BankAtlantic Bancorp Reports Earnings
For The Third Quarter 2004

Income From Continuing Operations Increased 46%

Earnings Per Share Increased 44%

YTD Income From Continuing Operations Increased 74%

YTD Earnings Per Share Increased 68%

FORT LAUDERDALE, Florida – October 20, 2004 — BankAtlantic Bancorp, Inc. (NYSE: BBX) today announced financial results for the third quarter ended September 30, 2004. Income from continuing operations increased 46% to $14.7 million for the third quarter of 2004, up from $10.1 million earned in the corresponding period in 2003. Diluted earnings per share from continuing operations increased 44% to $0.23, up from $0.16 in the corresponding period in 2003. Year-to-date income from continuing operations increased 74% to $53.5 million for the period ending September 30, 2004, up from $30.8 million in the corresponding period in 2003. Year-to-date diluted earnings per share from continuing operations increased 68% to $0.84, up from $0.50 earned in the corresponding period in 2003.

     Chairman of the Board and Chief Executive Officer Alan B. Levan commented, “The last six weeks of the third quarter brought Floridians unprecedented disruptions from hurricanes including evacuations, curfews, loss of electric service, and other related damages. The rapid succession of the four Florida hurricanes created unparalleled challenges to our communities. We are very proud of our extraordinarily dedicated staff for keeping the ‘Florida’s Most Convenient Bank’ promise during this trying period. We offered customers and non-customers alike unparalleled service and care before and after each storm, including weekends and the Labor Day holiday.

     “In spite of weather-related conditions during the quarter, BankAtlantic’s growth initiatives continued to show solid progress. BankAtlantic maintained a net interest margin for the quarter of 3.78%, up from 3.10% in the comparable 2003 period, and credit quality remained strong. Low cost deposits continued to grow, as outlined later in this release. Ryan Beck & Co. experienced good results, reporting a 42% increase in business segment income from continuing operations over the equivalent quarter of 2003, although its quarter was down from its all-time high in the second quarter, 2004.

Additional accomplishments and highlights include:

BankAtlantic:

     “Our groundbreaking ‘Florida’s Most Convenient Bank’ initiatives continue to contribute strong growth in new customer generation, further validating our belief that customers desire the unsurpassed convenience BankAtlantic delivers. Since January 2002, BankAtlantic has opened approximately 370,000 new checking and savings accounts, including 38,600 in the third quarter of 2004.

     “As shown in the table below, balances in low cost deposits increased 27% on a ‘same branch basis’ over the third quarter of 2003, to a total of $1.6 billion at quarter-end. At December 31, 2001, immediately preceding the initiation of the ‘Florida’s Most Convenient Bank’ program, BankAtlantic had $602 million in low cost deposits. Non-interest bearing demand deposits now constitute 24% of deposit funding, up from 20% a year ago, and 13% before initiation of the program.

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The following table presents comparative data for new accounts:

Total Bank
New Account Openings

Annual, Year-over-Year

	2002		2003		Change
Checking (DDA/NOW)		76,614		98,281		+28	%
Savings		22,488		46,207		+105	%
Total		99,102		144,488		+46	%

Quarterly, Year-over-Year

	3Q'03		3Q'04		Change
Checking (DDA/NOW)		25,872		25,361		-2	%
Savings		11,651		13,236		+14	%
Total		37,523		38,597		+3	%

Quarterly, Year-to-Date

	Y-T-D		Y-T-D
	3Q'03		3Q'04		Change
Checking (DDA/NOW)		75,331		83,225		+10	%
Savings		34,844		42,992		+23	%
Total		110,175		126,217		+15	%

Total Bank
Period-end Balances

Annual, Year-over-Year
(In Millions)

	2002		2003		Change
Checking (DDA/NOW)	$	862.7	$	1,179.2		+36.7	%
Savings	$	163.6	$	209.0		+27.7	%
Total	$	1,026.3	$	1,388.2		+35.3	%

Quarterly, Year-over-Year
(In Millions)

	3Q'03		3Q'04		Change
Checking (DDA/NOW)	$	1,075.5	$	1,372.8		+27.6	%
Savings	$	202.4	$	252.4		+24.7	%
Total	$	1,277.9	$	1,625.2		+27.2	%

* To view comparative new account and balance graphs, please access www.BankAtlanticBancorp.com, click on the “Press Room” navigation link, then click the “Charts and Graphs” link.

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     “The net interest margin at BankAtlantic improved to 3.78%, up from 3.10% in the comparable quarter of 2003. Our continued improvement in net interest margin reflects the growth in our low cost deposits, the restructuring of high cost FHLB advances in prior periods, and higher yields on interest sensitive assets resulting from the recent increases in interest rates. We believe BankAtlantic may realize further margin improvement in a rising interest rate environment. However, a shift in the slope of the yield curve could temporarily moderate or offset that benefit.

     “BankAtlantic’s credit quality continued to improve, with net recoveries in the period of $324,000 or 0.03% of average loans. On a year-to-date basis, the Bank has experienced net recoveries of $4.3 million or 0.15% of average loans. Provision for loan loss expense for the quarter was $1.7 million, vs. a negative provision of $2.0 million in the quarter ended June 30. On a year-to-date basis as of September 30, the provision expense was a benefit of $1.1 million, primarily the result of a $2.0 million recovery associated with a loan charged off in 2002. The ratio of non-performing loans to total loans declined from 0.33% at June 30 to 0.27% at September 30 and the ratio of non-performing assets to total assets decreased from 0.36% to 0.30%. The Allowance for Loan and Lease Losses (‘ALLL’) increased from $46.7 million (1.20% of period ending loans) at June 30 to $48.8 million (1.17% of period ending loans) at September 30. However, the coverage of the ALLL to non-performing loans increased from 368% to 430% and the coverage of ALLL to non-performing assets increased from 320% to 379%.

     “Small business and consumer loan demand continues to be robust. In the third quarter, average consumer loans grew 37%, and average small business loans grew 18% vs. the comparable 2003 period. Year-to date 2004 average consumer loans grew 32%, and small business loans grew 13%, vs. the comparable nine-month period of 2003. Commercial real estate lending grew 5% year-to-date.

     “On September 30th, BankAtlantic announced plans to expand the number of branches with extended branch lobby hours through midnight in selected branches. BankAtlantic began its ‘midnight hours’ pilot program in June of this year at its Kendale Lakes branch in Miami-Dade County, where we are now open from 7:30 a.m. through midnight seven days a week. The pilot program has been well received and we are now expanding our ‘midnight hours’ offering to seven additional branches in several counties beginning in January 2005.

     “During the third quarter, we spent approximately $2 million (or approximately $0.02 per share, after tax) in connection with our efforts to fully comply with the USA Patriot Act, Anti-Money Laundering laws and the Bank Secrecy Act, which have imposed far-reaching and substantial requirements on financial institutions. We expect these expenses, which were primarily paid to outside professionals, to continue at approximately this level during the fourth quarter. Although we have added significant staff in the compliance area that will be an on-going expense, much of the increased level of expenditures for compliance in the third and fourth quarters resulted from the identification of deficiencies in the past, requiring a thorough review of previous compliance under these laws. We are cooperating with federal agencies in connection with the past deficiencies. We cannot provide assurance that monetary penalties will not be imposed.

