Southwest Bancorp Inc. Reports Third Quarter 2010 Results

STILLWATER, Okla., Oct. 20, 2010 (GLOBE NEWSWIRE) -- Southwest Bancorp, Inc.
(Nasdaq:OKSB), ("Southwest"), today reported net income available to common
shareholders of $2.8 million, or $0.15 per diluted share for the third quarter
of 2010, compared to $1.1 million, or $0.07 per diluted share for the third
quarter of 2009, and $3.4 million, or $0.19 per diluted share for the second
quarter of 2010. Net income available to common shareholders for the nine months
ended September 30, 2010 was $9.5 million, or $0.55 per diluted share, compared
to $6.3 million, or $0.43 per diluted share, for the nine months ended September
30, 2009.

Rick Green, Southwest Bancorp's President and Chief Executive Officer, stated,
"We are pleased with our solid performance this quarter. Earnings for the third
quarter were based on stable net interest income and controlled noninterest
expenses. We increased our allowance for loan losses by $5.4 million in the
third quarter after recording $6.6 million in net charge offs. Our annualized
quarterly ratio of net loan charge-offs to portfolio loans remained at
approximately 1.00%.

The Board of Directors and management are dedicated to the resolution of problem
credits, the maintenance of capital and liquidity, stability in net interest
income, and control of operating expenses. We continue to manage our loan
portfolio through this difficult credit climate with our ongoing, disciplined
workout process focused on addressing the challenges of the commercial real
estate construction and commercial mortgage sectors. We are encouraged that the
state economic factors for our principal markets in Oklahoma, Texas, and Kansas
continue to outperform most of the nation. We continue to make loans in each of
our markets with an emphasis on health care lending and carefully controlled
real estate collateralized credits.

We maintain a solid capital base. Our second quarter common stock offering gave
us $54.3 million in new common equity. Southwest and its banking subsidiaries
have maintained capital levels that substantially exceed the minimums for
regulatory "well-capitalized" status. At September 30, 2010 Southwest's total
regulatory capital was $475.0 million for a total risk-based capital ratio of
18.45%, and Tier 1 capital was $442.2 million for a Tier 1 risk-based capital
ratio of 17.17%."

Please review the following discussion and the attached financial tables for
important additional information regarding our financial condition and
performance.

Financial Overview

Condition: Total assets were $2.9 billion at September 30, 2010, a decrease of
7% from December 31, 2009. At September 30, 2010 total loans were $2.5 billion,
a decrease of 6% from December 31, 2009.

At September 30, 2010 the allowance for loan losses was $72.4 million, up 25%
from September 30, 2009 and 16% from year-end 2009, and represented 3.00% of
noncovered portfolio loans versus 2.25% and 2.46% at September 30, 2009 and
December 31, 2009, respectively. The methodology used to determine the
appropriate amount of the allowance for loan losses at a particular time
includes consideration of risk factors related to Southwest and to our markets
including regular assessments of national and local economic conditions and
trends. Provisions for loan losses are recorded in the amount necessary to
maintain the allowance at the level management deems appropriate.

Excluding assets subject to loss sharing agreements with the FDIC ("covered
assets"), nonperforming assets increased to $171.4 million and 7.00% of
portfolio loans and other real estate as of September 30, 2010 from $139.8
million and 5.59% of portfolio loans and other real estate as of June 30, 2010
and from $124.6 million and 4.87% of portfolio loans and other real estate as of
December 31, 2009. A breakdown of noncovered portfolio loans and noncovered
nonperforming assets by type is shown in the following table:

Noncovered Noncovered
portfolio nonperforming
(dollars in thousands) loans assets
------------ -------------
Real estate construction $ 558,300 $ 88,590
Commercial real estate 1,251,563 34,448
Commercial 462,286 6,180
Residential real estate
mortgages 101,633 6,401
Other consumer loans 39,014 42

Other real estate -- 35,723
------------ -------------

Total $ 2,412,796 $ 171,384
============ =============

Excluding covered loans, nonaccrual loans were $135.2 million as of September
30, 2010, an increase of $23.3 million, or 21%, from June 30, 2010, and $29.3
million, or 28%, from December 31, 2009. These loans are carried at their
estimated collectible amounts and no longer accrue interest. Noncovered loans 90
days or more past due were $0.5 million as of September 30, 2010. These loans
are deemed to have sufficient collateral and are in the process of collection.

