands)
September 30, 2013:
A	720+	$	148,297	$	23,159	$	11,566	$	183,022
B	690–719	58,077		4,610		2,281		64,968
C	661–689	48,472		2,382		1,337		52,191
D	660 and under	33,047		1,854		403		35,304
		$	287,893	$	32,005	$	15,587	$	335,485
December 31, 2012:
A	720+	$	113,192	$	19,873	$	12,408	$	145,473
B	690–719	45,625		3,986		2,203		51,814
C	661–689	36,247		2,023		1,631		39,901
D	660 and under	26,843		1,551		465		28,859
		$	221,907	$	27,433	$	16,707	$	266,047

The following table presents the activity in the allowance for loan losses by portfolio segment based on impairment method for the three and nine months ended September 30, 2013 and 2012:

	Residential Real Estate			Commercial			Consumer			Total
	(In thousands)
September 30, 2013:
Allowance for loan losses for the three months ended:
Beginning balance	$	794		$	3,375		$	2,913		$	7,082
Charge-offs	(86		)	—			(591		)	(677		)
Recoveries of loans previously charged-off	6			18			61			85
Provision for loan losses	157			(961		)	1,004			200
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Allowance for loan losses for the nine months ended:
Beginning balance	$	870		$	3,133		$	2,897		$	6,900
Charge-offs	(239		)	(202		)	(1,890		)	(2,331		)
Recoveries of loans previously charged-off	28			48			245			321
Provision for loan losses	212			(547		)	2,135			1,800
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	209		$	—		$	209
Collectively evaluated for impairment	871			2,223			3,387			6,481
Total ending balance	$	871		$	2,432		$	3,387		$	6,690
September 30, 2012:
Allowance for loan losses for the three months ended:
Beginning balance	$	1,134		$	2,933		$	3,089		$	7,156
Charge-offs	(2		)	(65		)	(606		)	(673		)
Recoveries of loans previously charged-off	82			45			152			279
Provision for loan losses	(180		)	425			305			550
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Allowance for loan losses for the nine months ended:
Beginning balance	$	1,268		$	3,443		$	3,197		$	7,908
Charge-offs	(79		)	(1,300		)	(1,797		)	(3,176		)
Recoveries of loans previously charged-off	112			100			418			630
Provision for loan losses	(267		)	1,095			1,122			1,950
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	552		$	—		$	552
Collectively evaluated for impairment	1,034			2,786			2,940			6,760
Total ending balance	$	1,034		$	3,338		$	2,940		$	7,312

The Company’s recorded investment in loans as of September 30, 2013, December 31, 2012, and September 30, 2012 related to each balance in the allowance for loan losses by portfolio segment and disaggregated on the basis of the Company’s impairment methodology is as follows:

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
September 30, 2013:
Loans individually evaluated for impairment	$	7,851	$	6,698	$	719	$	15,268
Loans collectively evaluated for impairment	270,280		243,672		334,766		848,718
Total ending balance	$	278,131	$	250,370	$	335,485	$	863,986
December 31, 2012:
Loans individually evaluated for impairment	$	7,027	$	12,758	$	660	$	20,445
Loans collectively evaluated for impairment	265,592		187,660		265,387		718,639
Total ending balance	$	272,619	$	200,418	$	266,047	$	739,084
September 30, 2012:
Loans individually evaluated for impairment	$	7,617	$	13,739	$	550	$	21,906
Loans collectively evaluated for impairment	269,305		174,384		266,725		710,414
Total ending balance	$	276,922	$	188,123	$	267,275	$	732,320

A loan is considered a troubled debt restructuring (“TDR”) if the Company, for economic or legal reasons related to a debtor’s financial difficulties, grants a concession to the debtor that it would not otherwise consider. Concessions granted under a TDR typically involve a temporary or permanent reduction in the interest rate to less than a current market rate of interest or an extension of a loan’s stated maturity date. Loans classified as TDRs are designated as impaired.

A summary of the Company’s loans classified as TDRs at September 30, 2013 and December 31, 2012 is presented below:

	September 30, 2013		December 31, 2012
	(In thousands)
TDR
Residential Real Estate	$	6,306	$	6,892
Commercial	5,198		10,841
Consumer	418		517
Total TDR	11,922		18,250
Less: TDR in non-accrual status
Residential Real Estate	797		892
Commercial	2,017		5,314
Consumer	54		—
Total performing TDR	$	9,054	$	12,044

The Company may grant concessions through a number of different restructuring methods. The following table presents the outstanding principal balance of loans by class and by method of concession that were the subject of a TDR during thenine months ended September 30, 2013 and 2012:

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
Nine Months Ended September 30, 2013:
Interest rate reduction	$	—	$	365	$	24	$	389
Loan maturity extension	—		—		28		28
Forbearance	—		—		—		—
Principal reduction	—		—		—		—
Total	$	—	$	365	$	52	$	417
Nine Months Ended September 30, 2012:
Interest rate reduction	$	—	$	—	$	97	$	97
Loan maturity extension	—		—		38		38
Forbearance	—		—		—		—
Principal reduction	—		—		23		23
Total	$	—	$	—	$	158	$	158

The following table presents the number of loans modified and the balances before and after modification for thenine months ended September 30, 2013 and 2012:

	Number of Loans	Pre-Modification Outstanding Recorded Balance		Post-Modification Outstanding Recorded Balance
	(Dollar amounts in thousands)
Nine Months Ended September 30, 2013:
Residential Real Estate	—	$	—	$	—
Commercial	1	371		371
Consumer	3	59		59
Total	4	$	430	$	430
Nine Months Ended September 30, 2012:
Residential Real Estate	—	$	—	$	—
Commercial	—	—		—
Consumer	11	173		170
Total	11	$	173	$	170

There were four consumer TDR loans with a total balance of $45,000 at September 30, 2013 that had payment defaults during the nine months ended September 30, 2013. There were two residential real estate TDR loans that had payment defaults during the nine months ended September 30, 2012. One had a balance of $451,000 at March 31, 2012 and was subsequently foreclosed in May 2012, and the other had a balance of $763,000 at September 30, 2012. Default occurs when a loan is 90 days or more past due or transferred to nonaccrual and is within 12 months of restructuring.