Ryan Beck & Co.:

     “Ryan Beck & Co. delivered solid results for the third quarter of 2004. Income from continuing operations in the quarter grew 42% to $4.1 million, up from $2.9 million in the 2003 quarter. The pre-tax margin increased to 12.9%, up from 8.3% in the third quarter, 2003. Investment banking revenue grew 82% to $13.8 million, up from $7.6 million in 2003. Ryan Beck’s Financial Institutions Group announced or completed eight transactions, including six merger and acquisition transactions as well as two capital financing transactions in the quarter. Year-to-date, investment banking revenue rose 118% to $44.5 million, up from $20.4 million in 2003. Total operating revenue for the nine months grew 15% to $187

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million, up from $162 million in 2003. Income from continuing operations for the nine months grew 189% to $16.2 million, up from $5.6 million in 2003. Year-to-date, the return on equity improved to 24.3%, vs. 12.3% in 2003.

     “This quarter was also one with significant achievements for Ryan Beck & Co. Ryan Beck’s financial institutions investment banking group was ranked the number one advisor in conversion offerings by gross proceeds, and the number four M&A advisor by number of deals (source: SNL Securities).

     “During the quarter, Ryan Beck launched a new, proprietary unit investment trust, the Ryan Beck Select Balanced Income Portfolio, 2004 Series. This trust invests in a diversified portfolio of 15-20 separately managed, taxable closed-end funds. At September 30, 2004, total deposits in the trust amounted to $42 million.

     “Ryan Beck also launched a new advertising campaign designed to raise brand awareness and to reflect the firm’s straightforward, no-nonsense approach to investing. Highlighted by rail platform billboards and television spots, the campaign focused in key markets in New Jersey and New York.

BankAtlantic Bancorp:

     “On July 7, 2004, BankAtlantic Bancorp announced it had been added to Standard & Poor’s (S&P) SmallCap 600 Index. In addition, BankAtlantic Bancorp is also listed in the S&P 1500 Supercomposite Index and the New York Stock Exchange Composite Index.

Financial Highlights:
Third Quarter, 2004 Compared to Third Quarter, 2003

BankAtlantic Bancorp — consolidated (adjusted for Levitt Corporation spin-off):

• Income from continuing operations of $14.7 million vs. $10.1 million, an increase of 46%.

• Diluted earnings per share from continuing operations of $0.23 vs. $0.16, an increase of 44%.

• Return from continuing operations on tangible equity was 16.18% vs. 9.77%.

• Book value per share rose to $7.67.

BankAtlantic:

• Business segment net income of $13.6 million vs. $9.9 million, an increase of 37%.

• Return on average tangible assets was 1.07% vs. 0.81%.

• Return on tangible equity was 12.79% vs. 9.92%.

• Non-interest income was $22.3 million vs. $17.1 million, an increase of 30%.

• Non-interest expense grew to $45.5 million vs. $39.2 million, an increase of 16%.

Ryan Beck & Co.:

• Business segment net income from continuing operations increased to $4.1 million vs. $2.9 million, an increase of 41%.

• Return on equity from continuing operations was 18.44% vs. 15.75%.

• Total operating revenues increased to $55.5 million vs. $53.4 million, an increase of 4%.

• Principal transactions were $19.4 million vs. $21.1 million.

• Investment banking revenue increased to $13.8 million vs. $7.6 million, an increase of 82%.

• Commission income was $18.6 million vs. $21.3 million.

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Year-To-Date 2004 Compared To The Corresponding 2003 Period

BankAtlantic Bancorp — consolidated (adjusted for Levitt Corporation spin-off):

• Income from continuing operations was $53.5 million vs. $30.8 million. Excluding the effect of a litigation settlement and costs associated with the early redemption of debt, operating net income would have been $46.3 million vs. $33.2 million, an increase of 39%.

• Diluted earnings per share from continuing operations were $0.84 vs. $0.50, an increase of 68%. The effect of the non-recurring items was $0.11 in the current period and $(0.04) last year.

• Return from continuing operations on average tangible equity was 20.63% vs. 10.31%. Excluding the non-recurring items, the return on average tangible equity would have been 17.87% vs. 15.12%.

BankAtlantic:

• Business segment net income of $31.7 million vs. $34.3 million. The 2004 period includes a $7.6 million after-tax expense related to the prepayment of “high cost” FHLB advances vs. $1.3 million in 2003. Excluding these prepayment expenses, segment income would have been $39.3 million.

• Return on average tangible assets was 0.89% vs. 0.91%. Excluding the prepayment expenses, the return on tangible assets would have been 1.11% for the current period.

• Return on tangible equity was 10.19% vs. 11.63%. Excluding the prepayment expenses, the return on tangible equity was 12.65% for the current period.

• Non-interest income was $62.7 million vs. $53.8 million, an increase of 17%.

• Non-interest expense grew to $142.0 million vs. $116.1 million. Included in the current period is an $11.7 million expense associated with the prepayment of FHLB Advances vs. $2.0 million in 2003. Excluding the prepayment charges, expenses increased 14%.

Ryan Beck & Co.:

• Business segment net income from continuing operations increased to $16.2 million vs. $5.6 million.

• Return on equity from continuing operations was 24.35% vs. 10.23%.

• Total operating revenues increased to $187.3 million vs. $162.1 million, an increase of 16%.

— — — — — — — — — — —

BankAtlantic Bancorp BankAtlantic Bancorp will host an investor and media teleconference call and webcast on Thursday, October 21, 2004, at 11:00 a.m. Eastern Time.

Teleconference Call Information:

To access the teleconference call in the U.S. and Canada, the toll free number to call is 1-800-968-8156. International calls may be placed to 706-634-5752. Domestic and international callers may reference PIN number 1329745.

A replay of the conference call will be available beginning two hours after the call’s completion through 5:00 p.m. Eastern Time, Friday, November 19, 2004. To access the replay option in the U.S. and Canada, the toll free number to call is 1-800-642-1687. International calls for the replay may be placed at 706-645-9291. The replay digital PIN number for both domestic and international calls is 1329745.

Webcast Information:

Alternatively, individuals may listen to the live and/or archived webcast of the teleconference call. To listen to the live and/or archived webcast of the teleconference call, visit www.BankAtlanticBancorp.com, access the “Investor Relations” section and click on the “Webcast” navigation link. The archive of the teleconference call will be available through 5:00 p.m. Eastern Time, Friday, November 19, 2004.

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BankAtlantic Bancorp’s Third Quarter, 2004 earnings results press release and financial summary, as well as the Supplemental Financials (a detailed summary of significant financial events and extensive business segment financial data), are available on its website at: www.BankAtlanticBancorp.com.