Excluding covered loans, performing loans considered potential problem loans,
which are not included in the past due or nonaccrual categories but for which
known information about possible credit problems cause management to be
uncertain as to the continued ability of the borrowers to comply with the
present loan repayment terms in future periods, amounted to $236.8 million at
September 30, 2010, a decrease of $5.4 million from June 30, 2010 and $21.6
million from December 31, 2009. Potential problem loans are subject to
continuing management attention and are considered by management in determining
the level of the allowance for loan losses.

Year-to-date Results:

Summary: The $3.2 million increase in our net income available to common
shareholders from 2009 is the result of a $9.5 million increase in net interest
income driven by an improved net interest margin and a $0.2 million decrease in
the provision for loan losses, offset in part by a $3.0 million decrease in
noninterest income, a $2.0 million increase in noninterest expense, and a $1.5
million increase in income tax expense.

Net Interest Income: Net interest income totaled $80.4 million for the first
nine months of 2010, compared to $70.9 million for the first nine months of
2009, an increase of $9.5 million, or 13%. Year-to-date net interest margin was
3.63%, compared to 3.27% for the same period in 2009. Included in 2010
year-to-date net interest income is $0.5 million of net recoveries from the
resolution of nonperforming loans and additional discount accretion on loans and
the loss share receivable, offset in part by interest reversals on nonaccrual
loans. Included in 2009 year-to-date net interest income is a recovery of $1.9
million in interest from the successful resolution of a nonperforming loan.
These net recoveries increased year-to-date interest margin by 3 basis points
and 9 basis points for 2010 and 2009, respectively.

Provision for Loan Losses and Net Charge Offs: The provision for loan losses
totaled $28.3 million for the first nine months of 2010, compared to $28.5
million for the first nine months of 2009. Noncovered net charge offs totaled
$18.3 million, or 0.98% (annualized) of average noncovered portfolio loans
year-to-date as of September 30, 2010, compared to $10.5 million, or 0.54%
(annualized) of average noncovered portfolio loans for the same period in the
prior year.

Noninterest Income: Noninterest income totaled $14.5 million for the first nine
months of 2010, compared to $17.4 million for the first nine months of 2009. The
decrease in noninterest income was primarily the result of a $3.3 million gain
on the FDIC-assisted acquisition that was recorded in the prior year.

Noninterest Expense: Noninterest expense totaled $46.8 million for the first
nine months of 2010, compared to $44.8 million for the first nine months of
2009. The increase consists of a $1.6 million increase in other general and
administrative expense, a $0.9 million increase in other real estate expense,
and a $0.5 million increase in personnel expense, offset in part by a $0.9
million decrease in provision for unfunded loan commitments.

Third Quarter Results:

Summary: Net income available to common shareholders was $2.8 million in the
third quarter of 2010, compared to $1.1 million in the third quarter of 2009 and
$3.4 million in the second quarter of 2010. The increase from the third quarter
of 2009 is the result of a $2.6 million increase in noninterest income and a
$1.1 million increase in net interest income, offset in part by a $1.8 million
increase in the provision for loan losses and a $0.2 million increase in income
taxes. The decrease from the second quarter of 2010 is the result of a $4.2
million increase in the provision for loan losses and a $0.7 million decrease in
net interest income, offset in part by a $2.4 million increase in noninterest
income, a $1.2 million decrease in income taxes, and a $0.7 million decrease in
noninterest expense.