Included in the impaired loans as of September 30, 2013 and December 31, 2012 were TDRs of $11.9 million and $18.3 million, respectively. The Company did not allocate any specific reserves to customers whose loan terms have been modified as TDRs at September 30, 2013 or December 31, 2012. As of September 30, 2013 and December 31, 2012, no additional funds were committed to be advanced in connection with TDRs.

The Company’s other real estate owned and foreclosed assets represent properties and personal collateral acquired through customer loan defaults. The property is recorded at fair value less the estimated costs to sell at the date acquired. Any difference between the book value and estimated market value is recognized as a charge-off through the allowance for loan losses. Subsequently, should the fair market value of an asset less the estimated cost to sell decline to less than the carrying amount of the asset, the deficiency is recognized in the period in which it becomes known and is included in noninterest expense.

At September 30, 2013 and December 31, 2012, the Company had balances in non-performing assets consisting of the following:

	September 30, 2013			December 31, 2012
	(Dollar amounts in thousands)
Other real estate owned and foreclosed assets
Residential Real Estate	$	107		$	819
Commercial	820			3,950
Consumer	420			394
Total other real estate owned and foreclosed assets	1,347			5,163
Total non-accrual loans	5,936			7,858
Total non-performing assets	$	7,283		$	13,021
Non-accrual loans/Total loans	0.69		%	1.06		%
Non-performing assets/Total assets	0.50		%	1.04		%

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Fair Value Measurements Fair Value Measurements - Interest Rate Locks Narrative (Details)	Sep. 30, 2013	Dec. 31, 2012
Fair Value Disclosures - Interest Rate Locks Narrative [Abstract]
Fair Value of Servicing Rights as a Percentage of Loans with a Term of 180 Months	0.92%	0.84%
Fair Value of Servicing Rights as a Percentage of Loans with a Term greater than 180 Months and interest rate equal to or less than 4.5%	1.23%	0.82%
Fair Value of Servicing Rights as a Percentage of Loans with a Term greater than 180 Months and an interest rate greater than 4.5%	0.98%	0.82%
Estimated Closure Rate of Interest Rate Lock Commitments	76.40%	72.10%

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Investment Securities - Contractual Maturity (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Investments, Debt and Equity Securities [Abstract]
Due in one year or less, Amortized Cost	$ 0
Due from one to five year, Amortized Cost	982
Due from five to ten years, Amortized Cost	21,397
Due after ten years, Amortized Cost	422,880
Equity securities, Amortized Cost	6,000
Amortized Cost	451,259	372,940
Due in one year or less, Fair Value	0
Due from one to five years, Fair Value	1,041
Due from five to ten years, Fair Value	20,529
Due after ten years, Fair Value	424,937
Equity securities, Fair Value	5,993
Fair Value	$ 452,500	$ 383,909

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Loans and Allowance for Loan Losses - Allowance rollforward (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Financing Receivable, Allowance for Credit Losses
Beginning balance	$ 7,082	$ 7,156	$ 6,900	$ 7,908
Charge-offs	(677)	(673)	(2,331)	(3,176)
Recoveries of loans previously charged-off	85	279	321	630
Provision for loan losses	200	550	1,800	1,950
Ending balance	6,690	7,312	6,690	7,312
Individually evaluated for impairment	209	552	209	552
Collectively evaluated for impairment	6,481	6,760	6,481	6,760
Residential Real Estate
Financing Receivable, Allowance for Credit Losses
Beginning balance	794	1,134	870	1,268
Charge-offs	(86)	(2)	(239)	(79)
Recoveries of loans previously charged-off	6	82	28	112
Provision for loan losses	157	(180)	212	(267)
Ending balance	871	1,034	871	1,034
Individually evaluated for impairment	0	0	0	0
Collectively evaluated for impairment	871	1,034	871	1,034
Commercial
Financing Receivable, Allowance for Credit Losses
Beginning balance	3,375	2,933	3,133	3,443
Charge-offs	0	(65)	(202)	(1,300)
Recoveries of loans previously charged-off	18	45	48	100
Provision for loan losses	(961)	425	(547)	1,095
Ending balance	2,432	3,338	2,432	3,338
Individually evaluated for impairment	209	552	209	552
Collectively evaluated for impairment	2,223	2,786	2,223	2,786
Consumer
Financing Receivable, Allowance for Credit Losses
Beginning balance	2,913	3,089	2,897	3,197
Charge-offs	(591)	(606)	(1,890)	(1,797)
Recoveries of loans previously charged-off	61	152	245	418
Provision for loan losses	1,004	305	2,135	1,122
Ending balance	3,387	2,940	3,387	2,940
Individually evaluated for impairment	0	0	0	0
Collectively evaluated for impairment	$ 3,387	$ 2,940	$ 3,387	$ 2,940

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Employee Benefit Plans

9 Months Ended

Sep. 30, 2013

Employee Benefits and Share-based Compensation [Abstract]

Employee Benefit Plans

Employee Benefit Plans

Employee Stock Ownership Plan

OmniAmerican Bank adopted an Employee Stock Ownership Plan (“ESOP”) effective January 1, 2010. The ESOP enables all eligible employees of OmniAmerican Bank to share in the growth of the Company through the acquisition of Company common stock. Employees are generally eligible to participate in the ESOP after completion of one year of service and attaining age 21.

The ESOP purchased 8% of the shares sold in the initial public offering of the Company (952,200 shares). This purchase was facilitated by a note payable to the Company from the ESOP in the amount of $9.5 million. The note is secured by a pledge of the ESOP shares. The shares pledged as collateral are reported as unallocated ESOP shares in the accompanying consolidated balance sheets. The corresponding note is to be paid back in 25 approximately equal annual payments of $561,000 on the last day of each fiscal year, beginning December 31, 2010, including interest at an adjustable rate equal to the Wall Street Journal prime rate (3.25% as of September 30, 2013 and December 31, 2012). The note payable and the corresponding note receivable have been eliminated for consolidation purposes.