• To view the press release and financial summary, access the “Investor Relations” section and click on the “Quarterly Financials” navigation link.

• To view the Supplemental Financials, access the “Investor Relations” section and click on the “Supplemental Financials” navigation link.

Copies of BankAtlantic Bancorp’s Third Quarter, 2004 earnings results press release and financial summary, and the Supplemental Financials are also available upon request via fax, email, or postal service mail. To request a copy, contact BankAtlantic Bancorp’s Investor Relations department using the contact information listed below.

About BankAtlantic Bancorp:

BankAtlantic Bancorp (NYSE: BBX) is a diversified financial services holding company and the parent company of BankAtlantic and Ryan Beck & Co. Through these subsidiaries, BankAtlantic Bancorp provides a full line of products and services encompassing consumer and commercial banking, brokerage and investment banking.

About BankAtlantic:

BankAtlantic, “Florida’s Most Convenient Bank,” is one of the largest financial institutions headquartered in Florida and provides a comprehensive offering of banking services and products via its broad network of community branches throughout Florida and its online banking division — BankAtlantic.com. BankAtlantic has 74 branch locations and operates more than 200 conveniently located ATMs. BankAtlantic is open 7 days a week and offers holiday hours, extended weekday hours including a Miami-Dade branch open until midnight, free online banking, Totally Free Change Exchange coin counters, 24/7 call center service and free retail and business checking with a free gift.

About Ryan Beck & Co.:

Ryan Beck & Co. is a full-service broker dealer engaging in underwriting, market making, distribution, and trading of equity and debt securities. The firm also provides money management services, general securities brokerage, including financial planning for the individual investor, and consulting and financial advisory services to financial institutions and middle market companies. Ryan Beck & Co. also provides independent research in the financial institutions, healthcare, technology, and consumer product industries. Ryan Beck & Co. has approximately 500 financial consultants located in 33 offices nationwide.

For further information, please visit our websites:

www.BankAtlanticBancorp.com
www.BankAtlantic.com
www.RyanBeck.com

* To receive future BankAtlantic Bancorp news releases or announcements directly via Email, please click on the Email Broadcast Sign Up button on www.BankAtlanticBancorp.com

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BankAtlantic Bancorp Contact Info:
Investor Relations:
Leo Hinkley, Senior Vice President
Phone: (954) 760-5317, Fax: (954) 760-5415
Email: InvestorRelations@BankAtlanticBancorp.com.
Mailing Address: BankAtlantic Bancorp, Investor Relations, 1750 East Sunrise Blvd.,
Fort Lauderdale, FL 33304

Investor & Corporate Communications:
Adrienne Zvi, Investor and Corp. Communications Specialist
Phone: (954) 760-5241, Fax: (954) 760-5415
Email: CorpComm@BankAtlanticBancorp.com

BankAtlantic, “Florida’s Most Convenient Bank,” Contact Info:
Public Relations:
Hattie Harvey, Vice President
Telephone: (954) 760-5383, Fax: (954) 760-5388
Email: hharvey@BankAtlantic.com.

Public Relations for BankAtlantic:
Boardroom Communications
Caren Berg
Phone: (954) 370-8999, Fax: (954) 370-8892
Email: caren@boardroompr.com

# # #

Except for historical information contained herein, the matters discussed in this press release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), that involve substantial risks and uncertainties. When used in this press release, the words “anticipate,” “believe,” “estimate,” “may,” “intend,” “expect” and similar expressions identify certain of these forward-looking statements. Actual results, performance, or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of BankAtlantic Bancorp, Inc. (“the Company”) and are subject to a number of risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company’s control. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, products and services; credit risks and loan losses, and the related sufficiency of the allowance for loan losses; changes in interest rates and the effects of, and changes in, trade, monetary and fiscal policies and laws; adverse conditions in the stock market, the public debt market and other capital markets and the impact of such conditions on our activities and the value of our assets; BankAtlantic’s seven-day banking initiative, extended midnight branch banking hours initiative, and other growth initiatives not producing results consistent with historic growth rates or results which would justify their costs; as well as the impact of regulatory or accounting issues including the impact of and compliance with Anti-Money Laundering and Bank Secrecy Act laws. Further, this press

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release contains forward-looking statements with respect to Ryan Beck & Co., which are subject to a number of risks and uncertainties including but not limited to the risks and uncertainties associated with its operations, products and services; changes in economic or regulatory policies; the volatility of the stock market and fixed income markets; announced or anticipated transactions, including mergers and acquisitions, or capital financing transactions not being completed or producing results which do not justify their costs; the success or profitability of Ryan Beck’s newly launched products; the effectiveness of Ryan Beck’s advertising and brand awareness campaigns; and additional risks and uncertainties that are subject to change and outside of Ryan Beck’s control. In addition to the risks and factors identified above, reference is also made to other risks and factors detailed in reports filed by the Company with the Securities and Exchange Commission. The Company cautions that the foregoing factors are not exclusive.

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BankAtlantic Bancorp, Inc. and Subsidiaries
Summary of Selected Financial Data (unaudited)

	For The Three Months Ended															For the Nine Months Ended
(in thousands except share data and ratios)	9/30/2004			6/30/2004			3/31/2004			12/31/2003			9/30/2003			9/30/2004			9/30/2003
Current Earnings:
Net income (GAAP basis)	$	14,691			18,260			20,524			17,642			18,508			53,475			50,075
Income from continuing operations (GAAP basis (note 1)	$	14,691			18,260			20,524			7,826			10,144			53,475			30,771
Operating net income (note 2)	$	14,691			18,260			13,371			13,582			11,470			46,322			33,168
Average Common Shares Outstanding:
Basic		59,687,354			59,343,940			59,257,270			58,891,273			58,646,254			59,430,463			58,381,370
Diluted		63,109,757			62,807,683			63,193,034			61,852,217			61,343,946			63,026,141			62,475,859
Key Performance Ratios (GAAP basis):
Basic earnings per share	$	0.25			0.31			0.35			0.30			0.32			0.90			0.86
Diluted earnings per share *	$	0.23			0.29			0.32			0.28			0.30			0.84			0.80
Basic earnings per share from continuing operations	$	0.25			0.31			0.35			0.13			0.17			0.90			0.53
Diluted earnings per share from continuing operations*	$	0.23			0.29			0.32			0.12			0.16			0.84			0.50
Return on average tangible assets from continuing operations (note 3)		1.09	%		1.48			1.75			0.61			0.74			1.42			0.74
Return on average tangible equity from continuing operations (note 3)		16.18	%		21.18			24.97			7.23			9.77			20.63			10.31
Key Performance Ratios (Operating basis):
Basic earnings per share	$	0.25			0.31			0.23			0.23			0.20			0.78			0.57
Diluted earnings per share *	$	0.23			0.29			0.21			0.22			0.19			0.73			0.54
Return on average tangible assets (note 3,4)		1.09	%		1.48			1.14			1.14			0.89			1.23			0.85
Return on average tangible equity (note 3,4)		16.18	%		21.18			16.27			17.20			15.23			17.87			15.12
* Diluted earnings per share calculation adds back:
Interest expense net of tax on convertible securities, if dilutive	$	—			—			—			—			—			—			569
Subsidiaries stock options, if dilutive	$	(152	)		(273	)		(192	)		(104	)		(83	)		(617	)		(157	)
Average Balance Sheet Data:
Assets	$	5,477,966			5,022,805			4,791,753			5,221,228			5,579,697			5,098,906			5,623,497
Tangible assets (note 3)	$	5,390,375			4,934,771			4,703,305			5,132,341			5,490,370			5,010,883			5,532,827
Tangible assets excluding Levitt (note 3)	$	5,390,375			4,934,771			4,703,305			4,751,321			5,141,183			5,010,883			5,211,623
Loans	$	4,031,782			3,777,452			3,730,782			3,698,377			3,942,124			3,847,348			3,854,041
Investments	$	1,017,614			818,812			668,269			773,271			901,283			835,571			1,039,475
Deposits and escrows	$	3,283,134			3,205,328			3,064,750			3,032,170			2,951,536			3,184,764			2,909,774
Stockholders’ equity	$	451,824			435,852			423,482			521,393			503,274			437,115			482,764
Tangible stockholders’ equity (note 3)	$	363,168			344,832			328,714			433,103			415,294			345,644			397,986
Tangible stockholders’ equity excluding Levitt (note 3)	$	363,168			344,832			328,714			315,808			301,310			345,644			292,490

