SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED)

The following table presents selected quarterly data for the years ended December 31, 2016 and 2015. Quarterly data may not agree to full year results.



	2016
Quarter Ended	December 31			September 30			June 30			March 31
(amounts in thousands, except per share data)
Interest income	$	83,609		$	84,212		$	81,320		$	73,398
Interest expense	19,475			19,622			18,159			15,767
Net interest income	64,134			64,590			63,161			57,631
Provision for loan losses	(261		)	(161		)	786			1,980
Non-interest income	921			11,121			5,853			5,267
Non-interest expenses	30,509			36,750			32,085			31,871
Income from continuing operations before income taxes	34,807			39,122			36,143			29,047
Provision for income taxes	11,470			15,834			14,369			9,739
Net income from continuing operations	23,337			23,288			21,774			19,308
Loss from discontinued operations before income taxes	(5,659		)	(3,357		)	(3,696		)	(1,812		)
Income tax benefit from discontinued operations	(2,150		)	(1,276		)	(1,405		)	(688		)
Net loss from discontinued operations	(3,509		)	(2,081		)	(2,291		)	(1,124		)
Net income	19,828			21,207			19,483			18,184
Preferred stock dividend	3,615			2,552			2,062			1,286
Net income available to common shareholders	$	16,213		$	18,655		$	17,421		$	16,898
Earnings per common share:
Basic earnings per common share from continuing operations	$	0.68		$	0.76		$	0.73		$	0.67
Basic earnings per common share	$	0.56		$	0.68		$	0.64		$	0.63
Diluted earnings per common share from continuing operations	$	0.62		$	0.70		$	0.67		$	0.62
Diluted earnings per common share	$	0.51		$	0.63		$	0.59		$	0.58

In fourth quarter 2016, Customers elected to early-adopt ASU 2016-09, Compensation - Stock Compensation: Improvements to Employee Share-Based Payment, and has retroactively applied the guidance effective as of January 1, 2016. As a result of the adoption, Customers recognized excess tax benefits recognized as a a reduction of income tax expense of $4.1 million for the year ended December 31, 2016. The adoption of the ASU also resulted in an increase in weighted average diluted shares of 559,209 for the year ended December 31, 2016 as excess tax benefits are no longer included in assumed proceeds when determining diluted shares outstanding under the treasury method. Form more information regarding the impact of adoption, see NOTE 4 - SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION. The quarterly data above has been adjusted to reflect the retrospective adoption of this ASU.



	2015
Quarter Ended	December 31			September 30			June 30			March 31
(amounts in thousands, except per share data)
Interest income	$	67,713		$	63,736		$	59,683		$	58,718
Interest expense	14,241			13,799			13,123			12,388
Net interest income	53,472			49,937			46,560			46,330
Provision for loan losses	6,173			2,094			9,335			2,964
Non-interest income	9,300			6,159			6,387			5,726
Non-interest expenses	29,587			28,354			23,582			26,045
Income from continuing operations before income taxes	27,012			25,648			20,030			23,047
Provision for income taxes	8,103			9,155			7,187			8,219
Net income from continuing operations	18,909			16,493			12,843			14,828
Loss from discontinued operations before income taxes	(1,811		)	(1,944		)	(2,074		)	(1,413		)
Income tax benefit from discontinued operations	(688		)	(740		)	(787		)	(537		)
Net loss from discontinued operations	(1,123		)	(1,204		)	(1,287		)	(876		)
Net income	17,786			15,289			11,556			13,952
Preferred stock dividend	1,006			980			507			—
Net income available to common shareholders	$	16,780		$	14,309		$	11,049		$	13,952
Earnings per common share:
Basic earnings per common share from continuing operations	$	0.67		$	0.58		$	0.46		$	0.55
Basic earnings per common share	$	0.62		$	0.53		$	0.41		$	0.52
Diluted earnings per common share from continuing operations	$	0.62		$	0.54		$	0.43		$	0.52
Diluted earnings per common share	$	0.58		$	0.50		$	0.39		$	0.49