The Company may make discretionary contributions to the ESOP in the form of debt service. Dividends received on the unallocated ESOP shares, if any, are utilized to service the debt. Shares are released for allocation to plan participants based on principal and interest payments of the note. Compensation expense is recognized based on the number of shares allocated to plan participants each year at the average market price of the stock for the current year. Released ESOP shares become outstanding for earnings per share computations.

As compensation expense is incurred, the unallocated ESOP shares account is reduced based on the original cost of the stock. The difference between the cost and average market price of shares released for allocation is applied to additional paid-in capital.

The ESOP shares as of September 30, 2013 and December 31, 2012 were as follows:

	September 30, 2013		December 31, 2012
Allocated shares	142,830		114,264
Unearned shares	809,370		837,936
Total ESOP shares	952,200		952,200
Fair value of unearned shares (in thousands)	$	19,797	$	19,381
Year-to-date compensation expense recognized from the release of shares from the ESOP (in thousands)	685		792

Pension Plan

The Company has a noncontributory defined benefit pension plan (the “Pension Plan”) that provides for benefits to be paid to eligible employees at retirement based primarily upon years of service with the Company and compensation levels at retirement. Effective December 31, 2006, the Company froze benefits under the Pension Plan, so that no further benefits would be earned by employees after that date. In addition, no new participants may be added to the Pension Plan after December 31, 2006.

The net periodic pension cost for the three and nine months ended September 30, 2013 and 2012 includes the following components:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
	(In thousands)
Interest cost on projected benefit obligation	$	57		$	64		$	171		$	192
Expected return on assets	(74		)	(62		)	(222		)	(185		)
Amortization of net loss	48			33			144			99
Net periodic pension cost	$	31		$	35		$	93		$	106

Share-Based Compensation

At its annual meeting held May 24, 2011, the Company’s shareholders approved the OmniAmerican Bancorp, Inc. 2011 Equity Incentive Plan (the “Plan”) which provides for the grant of stock-based and other incentive awards to officers, employees, and directors of the Company. The Plan provides the board or a committee thereof with the flexibility to award no less than half the eligible awards, constituting 7% of the shares issued in the Company’s initial public offering, in the form of stock options and up to 7% of the shares issued in the initial public offering in the form of restricted stock. By resolution by the board of directors, the board confirmed that restricted stock awards will not exceed 4% of the common stock sold in the Company’s initial public offering. Pursuant to board resolution, 1,190,250 options to purchase shares of common stock and 476,100 restricted shares of common stock were made available. Share-based compensation expense for the three and nine months ended September 30, 2013 and 2012 was as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Share-based compensation expense	$	565	$	345	$	1,459	$	955

Restricted Stock

Compensation expense for restricted stock is recognized over the vesting period of the awards based on the fair value of the stock at grant date, which is determined using the last sale price as quoted on the NASDAQ Stock Market. Shares awarded to employees vest at a rate of 20% of the initially awarded amount per year, beginning on the first anniversary date of the award, and are contingent upon continuous service by the recipient through the vesting date. Shares awarded to directors vest at rates of 20% to 33% of the initially awarded amount per year, beginning on the first anniversary date of the award, and are contingent upon continuous service by the recipient through the vesting date. Under the terms of the Plan, awarded shares are restricted as to transferability and may not be sold, assigned, or transferred prior to vesting. The vesting period is subject to acceleration of vesting upon a change in control of the Company or upon the termination of the award recipient’s service due to death or disability. Total restricted shares issuable pursuant to board resolution were 476,100 at September 30, 2013, of which 292,038 shares had been issued under the Plan through September 30, 2013.

A summary of changes in the Company’s non-vested restricted shares for the nine months ended September 30, 2013 follows:

	Shares		Weighted- Average Grant Date Fair Value Per Share
Non-vested at January 1, 2013	254,323		$	18.69
Granted	7,500		22.59
Vested	(60,708	)	17.69
Forfeited	(1,063	)	14.97
Non-vested at September 30, 2013	200,052		$	19.16

As of September 30, 2013, the Company had $3.1 million of unrecognized compensation expense related to non-vested shares of restricted stock awarded under the Plan. The unrecognized compensation expense is expected to be recognized over a weighted-average period of 3.53 years. The Company applied an estimated forfeiture rate of 8.40% to employees’ and 0.00% to directors’ shares based on the historical turnover rates.

Stock Options

Under the terms of the Plan, stock options may not be granted with an exercise price less than the fair market value of the Company’s common stock on the date the option is granted and may not be exercised later than 10 years after the grant date. The fair market value is the last sale price as quoted on the NASDAQ Stock Market on the date of grant. All stock options granted must vest over at least three years and not more than five years, subject to acceleration of vesting upon a change in control, death, or disability.

The fair value of each option award is estimated on the date of grant using a closed form option valuation (Black-Scholes) model. The risk-free interest rate utilized in the model is the implied yield available on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term of the stock option in effect at the time of the grant. Although the contractual term of the stock options granted is 10 years, the expected term of the stock options is less because option restrictions do not permit recipients to sell or hedge their options. Management believes these restrictions encourage exercise of the option before the end of the contractual term. The Company does not have sufficient historical information about its own employees’ vesting behavior; therefore, the expected term of stock options is estimated using the average of the vesting period and contractual term. The Company does not have sufficient historical information about its own stock volatility; therefore the expected volatility is based on an average volatility of peer banks.

No stock options were granted during the nine months ended September 30, 2013.

A summary of activity in the stock option portion of the Plan for the nine months ended September 30, 2013 follows:

	Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term (years)	Aggregate Intrinsic Value (In thousands)
Outstanding at January 1, 2013	505,665		$	16.13	8.77	$	3,541
Granted	—		—		—	—
Exercised	(25,070	)	14.15		—	(232		)
Forfeited	(24,715	)	17.92		—	(162		)
Expired	(3,178	)	14.97		—	(30		)
Outstanding at September 30, 2013	452,702		$	16.15	8.03	$	3,762
Fully vested and expected to vest	415,648		$	16.10	8.02	$	3,476
Exercisable at September 30, 2013	149,462		$	15.15	7.87	$	1,391

As of September 30, 2013, the Company had $1.6 million of total unrecognized compensation expense related to non-vested stock options. That expense is expected to be recognized over a weighted-average period of 3.12 years. The intrinsic value for stock options is calculated based on the difference between the exercise price of the underlying awards and the market price of our common stock as of September 30, 2013.