Notes:

(1)	GAAP basis income from continuing operations is defined as income from continuing operations in accordance with generally accepted accounting principles.
(2)	Operating net income is defined as GAAP income from continuing operations adjusted for the litigation settlement and costs associated with debt redemptions, net of tax.
(3)	Average tangible assets is defined as average total assets less average goodwill and core deposit intangibles. Average tangible equity is defined as average total stockholders’ equity less average goodwill, core deposit intangibles and other comprehensive income.
(4)	Return on average tangible assets and equity are calculated excluding Levitt Corporation’s assets and equity for comparability.
**	Operating net income is not prepared in accordance with GAAP and this non-GAAP financial measure should not be construed as being superior to GAAP.

BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Statements of Financial Condition (unaudited)

(In thousands, except share data)	9/30/2004			12/31/2003			9/30/2003
ASSETS
Cash and due from depository institutions	$	119,606			119,882			139,096
Securities purchased under resell agreements and federal funds		2,241			—			4,212
Securities available for sale (at fair value)		703,418			358,511			354,101
Securities owned (at fair value)		111,944			124,565			87,837
Investment securities and tax certificates (approximate fair value: $159,944, $192,706 and $159,762)		159,944			192,706			155,550
Loans receivable, net of allowance for loan losses of $48,778, $45,595 and $48,202		4,176,571			3,686,153			3,739,638
Federal Home Loan Bank stock, at cost which approximates fair value		62,425			40,325			56,987
Accrued interest receivable		30,126			27,866			29,109
Real estate held for development and sale		25,521			21,803			256,920
Investments and advances in unconsolidated subsidiaries		7,910			7,910			102,590
Office properties and equipment, net		115,809			93,577			93,334
Deferred tax asset, net		18,413			22,999			33,684
Goodwill		76,674			76,674			76,674
Core deposit intangible asset		10,695			11,985			12,424
Due from clearing agent		14,478			—			—
Other assets		42,837			46,593			54,904
Total assets	$	5,678,612			4,831,549			5,197,060
LIABILITIES AND STOCKHOLDERS’ EQUITY
Liabilities:
Deposits
Interest free checking	$	781,916			645,036			594,685
NOW accounts		590,051			533,888			480,837
Savings accounts		252,408			208,966			202,355
Insured money fund savings		893,315			865,590			878,281
Certificate accounts		724,601			804,662			826,045
Total deposits		3,242,291			3,058,142			2,982,203
Advances from FHLB		1,249,112			782,205			956,820
Securities sold under agreements to repurchase		200,550			138,809			143,230
Federal funds purchased		86,300			—			—
Subordinated debentures, notes and bonds payable		36,780			36,595			146,696
Junior subordinated debentures		263,266			263,266			263,218
Securities sold not yet purchased		31,760			37,813			15,089
Due to clearing agent		—			8,583			6,086
Other liabilities		109,064			92,684			170,049
Total liabilities		5,219,123			4,418,097			4,683,391
Stockholders’ equity:
Preferred stock, $.01 par value, 10,000,000 shares authorized; none issued and outstanding		—			—			—
Class A common stock, $.01 par value, authorized 80,000,000 shares; issued and outstanding 54,997,960, 54,396,824 and 54,064,076 shares		550			544			541
Class B common stock, $.01 par value, authorized 45,000,000 shares; issued and outstanding 4,876,124, 4,876,124 and 4,876,124 shares		49			49			49
Additional paid-in capital		258,980			259,770			256,782
Unearned compensation — restricted stock grants		(1,046	)		(1,178	)		(1,223	)
Retained earnings		195,765			148,311			258,197
Total stockholders’ equity before accumulated other comprehensive income		454,298			407,496			514,346
Accumulated other comprehensive income (loss)		5,191			5,956			(677	)
Total stockholders’ equity		459,489			413,452			513,669
Total liabilities and stockholders’ equity	$	5,678,612			4,831,549			5,197,060

BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Statements of Operations (unaudited)