Net Interest Income: Net interest income totaled $26.5 million for the third
quarter of 2010, compared to $25.4 million for the third quarter of 2009, an
increase of $1.1 million, or 4%, and $27.1 million for the second quarter of
2010, a decrease of $0.7 million, or 2%. Net interest margin was 3.63% for the
third quarter of 2010, compared to 3.39% for the third quarter of 2009 and 3.65%
for the second quarter of 2010. Included in the third quarter of 2010 net
interest margin is a net reduction of $0.3 million from the interest reversals
on nonaccrual loans offset by the quarterly adjustment of the discount accretion
on loans and the loss share receivable. Included in the second quarter 2010 net
interest margin is a recovery of $0.5 million from the quarterly adjustment of
the discount accretion on loans and the loss share receivable. The net effect of
these adjustments on net interest margin were a 5 basis point decrease and a 6
basis point increase for the third quarter and second quarter, respectively.

Provision for Loan Losses and Net Charge Offs: The provision for loan losses
totaled $12.0 million for the third quarter of 2010, compared to $10.2 million
for the third quarter of 2009 and $7.8 million for the second quarter of 2010.
Noncovered net charge offs totaled $6.6 million, or 1.07% (annualized) of
average noncovered portfolio loans for the third quarter of 2010, compared to
$4.2 million, or 0.61% (annualized) of average noncovered portfolio loans for
the third quarter of 2009.

Noninterest Income: Noninterest income totaled $6.3 million for the third
quarter of 2010, compared to $3.7 million for the third quarter of 2009 and $4.0
million for the second quarter of 2010. The increase in noninterest income from
the third quarter of 2009 and from the second quarter of 2010 was primarily the
result of a $2.5 million increase in gain on sale of securities.

Noninterest Expense: Noninterest expense totaled $15.4 million for the third
quarter of 2010, compared to $15.5 million for the third quarter of 2009 and
$16.1 million for the second quarter of 2010. The decrease from third quarter
2009 consists of a $0.6 million decrease in personnel expense and a $0.2 million
decrease in provision for unfunded loan commitments, offset in part by a $0.5
million increase in other general and administrative expense and a $0.2 million
increase in FDIC and other insurance expense. The decrease from second quarter
2010 consists of a $0.5 million decrease in personnel expense, a $0.2 million
decrease in FDIC and other insurance expense, and a $0.4 million decrease in
other real estate expense, offset in part by a $0.3 million increase in other
general and administrative expense.

Southwest Bancorp and Subsidiaries

Southwest is the bank holding company for Stillwater National Bank and Trust
Company ("Stillwater National") and Bank of Kansas. Through its subsidiaries,
Southwest offers commercial and consumer lending, deposit and investment
services, and specialized cash management, and other financial services from
offices in Oklahoma, Texas, and Kansas, and on the Internet, through SNB
DirectBanker(R). We were organized in 1981 as the holding company for Stillwater
National, which was chartered in 1894. At September 30, 2010 we had total assets
of $2.9 billion, deposits of $2.3 billion, and shareholders' equity of $376.9
million.

Our area of expertise focuses on the special financial needs of healthcare and
health professionals, businesses and their managers and owners, and commercial
and commercial real estate borrowers. We established a strategic focus on
healthcare lending in 1974. We provide credit and other services, such as
deposits, cash management, and document imaging for physicians and other
healthcare practitioners to start or develop their practices and finance the
development and purchase of medical offices, clinics, surgical care centers,
hospitals, and similar facilities. As of September 30, 2010, approximately
$706.1 million, or 29%, of our noncovered loans were loans to individuals and
businesses in the healthcare industry.

We also focus on commercial real estate mortgage and construction credits. We do
not focus on one-to-four family residential development loans or "spec"
residential property credits. Additionally, subprime lending has never been a
part of our business strategy, and our exposure to subprime loans and subprime
lenders is minimal. One-to-four family mortgages account for less than 5% of
total noncovered loans. As of September 30, 2010 approximately $1.8 billion, or
74%, of our noncovered loans was commercial real estate mortgage and
construction loans, including $404.7 million of loans to individuals and
businesses in the healthcare industry. Our commercial real estate mortgage and
construction and commercial loans are concentrated in states that have
experienced less adverse effects from the recession than many others.