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Investment Securities

9 Months Ended

Sep. 30, 2013

Investment Securities [Abstract]

Investment Securities

Investment Securities

The amortized cost and estimated fair values of investment securities available for sale and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) as of September 30, 2013 and December 31, 2012 were as follows:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	292,348	$	3,858	$	(3,696	)	$	292,510
U. S. government sponsored collateralized mortgage obligations	147,733		2,355		(902		)	149,186
Agency bonds	5,000		—		(357		)	4,643
Municipal obligations	178		—		(10		)	168
Other equity securities	6,000		—		(7		)	5,993
Total investment securities available for sale	$	451,259	$	6,213	$	(4,972	)	$	452,500
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	192,894	$	6,843	$	(7	)	$	199,730
U. S. government sponsored collateralized mortgage obligations	169,046		3,871		(21		)	172,896
Agency bonds	5,000		15		—			5,015
Other equity securities	6,000		268		—			6,268
Total investment securities available for sale	$	372,940	$	10,997	$	(28	)	$	383,909

Investment securities available for sale with gross unrealized losses at September 30, 2013 and December 31, 2012, aggregated by investment category and length of time that individual securities have been in a continuous loss position, were as follows:

	Continuous Unrealized Losses Existing for
	Less Than 12 Months					Greater Than 12 Months					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	121,100	$	(3,696	)	$	—	$	—		$	121,100	$	(3,696	)
U. S. government sponsored collateralized mortgage obligations	28,275		(896		)	1,676		(6		)	29,951		(902		)
Agency bonds	4,643		(357		)	—		—			4,643		(357		)
Municipal obligations	168		(10		)	—		—			168		(10		)
Other equity securities	5,993		(7		)	—		—			5,993		(7		)
	$	160,179	$	(4,966	)	$	1,676	$	(6	)	$	161,855	$	(4,972	)
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	4,708	$	(7	)	$	—	$	—		$	4,708	$	(7	)
U. S. government sponsored collateralized mortgage obligations	9,467		(21		)	—		—			9,467		(21		)
	$	14,175	$	(28	)	$	—	$	—		$	14,175	$	(28	)

At September 30, 2013, the Company owned 202 investment securities of which 64 had unrealized losses. At December 31, 2012, the Company owned 170 investment securities of which seven had unrealized losses. Unrealized losses generally result from interest rate levels differing from those existing at the time of purchase of the securities and, as to mortgage-backed securities, estimated prepayment speeds. These unrealized losses are considered to be temporary as they reflect fair values on September 30, 2013 and December 31, 2012, and are subject to change daily as interest rates fluctuate. The Company does not intend to sell these securities, and it is more likely than not that the Company will not be required to sell prior to recovery. Management evaluates investment securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent of the Company to sell or whether it would be more likely than not required to sell its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value.

The amortized cost and fair value of securities available for sale by contractual maturity at September 30, 2013 are summarized in the following table. Maturities are based on the final contractual payment dates, and do not reflect the impact of prepayments or earlier redemptions that may occur.

	Amortized Cost		Fair Value
	(In thousands)
Due in one year or less	$	—	$	—
Due from one to five years	982		1,041
Due from five to ten years	21,397		20,529
Due after ten years	422,880		424,937
Equity securities	6,000		5,993
Total	$	451,259	$	452,500

Investment securities with an amortized cost of $443.0 million and $322.2 million at September 30, 2013 and December 31, 2012, respectively, were pledged to secure Federal Home Loan Bank advances. In addition, investment securities with a fair value of $2.3 million and $9.0 million at September 30, 2013 and December 31, 2012, respectively, were pledged to secure repurchase agreements which are included in other borrowings.

Sales activity of securities available for sale for the three and nine months ended September 30, 2013 and 2012 was as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Proceeds from sales of investment securities	$	3	$	33,873	$	46,215	$	60,440
Gross gains from sales of investment securities	—		762		1,701		860

Gains or losses on the sales of securities are recognized at the trade date utilizing the specific identification method.

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Consolidated Statement of Changes in Stockholders' Equity (Unaudited) (USD $) In Thousands	Total	Common Stock	Additional Paid-in Capital	Unallocated ESOP shares	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning balance at Dec. 31, 2012	$ 205,578	$ 114	$ 106,684	$ (8,379)	$ 101,877	$ 5,282
ESOP shares allocated, 28,566 shares	685	0	400	285	0	0
Stock purchased and retired at cost, 12,176 shares	(22)	0	(22)	0	0	0
Share-based compensation expense	1,459	0	1,459	0	0	0
Tax benefit from the exercise of stock options and the vesting of restricted stock	129	0	129	0	0	0
Stock options exercised, 25,070 shares	92	1	91	0	0	0
Net income	4,803	0	0	0	4,803	0
Other comprehensive loss	(6,421)	0	0	0	0	(6,421)
Ending balance at Sep. 30, 2013	$ 206,303	$ 115	$ 108,741	$ (8,094)	$ 106,680	$ (1,139)

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Fed Funds purchased (Details) (USD $) In Millions, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012
Debt Disclosure [Abstract]
Federal Funds Purchased	$ 7.0	$ 11.0
Debt Instrument, Interest Rate, Stated Percentage	0.04%	0.26%

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Loans and Allowance for Loan Losses - TDR Narrative (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2012 Residential Real Estate	Sep. 30, 2013 Consumer
Troubled Debt Restructurings
Financing Receivable, Modifications, Subsequent Default, Number of Contracts	2	4
Total dollar value of TDR loans with payment defaults within 12 months of restructuring		$ 45
Dollar value of TDR loan at March 31, 2012 with payment defaults within 12 months of restructuring that was subsequently foreclosed	451
Dollar value of TDR loan at September 30, 2012 with payment defaults within 12 months of restructuring	$ 763