	For The Three Months Ended															For the Nine Months Ended
(in thousands)	9/30/2004			6/30/2004			3/31/2004			12/31/2003			9/30/2003			9/30/2004			9/30/2003
INTEREST INCOME:
Interest and fees on loans and leases	$	52,661			48,034			48,936			49,647			50,668			149,631			157,799
Interest on securities available for sale		4,974			4,584			3,620			3,372			4,598			13,178			20,941
Interest on tax exempt securities		1,329			610			33			—			—			1,972			—
Interest and dividends on investment and
securities owned		7,409			6,879			7,040			7,833			7,545			21,328			22,257
Total interest income		66,373			60,107			59,629			60,852			62,811			186,109			200,997
INTEREST EXPENSE:
Interest on deposits		7,060			6,788			6,973			7,504			7,758			20,821			28,685
Interest on advances from FHLB		9,364			7,769			9,098			11,667			15,025			26,231			45,632
Interest on short-term borrowed funds		953			632			250			289			558			1,835			2,625
Interest on long-term debt		5,034			4,912			4,827			5,399			4,257			14,773			12,609
Capitalized interest on real estate developments		(355	)		(346	)		(307	)		(312	)		(286	)		(1,008	)		(881	)
Total interest expense		22,056			19,755			20,841			24,547			27,312			62,652			88,670
NET INTEREST INCOME		44,317			40,352			38,788			36,305			35,499			123,457			112,327
Provision (recovery) for loan losses		1,717			(1,963	)		(859	)		(1,811	)		(1,076	)		(1,105	)		1,264
NET INTEREST INCOME AFTER PROVISION		42,600			42,315			39,647			38,116			36,575			124,562			111,063
NON-INTEREST INCOME:
Service charges on deposits		13,493			13,028			11,277			11,481			10,925			37,798			29,088
Other service charges and fees		5,819			6,431			4,637			4,704			4,625			16,887			14,614
Broker/dealer revenue and other commissions		51,792			61,925			62,445			55,566			49,992			176,162			152,222
Securities activities, net		2			3			72			(1,582	)		(336	)		77			29
Litigation settlement		—			—			22,840			—			—			22,840			—
Gain on sales of loans		86			116			129			108			10			331			14
Income from real estate operations		900			683			305			354			66			1,888			5,288
Income from unconsolidated subsidiaries		123			118			118			119			106			359			306
Other		2,959			3,041			2,542			2,492			2,405			8,542			6,911
Total non-interest income		75,174			85,345			104,365			73,242			67,793			264,884			208,472
NON-INTEREST EXPENSES:
Employee compensation and benefits		58,992			63,538			67,180			56,795			55,318			189,710			170,145
Occupancy and equipment		11,782			11,236			10,375			10,522			10,161			33,393			29,514
Advertising and promotion		4,757			5,630			4,694			3,110			2,988			15,081			9,614
Professional fees		4,356			2,610			2,737			5,243			4,238			9,703			11,068
Communications		3,182			2,916			3,128			2,917			2,822			9,226			10,867
Floor broker and clearing fees		2,143			2,438			2,802			2,506			2,328			7,383			6,722
Cost associated with debt redemption		—			—			11,741			8,855			2,040			11,741			3,688
Other		9,405			9,534			9,357			7,391			8,588			28,296			29,915
Total non-interest expenses		94,617			97,902			112,014			97,339			88,483			304,533			271,533
Income from continuing operations before income taxes		23,157			29,758			31,998			14,019			15,885			84,913			48,002
Provision for income taxes		8,466			11,498			11,474			6,193			5,741			31,438			17,231
Income from continuing operations		14,691			18,260			20,524			7,826			10,144			53,475			30,771
Discontinued operations, net of tax *		—			—			—			9,816			8,364			—			19,304
GAAP net income (note 1)	$	14,691			18,260			20,524			17,642			18,508			53,475			50,075
Reconciliation of Operating and GAAP Income from continuing operations
GAAP income from continuing operations	$	14,691			18,260			20,524			7,826			10,144			53,475			30,771
Costs associated with debt redemption		—			—			7,632			5,756			1,326			7,632			2,397
Litigation settlement		—			—			(14,785	)		—			—			(14,785	)		—
Operating net income (note 2)	$	14,691			18,260			13,371			13,582			11,470			46,322			33,168

* Primarily Levitt Corporation

BankAtlantic Bancorp, Inc. and Subsidiaries
Consolidated Average Balance Sheet (unaudited)

	For the three months ended
(in thousands except percentages and per share data)	9/30/2004		6/30/2004		3/31/2004		12/31/2003			9/30/2003
Gross loans:
Residential real estate	$	1,583,353		1,386,482		1,326,061		1,403,686			1,714,774
Commercial real estate		1,670,928		1,650,763		1,701,012		1,660,004			1,621,407
Consumer		438,205		403,824		374,222		341,246			319,269
Lease financing		9,738		11,526		13,642		16,293			18,935
Commercial business		142,022		142,686		141,955		111,705			108,714
Small business		187,536		182,171		173,890		165,443			159,025
Total Loans		4,031,782		3,777,452		3,730,782		3,698,377			3,942,124
Investments — taxable		845,286		745,854		664,907		773,271			901,283
Investments — tax exempt		172,328		72,958		3,362		—			—
Total interest earning assets		5,049,396		4,596,264		4,399,051		4,471,648			4,843,407
Goodwill and core deposit intangibles		87,591		88,034		88,448		88,887			89,327
Other non-interest earning assets		340,979		338,507		304,254		660,693			646,963
Total assets	$	5,477,966		5,022,805		4,791,753		5,221,228			5,579,697
Tangible assets (note 3)	$	5,390,375		4,934,771		4,703,305		5,132,341			5,490,370
Deposits:
Savings	$	250,286		242,506		220,005		205,564			197,778
NOW		590,787		586,259		543,619		507,876			473,741
Money funds		931,596		912,065		866,767		879,095			874,789
Certificates of deposit		718,826		709,523		769,949		815,454			837,221
Total interest bearing deposits		2,491,495		2,450,353		2,400,340		2,407,989			2,383,529
Short-term borrowed funds		283,011		269,423		128,130		131,095			228,427
FHLB advances		1,036,651		696,661		760,973		937,888			1,249,074
Long-term debt		299,596		299,931		299,878		413,154			407,538
Total interest bearing liabilities		4,110,753		3,716,368		3,589,321		3,890,126			4,268,568
Non-interest bearing deposits		791,639		754,975		664,410		624,181			568,007
Non-interest bearing other liabilities		123,750		115,610		114,540		185,528			239,848
Total liabilities		5,026,142		4,586,953		4,368,271		4,699,835			5,076,423
Stockholders’ equity		451,824		435,852		423,482		521,393			503,274
Total liabilities and stockholders’ equity	$	5,477,966		5,022,805		4,791,753		5,221,228			5,579,697
Other comprehensive (loss) income in stockholders’ equity	$	1,065		2,986		6,320		(597	)		(1,347	)
Tangible stockholders’ equity (note 3)	$	363,168		344,832		328,714		433,103			415,294
Period End
Total loans, net	$	4,176,571		3,899,099		3,674,173		3,686,153			3,739,638
Total assets		5,678,612		5,428,378		4,750,483		4,831,549			5,197,060
Total stockholders’ equity		459,489		440,334		429,577		413,452			513,669
Common shares outstanding		59,874,084		59,779,407		59,207,954		59,272,948			58,940,200
Cash dividends		2,095,600		1,972,775		1,953,863		1,956,008			1,945,268
Common stock cash dividends per share		0.035		0.033		0.033		0.033			0.033
Closing stock price (1)		18.32		18.45		16.96		14.02			10.52
High stock price for the quarter (1)		19.25		18.53		19.00		14.58			11.64
Low stock price for the quarter (1)		17.40		14.37		13.70		10.44			8.68
Book value per share — historical		7.67		7.37		7.26		6.98			8.72

(1) adjusted to reflect the Levitt spin-off.