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Loans and Allowance for Loan Losses - Loan Composition (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Residential Real Estate Loans:
One- to four-family	$ 258,793	$ 251,756
Home equity	19,338	20,863
Total residential real estate loans	278,131	272,619	276,922
Commercial Loans:
Commercial real estate	104,847	84,783
Real estate construction	69,229	52,245
Commercial business	76,294	63,390
Total commercial loans	250,370	200,418	188,123
Consumer Loans:
Automobile, indirect	287,893	221,907
Automobile, direct	32,005	27,433
Other consumer	15,587	16,707
Total consumer loans	335,485	266,047	267,275
Total loans	863,986	739,084	732,320
Plus (less):
Deferred fees and discounts	5,358	3,087
Allowance for loan losses	(6,690)	(6,900)
Loans, net	$ 862,654	$ 735,271

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Fair Value Measurements - Other Real Estate Owned Remeasured and Reported at Fair Value (Details) (Foreclosed Assets Remeasured during the period [Member], Fair Value, Level 3 Inputs, USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Foreclosed Assets Remeasured during the period [Member] | Fair Value, Level 3 Inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Carrying value of other real estate owned prior to remeasurement	$ 1,631	$ 7,314
Less: charge-offs recognized in the allowance for loan losses at initial acquistion	(18)	(207)
Add: fair value adjustments recognized in noninterest income at initial acquisition	43	0
Less: subsequent write-downs included in net loss on write-down of other real estate owned	(227)	(773)
Less: sales of other real estate owned	(502)	(875)
Other Real Estate Owned Remeasured, Fair Value	$ 927	$ 5,459

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Employee Benefit Plans - Stock Option Narrative (Details) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Share-based Compensation
Minimum vesting period	3 years
Maximum vesting period	5 years
Stock Options
Share-based Compensation
Contractual Term in years for stock options	10 years
Unrecognized compensation expense related to non-vested shares of stock options	$ 1,619
Weighted-average period which expense is expected to be recognized	3 years 1 month 15 days

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Subsequent Events

9 Months Ended

Sep. 30, 2013

Subsequent Events [Abstract]

Subsequent Events [Text Block]

NOTE 10 — Subsequent Events

On October 9, 2013, the Company announced its plan to discontinue the purchase of auto loans originated through auto dealerships in order to strengthen the Company’s focus on its commercial, direct retail, and mortgage strategies. In addition to exiting the auto dealer market, the Company further reduced costs by eliminating 24 positions, which is approximately eight percent of the bank’s total workforce. Relative to these changes, the Company expects to record combined charges of approximately $800,000 in employee separation expense in the fourth quarter of 2013.

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Other Borrowings

9 Months Ended

Sep. 30, 2013

Debt Disclosure [Abstract]

Other Borrowings [Text Block]

Other Borrowings

Beginning July 26, 2007, the Company entered into sales of securities under agreements to repurchase (“Repurchase Agreements”) with PNC Bank, N.A. (“PNC”). The Repurchase Agreements are structured as the sale of a specified amount of identified securities to PNC which the Company has agreed to repurchase five years after the initial sale. The Repurchase Agreements are treated as financings, and the obligations to repurchase securities sold are included in other borrowings in the consolidated balance sheets. The underlying securities continue to be carried as assets of the Company, and the Company is entitled to receive interest and principal payments on the underlying securities. The Company had $2.0 million and $8.0 million in repurchase agreements outstanding at September 30, 2013 and December 31, 2012, respectively. These repurchase agreements were secured by investment securities with a fair value of $2.3 million and $9.0 million at September 30, 2013 and December 31, 2012, respectively.

Other borrowings included overnight borrowings from the Federal Home Loan Bank of Dallas of $7.0 million with an interest rate of 0.04% at September 30, 2013 and $11.0 million with an interest rate of 0.26% at December 31, 2012.

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Fair Value Measurements - Fair Value of Financial Instruments (Details) (USD $) In Thousands, unless otherwise specified	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012	Dec. 31, 2011
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Cash and Cash Equivalents	$ 14,060	$ 23,853	$ 38,911	$ 21,158
Available-for-sale Securities	452,500	383,909
Other investments	20,352	12,867
Loans held for sale	1,341	8,829
Accrued interest receivable	3,502	3,340
Loans, net	862,654	735,271
Mortgage servicing rights	1,385	1,009
Federal Home Loan Bank advances	417,000	207,000
Other borrowings	7,000	11,000
Deposits	802,017	816,302
Fair Value, Level 1 Inputs | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Cash and Cash Equivalents	14,060	23,853
Fair Value, Level 1 Inputs | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Cash and Cash Equivalents	14,060	23,853
Fair Value, Level 2 Inputs | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Available-for-sale Securities	452,500	383,909
Other investments	20,352	12,867
Loans held for sale	1,341	8,829
Accrued interest receivable	3,502	3,340
Federal Home Loan Bank advances	417,000	207,000
Other borrowings	7,000	11,000
Accrued interest payable	394	460
Fair Value, Level 2 Inputs | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Available-for-sale Securities	452,500	383,909
Other investments	20,352	12,867
Loans held for sale	1,401	9,094
Accrued interest receivable	3,502	3,340
Federal Home Loan Bank advances	415,666	208,216
Other borrowings	7,000	11,000
Accrued interest payable	394	460
Fair Value, Level 3 Inputs | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Loans, net	862,654	735,271
Mortgage servicing rights	1,385	1,009
Interest rate lock commitments	202	264
Deposits	802,017	816,302
Repurchase Agreements	2,000	8,000
Fair Value, Level 3 Inputs | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Loans, net	877,332	743,463
Mortgage servicing rights	1,385	1,009
Interest rate lock commitments	202	264
Deposits	804,917	820,551
Repurchase Agreements	2,057	8,091
Off-balance Sheet Financial Instruments [Member] | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Commitments, Fair Value Disclosure	0	0
Letters of Credit Outstanding, Amount	0	0
Off-balance Sheet Financial Instruments [Member] | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Commitments, Fair Value Disclosure	0	0
Letters of Credit Outstanding, Amount	$ 0	$ 0

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Loans and Allowance for Loan Losses (Tables)