BankAtlantic Bancorp, Inc. and Subsidiaries
Condensed Statements of Operations (Unaudited)

	For the Three Months Ended														For the Nine Months Ended
(In thousands)	9/30/2004		6/30/2004			3/31/2004			12/31/2003			9/30/2003			9/30/2004			9/30/2003
Net interest income	$	45,380		41,344			39,795			37,326			36,559			126,519			116,772
Provision (recovery) for loan losses		1,717		(1,963	)		(859	)		(1,811	)		(1,076	)		(1,105	)		1,264
Net Interest income after provision for loan losses		43,663		43,307			40,654			39,137			37,635			127,624			115,508
Non-interest income
Service charges on deposits		13,493		13,028			11,277			11,481			10,925			37,798			29,088
Other service charges and fees		5,819		6,431			4,637			4,704			4,625			16,887			14,614
Securities losses		—		—			(3	)		(1,582	)		(336	)		(3	)		(376	)
Gain on sales of loans		86		116			129			108			10			331			14
Income from real estate operations		900		683			305			354			66			1,888			5,288
Other non-interest income		2,034		1,911			1,875			1,858			1,856			5,820			5,125
Total non-interest income		22,332		22,169			18,220			16,923			17,146			62,721			53,753
Non-interest expense
Employee compensation and benefits		23,128		22,498			22,392			20,171			19,387			68,018			59,321
Occupancy and equipment		8,100		7,809			7,146			7,092			6,874			23,055			20,237
Advertising		3,301		4,161			3,463			2,517			2,444			10,925			6,917
Professional fees		3,312		807			1,258			1,129			1,139			5,377			3,260
Cost associated with debt redemption		—		—			11,741			8,855			2,040			11,741			2,040
Other		7,689		7,658			7,495			5,702			7,273			22,842			24,367
Total non-interest expense		45,530		42,933			53,495			45,466			39,157			141,958			116,142
Income from bank operations business segment before income taxes		20,465		22,543			5,379			10,594			15,624			48,387			53,119
Provision for income taxes		6,866		8,134			1,659			2,780			5,675			16,659			18,809
Net income from bank operations business segment	$	13,599		14,409			3,720			7,814			9,949			31,728			34,310
Reconciliation of Operating and business segment net income
Business segment income	$	13,599		14,409			3,720			7,814			9,949			31,728			34,310
Cost associated with debt redemption		—		—			7,632			5,756			1,326			7,632			1,326
Operating net income	$	13,599		14,409			11,352			13,570			11,275			39,360			35,636

Bank Operations Business Segment
Condensed Statements of Condition and Statistics (Unaudited)

	For the Three Months Ended											For the Nine Months Ended
(in thousands except percentages and per share data)	9/30/2004			6/30/2004		3/31/2004		12/31/2003		9/30/2003		9/30/2004		9/30/2003
Statistics:
Average total interest earning assets	$	4,843,628			4,422,181		4,220,559		4,381,497		4,706,976		4,496,733		4,757,626
Average total interest bearing liabilities	$	3,851,388			3,483,903		3,347,890		3,554,854		3,924,292		3,562,120		4,026,880
GAAP efficiency ratio		67.24	%		67.60		92.21		83.81		72.91		75.01		68.11
GAAP return on average assets		1.05	%		1.21		0.33		0.66		0.79		0.88		0.90
GAAP return on average equity		10.76	%		11.72		3.00		6.42		8.25		8.50		9.71
Operating efficiency ratio (1)		67.24	%		67.60		71.97		67.49		69.11		68.81		66.91
Operating return on average assets (1)		1.05	%		1.21		1.00		1.15		0.90		1.09		0.93
Operating return on average equity (1)		10.76	%		11.72		9.15		11.15		9.35		10.54		10.09
Net interest margin		3.78	%		3.73		3.73		3.39		3.10		3.75		3.24
Yield on earning assets		5.25	%		5.16		5.34		5.20		5.11		5.25		5.45
Cost of interest-bearing liabilities		1.85	%		1.82		2.02		2.24		2.41		1.89		2.61
Interest spread		3.40	%		3.34		3.32		2.96		2.70		3.36		2.84

(1) Ratios have been adjusted to exclude costs associated with debt redemptions.

Condensed Statements of Financial Condition (Unaudited)

	As of
(In thousands)	9/30/2004		6/30/2004		3/31/2004		12/31/2003		9/30/2003
ASSETS
Loans receivable	$	4,132,133		3,852,549		3,621,787		3,630,682		3,767,935
Held to maturity securities		215,420		236,400		167,615		231,231		212,236
Available for sale securities		648,043		639,581		338,639		339,362		337,147
Goodwill		70,489		70,489		70,489		70,489		70,489
Core deposit intangible asset		10,695		11,121		11,546		11,985		12,424
Other assets		308,894		312,583		284,703		283,101		286,709
Total assets	$	5,385,674		5,122,723		4,494,779		4,566,850		4,686,940
LIABILITIES AND STOCKHOLDER’S EQUITY
Deposits
Interest free checking	$	782,677		787,945		748,533		645,325		594,685
NOW accounts		590,051		584,658		567,498		533,888		480,837
Savings accounts		252,408		251,218		233,832		208,966		202,354
Total low costs deposits		1,625,136		1,623,821		1,549,863		1,388,179		1,277,876
Insured money fund savings		893,315		906,865		870,447		865,590		878,281
Certificate accounts		724,601		719,545		723,256		804,662		826,045
Total deposits		3,243,052		3,250,231		3,143,566		3,058,431		2,982,202
Advances from Federal Home Loan Bank		1,249,112		883,727		591,466		782,205		956,820
Short term borrowings		293,562		401,459		191,469		161,597		167,983
Long term debt		36,680		36,295		36,582		35,334		36,077
Other liabilities		52,749		55,020		42,243		39,427		62,389
Total liabilities		4,875,155		4,626,732		4,005,326		4,076,994		4,205,471
Stockholder’s equity		510,519		495,991		489,453		489,856		481,469
Total liabilities and stockholder’s equity	$	5,385,674		5,122,723		4,494,779		4,566,850		4,686,940

Bank Operations Business Segment
Average Balance Sheet — Yield / Rate Analysis

	For the Three Months Ended
	September 30, 2004								September 30, 2003
	Average		Revenue/			Yield/			Average		Revenue/		Yield/
(in thousands)	Balance		Expense			Rate			Balance		Expense		Rate
Loans:
Residential real estate	$	1,583,353		18,636			4.71	%	$	1,714,774		18,186		4.24	%
Commercial real estate		1,662,978		23,737			5.71			1,666,209		24,011		5.76
Consumer		438,205		4,609			4.21			319,269		3,548		4.45
Lease financing		9,738		235			9.65			18,935		538		11.37
Commercial business		104,022		1,636			6.29			110,236		1,618		5.87
Small business		187,536		3,372			7.19			159,025		3,022		7.60
Total loans		3,985,832		52,225			5.24			3,988,448		50,923		5.11
Investments — tax exempt		144,126		1,948	(1)		5.41			—		—		—
Investments — taxable		713,670		9,439			5.29			718,528		9,211		5.13
Total interest earning assets		4,843,628		63,612			5.25	%		4,706,976		60,134		5.11	%
Goodwill and core deposit intangibles		81,406								83,143
Other non-interest earning assets		246,868								229,398
Total Assets	$	5,171,902							$	5,019,517
Deposits:
Savings	$	250,286		169			0.27	%	$	197,778		137		0.27	%
NOW		590,787		555			0.37			473,741		438		0.37
Money funds		931,596		2,283			0.97			874,789		1,935		0.88
Certificate accounts		718,826		4,053			2.24			837,221		5,248		2.49
Total deposits		2,491,495		7,060			1.13			2,383,529		7,758		1.29
Short-term borrowed funds		287,011		966			1.34			256,826		588		0.91
Advances from FHLB		1,036,651		9,364			3.59			1,249,074		15,025		4.77
Long-term debt		36,231		515			5.65			34,863		489		5.56
Total interest bearing liabilities		3,851,388		17,905			1.85			3,924,292		23,860		2.41
Non-interest bearing deposits		792,227								568,333
Non-interest bearing other liabilities		22,626								44,637
Total Liabilities		4,666,241								4,537,262
Stockholder’s equity		505,661								482,255
Total liabilities and stockholder’s equity	$	5,171,902							$	5,019,517
Net interest income/ net interest spread			$	45,707			3.40	%			$	36,274		2.70	%
Tax equivalent adjustment				(682	)							—
Capitalized interest from real estate operations				355								285
Net interest income (tax equivalent)				45,380								36,559
Margin
Interest income/interest earning assets							5.25	%						5.11	%
Interest expense/interest earning assets							1.47							2.01
Net interest margin (tax equivalent)							3.78	%						3.10	%

(1) The tax equivalent basis is computed using a 35% tax rate.

Bank Operations
Average Balance Sheet — Yield / Rate Analysis

	For the Nine Months Ended
	September 30, 2004								September 30, 2003
	Average		Revenue/			Yield/			Average		Revenue/		Yield/
(in thousands)	Balance		Expense			Rate			Balance		Expense		Rate
Loans:
Residential real estate	$	1,432,518		50,358			4.69	%	$	1,718,974		62,329		4.83	%
Commercial real estate		1,664,786		70,101			5.61			1,584,284		70,249		5.91
Consumer		405,537		12,577			4.14			307,644		10,535		4.57
Lease financing		11,628		933			10.70			23,830		2,020		11.30
Commercial business		102,260		4,725			6.16			105,806		4,564		5.75
Small business		181,222		9,679			7.12			160,589		8,955		7.44
Total loans		3,797,951		148,373			5.21			3,901,127		158,652		5.42
Investments — tax exempt		73,646		2,937	(1)		5.32			—		—		0
Investments — taxable		625,136		25,753			5.49			856,499		35,745		5.56
Total interest earning assets		4,496,733		177,063			5.25	%		4,757,626		194,397		5.45	%
Goodwill and core deposit intangibles		81,838								83,823
Other non-interest earning assets		246,235								242,537
Total Assets	$	4,824,806							$	5,083,986
Deposits:
Savings	$	237,646		473			0.27	%	$	185,432		721		0.52	%
NOW		573,617		1,581			0.37			451,333		1,540		0.46
Money funds		903,579		6,275			0.93			840,412		7,213		1.15
Certificate accounts		732,715		12,492			2.28			905,409		19,211		2.84
Total deposits		2,447,557		20,821			1.14			2,382,586		28,685		1.61
Short-term borrowed funds		246,218		1,970			1.07			326,400		2,762		1.13
Advances from FHLB		832,177		26,231			4.21			1,282,519		45,633		4.76
Long-term debt		36,168		1,502			5.55			35,375		1,428		5.40
Total interest bearing liabilities		3,562,120		50,524			1.89			4,026,880		78,508		2.61
Non-interest bearing deposits		737,738								527,334
Non-interest bearing other liabilities		27,063								58,885
Total Liabilities		4,326,921								4,613,099
Stockholder’s equity		497,885								470,887
Total liabilities and stockholder’s equity	$	4,824,806							$	5,083,986
Net interest income/net interest spread			$	126,539			3.36	%			$	115,889		2.84	%
Tax equivalent adjustment				(1,028	)							—
Capitalized interest from real estate operations				1,008								883
Net interest income				126,519								116,772
Margin
Interest income/interest earning assets							5.25	%						5.45	%
Interest expense/interest earning assets							1.50							2.21
Net interest margin							3.75	%						3.24	%

(1) The tax equivalent basis is computed using a 35% tax rate.

Bank Operations Business Segment
Allowance for Loan Loss and Credit Quality

	For the Three Months Ended															For the Nine Months Ended
(in thousands)	9/30/2004			6/30/2004			3/31/2004			12/31/2003			9/30/2003			9/30/2004			9/30/2003
Allowance for Loan Losses
Beginning balance	$	46,737			45,383			45,595			48,202			49,576			45,595			48,022
Charge-offs:
Residential real estate		(151	)		(124	)		(231	)		(320	)		(150	)		(506	)		(362	)
Commercial real estate		—			—			—			—			—			—			—
Commercial business		(429	)		(80	)		(344	)		(1,306	)		(1,798	)		(853	)		(4,787	)
Consumer		(174	)		(285	)		(248	)		(1,085	)		(260	)		(707	)		(1,155	)
Small business		(144	)		(35	)		(44	)		(321	)		(334	)		(223	)		(2,387	)
Syndication		—			—			—			—			—			—			—
Total charge-offs		(898	)		(524	)		(867	)		(3,032	)		(2,542	)		(2,289	)		(8,691	)
Recoveries:
Residential real estate		53			217			26			184			424			296			542
Commercial real estate		1			2,050			1			—			1			2,052			2
Commercial business		454			828			559			466			492			1,841			1,853
Consumer		167			240			338			538			343			745			1,221
Small business		378			429			392			482			748			1,199			2,156
Syndication		169			77			198			566			236			444			2,567
Total recoveries		1,222			3,841			1,514			2,236			2,244			6,577			8,341
Net (charge-offs) recoveries		324			3,317			647			(796	)		(298	)		4,288			(350	)
Provision (recovery) for loan losses		1,717			(1,963	)		(859	)		(1,811	)		(1,076	)		(1,105	)		1,264
Adjustments to acquired loan losses		—			—			—			—			—			—			(734	)
Ending allowance for loan losses	$	48,778			46,737			45,383			45,595			48,202			48,778			48,202
Annualized net charge-offs to average loans		(0.03	)%		(0.35	)		(0.07	)		0.09			0.03			(0.15	)		0.01

	As of
	9/30/2004			6/30/2004		3/31/2004		12/31/2003		9/30/2003
Credit Quality
Nonaccrual loans	$	11,352			12,711		11,724		10,803		12,041
Nonaccrual tax certificates		448			586		565		894		859
Real estate owned		1,059			1,321		1,667		2,422		8,904
Other repossessed assets		0			0		0		0		274
Total nonperforming assets	$	12,859			14,618		13,956		14,119		22,078
Loan loss allowance to non performing assets		379.33	%		319.72		325.19		322.93		218.33
Nonperforming assets to total loans and other assets		0.30	%		0.36		0.37		0.36		0.55
Allowance for loan losses to total loan		1.17	%		1.20		1.24		1.24		1.26