9 Months Ended

Sep. 30, 2013

Receivables [Abstract]

Loan Composition

	September 30, 2013			December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	258,793		$	251,756
Home equity	19,338			20,863
Total residential real estate loans	278,131			272,619
Commercial loans:
Commercial real estate	104,847			84,783
Real estate construction	69,229			52,245
Commercial business	76,294			63,390
Total commercial loans	250,370			200,418
Consumer loans:
Automobile, indirect	287,893			221,907
Automobile, direct	32,005			27,433
Other consumer	15,587			16,707
Total consumer loans	335,485			266,047
Total loans	863,986			739,084
Plus (less):
Deferred fees and discounts	5,358			3,087
Allowance for loan losses	(6,690		)	(6,900		)
Total loans receivable, net	$	862,654		$	735,271

Mortgage servicing

	September 30, 2013		December 31, 2012
	(In thousands)
Principal balances of the loans sold and serviced for FNMA	$	184,799	$	157,953
Mortgage servicing rights associated with the mortgage loans serviced for FNMA	1,385		1,009

Impaired Loans

	Recorded Balance		Unpaid Principal Balance		Related Allowance		Average Recorded Balance		Interest Income Recognized
	(In thousands)
September 30, 2013:
With no related allowance recorded:
One- to four-family	$	7,850	$	7,850	$	—	$	7,442	$	210
Home equity	1		1		—		8		—
Commercial real estate	2,392		2,392		—		4,862		24
Real estate construction	2,565		2,565		—		3,658		53
Commercial business	617		617		—		733		9
Automobile, indirect	692		692		—		700		19
Automobile, direct	27		27		—		36		2
Other consumer	—		—		—		7		—
Impaired loans with no related allowance recorded	14,144		14,144		—		17,446		317
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	1,124		1,124		209		1,064		7
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	1,124		1,124		209		1,064		7
Total	$	15,268	$	15,268	$	209	$	18,510	$	324
December 31, 2012:
With no related allowance recorded:
One- to four-family	$	6,995	$	6,995	$	—	$	7,781	$	285
Home equity	32		32		—		50		2
Commercial real estate	6,263		6,263		—		6,965		133
Real estate construction	4,707		4,707		—		6,093		122
Commercial business	807		807		—		1,301		35
Automobile, indirect	606		606		—		523		20
Automobile, direct	51		51		—		63		5
Other consumer	3		3		—		4		—
Impaired loans with no related allowance recorded	19,464		19,464		—		22,780		602
With an allowance recorded:
One- to four-family	$	—	$	—	$	—	$	—	$	—
Home equity	—		—		—		—		—
Commercial real estate	—		—		—		—		—
Real estate construction	—		—		—		—		—
Commercial business	981		981		278		1,124		14
Automobile, indirect	—		—		—		—		—
Automobile, direct	—		—		—		—		—
Other consumer	—		—		—		—		—
Impaired loans with an allowance recorded	981		981		278		1,124		14
Total	$	20,445	$	20,445	$	278	$	23,904	$	616

Nonaccrual loans

	September 30, 2013		December 31, 2012
	(In thousands)
Residential real estate loans:
One- to four-family	$	2,341	$	1,026
Home equity	1		—
Commercial loans:
Commercial real estate	1,775		5,444
Commercial business	1,464		1,245
Consumer loans:
Automobile, indirect	350		143
Automobile, direct	5		—
Total	$	5,936	$	7,858

Past due loan aging

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
September 30, 2013:
Residential real estate loans:
One- to four-family	$	—	$	550	$	2,221	$	2,771	$	256,022	$	258,793
Home equity	7		7		1		15		19,323		19,338
Commercial loans:
Commercial real estate	—		—		123		123		104,724		104,847
Real estate construction	—		—		—		—		69,229		69,229
Commercial business	—		—		—		—		76,294		76,294
Consumer loans:
Automobile, indirect	1,656		708		350		2,714		285,179		287,893
Automobile, direct	38		—		5		43		31,962		32,005
Other consumer	61		35		—		96		15,491		15,587
Total loans	$	1,762	$	1,300	$	2,700	$	5,762	$	858,224	$	863,986

	30-59 Days Past Due		60-89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Loans Not Past Due		Total
	(In thousands)
December 31, 2012:
Residential real estate loans:
One- to four-family	$	3,717	$	1,487	$	897	$	6,101	$	245,655	$	251,756
Home equity	260		36		—		296		20,567		20,863
Commercial loans:
Commercial real estate	224		27		3,730		3,981		80,802		84,783
Real estate construction	—		—		—		—		52,245		52,245
Commercial business	18		—		—		18		63,372		63,390
Consumer loans:
Automobile, indirect	1,176		346		144		1,666		220,241		221,907
Automobile, direct	22		30		—		52		27,381		27,433
Other consumer	62		19		—		81		16,626		16,707
Total loans	$	5,479	$	1,945	$	4,771	$	12,195	$	726,889	$	739,084

Risk category of loans by class for loans individually analyzed for impairment

	Commercial Real Estate		Real Estate Construction		Commercial Business		One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Pass	$	99,875	$	66,551	$	71,947	$	15,590	$	1,500	$	255,463
Special Mention	—		—		1,819		—		—		1,819
Substandard	4,972		2,678		2,528		3,192		—		13,370
Doubtful	—		—		—		—		—		—
	$	104,847	$	69,229	$	76,294	$	18,782	$	1,500	$	270,652
December 31, 2012:
Pass	$	75,698	$	47,299	$	58,488	$	12,191	$	—	$	193,676
Special Mention	—		—		2,264		—		—		2,264
Substandard	9,085		4,946		2,638		3,250		—		19,919
Doubtful	—		—		—		—		—		—
	$	84,783	$	52,245	$	63,390	$	15,441	$	—	$	215,859

Real estate loans collectively evaluated for impairment

	One- to Four- Family		Home Equity		Total
	(In thousands)
September 30, 2013:
Prime	$	192,734	$	17,200	$	209,934
Subprime	47,277		638		47,915
	$	240,011	$	17,838	$	257,849
December 31, 2012:
Prime	$	189,529	$	20,106	$	209,635
Subprime	46,786		757		47,543
	$	236,315	$	20,863	$	257,178