Ryan Beck & Co., Inc. Business Segment
Consolidated Statements of Operations and Statistics — Unaudited

	For the Three Months Ended											For the Nine Months Ended
(in thousands)	9/30/2004			6/30/2004		3/31/2004		12/31/2003		9/30/2003		9/30/2004		9/30/2003
Revenues
Principal transactions	$	19,393			21,654		24,443		25,288		21,093		65,490		70,235
Investment banking		13,835			18,026		12,631		7,318		7,642		44,492		20,410
Commissions		18,564			22,245		25,371		22,963		21,257		66,180		62,212
Interest, dividends and other		3,727			3,949		3,416		3,683		3,451		11,092		9,269
Total operating revenues		55,519			65,874		65,861		59,252		53,443		187,254		162,126
Operating expenses
Compensation, benefits		35,090			40,297		44,042		36,619		35,925		119,429		110,740
Professional fees		1,063			1,330		1,045		3,775		2,638		3,438		6,692
Communications		3,182			2,916		3,128		2,916		2,822		9,226		10,867
Occupancy and equipment		3,680			3,426		3,228		3,430		3,287		10,334		9,277
Floor broker and clearing fees		2,143			2,438		2,802		2,506		2,328		7,383		6,722
Interest and other		3,179			3,292		3,054		2,444		2,025		9,525		8,819
Total operating expenses		48,337			53,699		57,299		51,690		49,025		159,335		153,117
Income from Ryan Beck before income taxes		7,182			12,175		8,562		7,562		4,418		27,919		9,009
Provision for income taxes		3,082			5,161		3,434		3,559		1,522		11,677		3,365
Income from Ryan Beck’s continuing operations		4,100			7,014		5,128		4,003		2,896		16,242		5,644
Discontinued operations (GMS), net of tax		—			—		—		—		306		—		1,143
Net income from Ryan Beck business segment	$	4,100			7,014		5,128		4,003		3,202		16,242		6,787
Statistics:
GAAP return on equity		18.44	%		33.07		26.40		20.65		17.41		24.35		12.30
Continuing operations return on equity		18.44			33.07		26.40		20.65		15.75		24.35		10.23
Compensation as a percent of revenues		63.20			61.17		66.87		61.80		67.22		63.78		68.30
Commissions to total revenues		33.44			33.77		38.52		38.75		39.78		35.34		38.37
Principal transactions to total revenues		34.93			32.87		37.11		42.68		39.47		34.97		43.32
Investment banking revenue to total revenues		24.92			27.36		19.18		12.35		14.30		23.76		12.59

Condensed Statements of Financial Condition — Unaudited

	As of
(in thousands)	9/30/2004		6/30/2004		3/31/2004		12/31/2003		9/30/2003
ASSETS
Cash and cash equivalents	$	4,225		4,000		4,888		5,538		259
Securities		111,944		120,953		122,114		124,565		87,837
Other investments		—		—		—		—		4,212
Notes receivable — GMS		6,438		8,551		10,261		11,971		13,681
Property and equipment, net		7,748		6,762		4,749		3,713		3,599
Goodwill		6,184		6,184		6,184		6,184		6,184
Due from clearing agent		14,478		16,048		—		—		—
Other assets		24,441		25,809		28,051		26,703		27,149
Total assets	$	175,458		188,307		176,247		178,674		142,921
LIABILITIES AND STOCKHOLDER’S EQUITY
Liabilities:
Securities sold not yet purchased	$	31,760		51,321		34,250		37,813		15,089
Note payable		—		—		427		801		1,176
Due to clearing agent		—		—		18,328		8,583		6,087
Other liabilities		54,757		52,145		45,559		53,922		47,013
Total liabilities		86,517		103,466		98,564		101,119		69,365
Stockholder’s equity		88,941		84,841		77,683		77,555		73,556
Total liabilities and stockholder’s equity	$	175,458		188,307		176,247		178,674		142,921

Parent Company Business Segment Activities
Condensed Statements of Operations — Unaudited

	For the Three Months Ended															For the Nine Months Ended
(in thousands)	9/30/2004			6/30/2004			3/31/2004			12/31/2003			9/30/2003			9/30/2004			9/30/2003
Net interest (expense)	$	(3,683	)		(3,583	)		(3,592	)		(3,804	)		(3,676	)		(10,858	)		(10,818	)
Income from unconsolidated subsidiaries		123			118			118			119			106			359			306
Gains on sales of assets		2			3			75			—			—			80			405
Litigation settlement		—			—			22,840			—			—			22,840			—
Employee compensation and benefits		(774	)		(743	)		(747	)		—			—			(2,264	)		—
Cost associated with debt redemption		—			—			—			—			—			—			(1,648	)
Other income (expense)		(160	)		(755	)		(637	)		(455	)		(587	)		(1,552	)		(2,371	)
Income (loss) from parent company activities before income taxes		(4,492	)		(4,960	)		18,057			(4,140	)		(4,157	)		8,605			(14,126	)
Provision (Benefit) for income taxes		(1,483	)		(1,797	)		6,381			(148	)		(1,456	)		3,101			(4,943	)
Income (loss) from parent company activities from continuing operations	$	(3,009	)		(3,163	)		11,676			(3,992	)		(2,701	)		5,504			(9,183	)
Reconciliation of Operating and business segment income
Business segment income from continuing operations	$	(3,009	)		(3,163	)		11,676			(3,992	)		(2,701	)		5,504			(9,183	)
Litigation settlement		—			—			(14,785	)		—			—			(14,785	)		—
Cost associated with debt redemption		—			—			—			—			—			—			1,071
Operating loss (pretax)	$	(3,009	)		(3,163	)		(3,109	)		(3,992	)		(2,701	)		(9,281	)		(8,112	)

Condensed Statements of Financial Condition — Unaudited

	As of
(in thousands)	9/30/2004		6/30/2004		3/31/2004		12/31/2003		9/30/2003
ASSETS
Cash	$	10,643		10,850		48,841		22,765		16,551
Securities		62,324		61,812		21,826		20,949		17,254
Notes receivable from related parties		38,000		38,000		42,125		43,500		30,000
Investment in subsidiaries		599,462		580,834		567,139		567,411		679,253
Investment in unconsolidated subsidiaries		7,912		7,910		7,910		7,910		12,545
Other assets		7,937		7,154		7,821		16,953		24,050
Total assets	$	726,278		706,560		695,662		679,488		779,653
LIABILITIES AND STOCKHOLDERS’ EQUITY
Subordinated debentures and notes payable	$	263,366		263,366		263,366		263,366		263,318
Other liabilities		3,423		2,860		2,719		2,670		2,666
Total liabilities		266,789		266,226		266,085		266,036		265,984
Stockholders’ equity		459,489		440,334		429,577		413,452		513,669
Total liabilities and stockholders’ equity	$	726,278		706,560		695,662		679,488		779,653