Consumer loans by credit score

Risk Tier	Credit Score	Automobile, indirect		Automobile, direct		Other consumer		Total
	(In thousands)
September 30, 2013:
A	720+	$	148,297	$	23,159	$	11,566	$	183,022
B	690–719	58,077		4,610		2,281		64,968
C	661–689	48,472		2,382		1,337		52,191
D	660 and under	33,047		1,854		403		35,304
		$	287,893	$	32,005	$	15,587	$	335,485
December 31, 2012:
A	720+	$	113,192	$	19,873	$	12,408	$	145,473
B	690–719	45,625		3,986		2,203		51,814
C	661–689	36,247		2,023		1,631		39,901
D	660 and under	26,843		1,551		465		28,859
		$	221,907	$	27,433	$	16,707	$	266,047

Activity in the allowance for loan losses by portfolio segment

	Residential Real Estate			Commercial			Consumer			Total
	(In thousands)
September 30, 2013:
Allowance for loan losses for the three months ended:
Beginning balance	$	794		$	3,375		$	2,913		$	7,082
Charge-offs	(86		)	—			(591		)	(677		)
Recoveries of loans previously charged-off	6			18			61			85
Provision for loan losses	157			(961		)	1,004			200
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Allowance for loan losses for the nine months ended:
Beginning balance	$	870		$	3,133		$	2,897		$	6,900
Charge-offs	(239		)	(202		)	(1,890		)	(2,331		)
Recoveries of loans previously charged-off	28			48			245			321
Provision for loan losses	212			(547		)	2,135			1,800
Ending balance	$	871		$	2,432		$	3,387		$	6,690
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	209		$	—		$	209
Collectively evaluated for impairment	871			2,223			3,387			6,481
Total ending balance	$	871		$	2,432		$	3,387		$	6,690
September 30, 2012:
Allowance for loan losses for the three months ended:
Beginning balance	$	1,134		$	2,933		$	3,089		$	7,156
Charge-offs	(2		)	(65		)	(606		)	(673		)
Recoveries of loans previously charged-off	82			45			152			279
Provision for loan losses	(180		)	425			305			550
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Allowance for loan losses for the nine months ended:
Beginning balance	$	1,268		$	3,443		$	3,197		$	7,908
Charge-offs	(79		)	(1,300		)	(1,797		)	(3,176		)
Recoveries of loans previously charged-off	112			100			418			630
Provision for loan losses	(267		)	1,095			1,122			1,950
Ending balance	$	1,034		$	3,338		$	2,940		$	7,312
Ending balance attributable to loans:
Individually evaluated for impairment	$	—		$	552		$	—		$	552
Collectively evaluated for impairment	1,034			2,786			2,940			6,760
Total ending balance	$	1,034		$	3,338		$	2,940		$	7,312

Investment in loans disaggregated on the basis of impairment methodology

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
September 30, 2013:
Loans individually evaluated for impairment	$	7,851	$	6,698	$	719	$	15,268
Loans collectively evaluated for impairment	270,280		243,672		334,766		848,718
Total ending balance	$	278,131	$	250,370	$	335,485	$	863,986
December 31, 2012:
Loans individually evaluated for impairment	$	7,027	$	12,758	$	660	$	20,445
Loans collectively evaluated for impairment	265,592		187,660		265,387		718,639
Total ending balance	$	272,619	$	200,418	$	266,047	$	739,084
September 30, 2012:
Loans individually evaluated for impairment	$	7,617	$	13,739	$	550	$	21,906
Loans collectively evaluated for impairment	269,305		174,384		266,725		710,414
Total ending balance	$	276,922	$	188,123	$	267,275	$	732,320

Troubled debt restructuring summary

	September 30, 2013		December 31, 2012
	(In thousands)
TDR
Residential Real Estate	$	6,306	$	6,892
Commercial	5,198		10,841
Consumer	418		517
Total TDR	11,922		18,250
Less: TDR in non-accrual status
Residential Real Estate	797		892
Commercial	2,017		5,314
Consumer	54		—
Total performing TDR	$	9,054	$	12,044

Troubled debt restructurings by method of concession

	Residential Real Estate		Commercial		Consumer		Total
	(In thousands)
Nine Months Ended September 30, 2013:
Interest rate reduction	$	—	$	365	$	24	$	389
Loan maturity extension	—		—		28		28
Forbearance	—		—		—		—
Principal reduction	—		—		—		—
Total	$	—	$	365	$	52	$	417
Nine Months Ended September 30, 2012:
Interest rate reduction	$	—	$	—	$	97	$	97
Loan maturity extension	—		—		38		38
Forbearance	—		—		—		—
Principal reduction	—		—		23		23
Total	$	—	$	—	$	158	$	158

TDR loans modified during the period

	Number of Loans	Pre-Modification Outstanding Recorded Balance		Post-Modification Outstanding Recorded Balance
	(Dollar amounts in thousands)
Nine Months Ended September 30, 2013:
Residential Real Estate	—	$	—	$	—
Commercial	1	371		371
Consumer	3	59		59
Total	4	$	430	$	430
Nine Months Ended September 30, 2012:
Residential Real Estate	—	$	—	$	—
Commercial	—	—		—
Consumer	11	173		170
Total	11	$	173	$	170

Non-performing assets

	September 30, 2013			December 31, 2012
	(Dollar amounts in thousands)
Other real estate owned and foreclosed assets
Residential Real Estate	$	107		$	819
Commercial	820			3,950
Consumer	420			394
Total other real estate owned and foreclosed assets	1,347			5,163
Total non-accrual loans	5,936			7,858
Total non-performing assets	$	7,283		$	13,021
Non-accrual loans/Total loans	0.69		%	1.06		%
Non-performing assets/Total assets	0.50		%	1.04		%

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Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2013

Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation

The accompanying unaudited consolidated financial statements of OmniAmerican Bancorp, Inc. (referred to herein as “the Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations. These interim consolidated financial statements and notes should be read in conjunction with the Company’s consolidated financial statements, and notes thereto, for the year ended December 31, 2012, included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 11, 2013. In management’s opinion, the interim data as of September 30, 2013 and for the three- and nine- month periods ended September 30, 2013 and 2012, includes all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the results of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. References to the Company include, where appropriate, OmniAmerican Bank, the Company’s wholly-owned subsidiary.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The allowance for loan losses and the fair values of financial instruments are particularly subject to change.

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Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Nov. 01, 2013
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q3
Entity Registrant Name	OmniAmerican Bancorp, Inc.
Entity Central Index Key	0001470795
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		11,451,579

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Investment Securities (Tables)

9 Months Ended

Sep. 30, 2013

Investments, Debt and Equity Securities [Abstract]

Amortized cost and estimated fair value

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	292,348	$	3,858	$	(3,696	)	$	292,510
U. S. government sponsored collateralized mortgage obligations	147,733		2,355		(902		)	149,186
Agency bonds	5,000		—		(357		)	4,643
Municipal obligations	178		—		(10		)	168
Other equity securities	6,000		—		(7		)	5,993
Total investment securities available for sale	$	451,259	$	6,213	$	(4,972	)	$	452,500
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	192,894	$	6,843	$	(7	)	$	199,730
U. S. government sponsored collateralized mortgage obligations	169,046		3,871		(21		)	172,896
Agency bonds	5,000		15		—			5,015
Other equity securities	6,000		268		—			6,268
Total investment securities available for sale	$	372,940	$	10,997	$	(28	)	$	383,909

Continuous unrealized losses

	Continuous Unrealized Losses Existing for
	Less Than 12 Months					Greater Than 12 Months					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(In thousands)
September 30, 2013
U. S. government sponsored mortgage-backed securities	$	121,100	$	(3,696	)	$	—	$	—		$	121,100	$	(3,696	)
U. S. government sponsored collateralized mortgage obligations	28,275		(896		)	1,676		(6		)	29,951		(902		)
Agency bonds	4,643		(357		)	—		—			4,643		(357		)
Municipal obligations	168		(10		)	—		—			168		(10		)
Other equity securities	5,993		(7		)	—		—			5,993		(7		)
	$	160,179	$	(4,966	)	$	1,676	$	(6	)	$	161,855	$	(4,972	)
December 31, 2012
U. S. government sponsored mortgage-backed securities	$	4,708	$	(7	)	$	—	$	—		$	4,708	$	(7	)
U. S. government sponsored collateralized mortgage obligations	9,467		(21		)	—		—			9,467		(21		)
	$	14,175	$	(28	)	$	—	$	—		$	14,175	$	(28	)

Contractual maturity

	Amortized Cost		Fair Value
	(In thousands)
Due in one year or less	$	—	$	—
Due from one to five years	982		1,041
Due from five to ten years	21,397		20,529
Due after ten years	422,880		424,937
Equity securities	6,000		5,993
Total	$	451,259	$	452,500

Realized gains and losses

	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Proceeds from sales of investment securities	$	3	$	33,873	$	46,215	$	60,440
Gross gains from sales of investment securities	—		762		1,701		860

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Earnings Per Share - (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Earnings Per Share [Abstract]
Net income	$ 2,196	$ 2,296	$ 4,803	$ 4,539
Basic Shares
Weighted average common shares outstanding, basic	11,458,923	11,419,035	11,449,808	11,297,903
Less: Average unallocated ESOP shares	(812,544)	(850,632)	(822,066)	(860,154)
Average unvested restricted stock awards	(199,377)	(229,611)	(233,265)	(107,081)
Average shares for basic earnings per share	10,447,002	10,338,792	10,394,477	10,330,668
Net income per common share, basic	$ 0.21	$ 0.22	$ 0.46	$ 0.44
Diluted shares:
Weighted average common shares outstanding for basic earnings per common share	10,447,002	10,338,792	10,394,477	10,330,668
Add: Dilutive effects of share-based compensation plan	112,321	81,590	143,050	51,977
Average shares for diluted earnings per share	10,559,323	10,420,382	10,537,527	10,382,645
Net income per common share, diluted	$ 0.21	$ 0.22	$ 0.46	$ 0.44

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Employee Benefit Plans - Stock Options activity (Details) (USD $) In Thousands, except Share data, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Employee Benefits and Share-based Compensation [Abstract]
Shares, Outstanding at Beginning of Period	505,665
Shares, Granted	0
Shares, Exercised	(25,070)
Shares, Forfeited	(24,715)
Shares, Expired	(3,178)
Shares, Outstanding at End of Period	452,702
Shares, Fully vested and expected to vest	415,648
Shares, Exercisable at End of Period	149,462
Weighted Average Exercise Price, Outstanding at Beginning of Period	$ 16.13
Weighted Average Exercise Price, Granted	$ 0.00
Weighted Average Exercise Price, Exercised	$ 14.15
Weighted Average Exercise Price, Forfeited	$ 17.92
Weighted Average Exercise Price, Expired	$ 14.97
Weighted Average Exercise Price, Outstanding at End of Period	$ 16.15
Weighted Average Exercise Price, Fully vested and expected to vest	$ 16.10
Weighted Average Exercise Price, Exercisable at End of Period	$ 15.15
Weighted Average Remaining Contractual Term (years), Outstanding at Beginning of Period	8 years 9 months 6 days
Weighted Average Remaining Contractual Term (years), Outstanding at End of Period	8 years 0 months 12 days
Weighted Average Remaining Contractual Term, Fully vested and expected to vest	8 years 0 months 8 days
Weighted Average Remaining Contractual Term, Exercisable at End of Period	7 years 10 months 12 days
Aggregate Intrinsic Value, Outstanding at Beginning of Period	$ 3,541
Aggregate Intrinsic Value, Granted	0
Aggregate Intrinsic Value, Exercised	(232)
Aggregate Intrinsic Value, Forfeited	(162)
Aggregate Intrinsic Value, Expired	(30)
Aggregate Intrinsic Value, Outstanding at End of Period	3,762
Aggregate Intrinsic Value, Fully vested and expected to vest	3,476
Aggregate Intrinsic Value, Exercisable at End of Period	$ 1,391