We operate six offices in Texas, eleven offices in Oklahoma, and eight offices
in Kansas. At September 30, 2010 our Texas segment accounted for $1.0 billion,
or 41% of total portfolio loans, followed by $890.6 million, or 36%, from our
Oklahoma segment, $309.2 million, or 13%, from our Kansas segment, and $248.9
million, or 10%, from our other states segment.

Southwest's common stock is traded on the NASDAQ Global Select Market under the
symbol OKSB. Southwest's public trust preferred securities are traded on the
NASDAQ Global Select Market under the symbol OKSBP.

The Southwest Bancorp, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=8074

Forward-Looking Statements

This Press Release includes forward-looking statements that are subject to risks
and uncertainties. These forward-looking statements include: statements of
Southwest's goals, intentions, and expectations; estimates of risks and of
future costs and benefits; expectations regarding future financial performance
of Southwest and its operating segments; assessments of loan quality, probable
loan losses, and the amount and timing of loan payoffs; liquidity, contractual
obligations, off-balance sheet risk, and interest rate risk; estimates of value
of acquired assets, deposits, and other liabilities; and statements of
Southwest's ability to achieve financial and other goals. These forward-looking
statements are subject to significant uncertainties, because they are based
upon: the amount and timing of future changes in interest rates, market
behavior, and other economic conditions; future laws and regulations and
accounting principles; and a variety of other matters. Because of these
uncertainties, the actual future results may be materially different from the
results indicated by these forward-looking statements. In addition, Southwest's
past growth and performance do not necessarily indicate our future results.

Southwest is required under generally accepted accounting principles to evaluate
subsequent events and their impact, if any, on its financial statements as of
September 30, 2010 through the date its financial statements are filed with the
Securities and Exchange Commission. The September 30, 2010 financial statements
will be adjusted if necessary to properly reflect the impact of subsequent
events on estimates used to prepare those statements.

Financial Tables

Table
Unaudited Financial Highlights 1

Table
Unaudited Consolidated Statements of Financial Condition 2

Table
Unaudited Consolidated Statements of Operations 3

Table
Unaudited Average Balances, Yields, and Rates-Quarterly 4

Table
Unaudited Average Balances, Yields, and Rates-Year-to-date 5

Table
Unaudited Quarterly Summary Financial Data 6

Table
Unaudited Quarterly Supplemental Analytical Data 7

Table
SOUTHWEST BANCORP, INC. 1

UNAUDITED FINANCIAL HIGHLIGHTS

(Dollars in thousands except per share)

Third Quarter Second
Quarter
-------------------------------- ----------------------------
-----------------
QUARTERLY HIGHLIGHTS %
%

2010 2009 Change 2010
Change
--------- --------- ------ ---------
------
Operations

Net interest income $ 26,452 $ 25,400 4% $ 27,108
(2)%
Provision for loan losses 11,988 10,177 18 7,776
54
Noninterest income 6,335 3,710 71 3,962
60
Noninterest expense 15,418 15,528 (1) 16,146
(5)
Income before taxes 5,381 3,405 58 7,148
(25)
Taxes on income 1,508 1,271 19 2,737
(45)
Net income 3,873 2,134 81 4,411
(12)
Net income available to common

shareholders 2,825 1,097 158 3,366
(16)
Diluted earnings per share 0.15 0.07 114 0.19
(21)
Balance Sheet

Total assets 2,905,275 3,029,347 (4) 3,010,835
(4)
Loans held for sale 34,868 36,526 (5) 25,615
36
Noncovered portfolio loans 2,412,796 2,675,741 (10 2,475,348
(3)
Covered portfolio loans 60,558 103,630 (42) 68,006
(11)
Total deposits 2,345,648 2,473,162 (5) 2,444,939
(4)
Total shareholders' equity 376,576 309,118 22 375,319
--
Book value per common share 15.93 16.43 (3) 15.88
--
Key Ratios

Net interest margin 3.63% 3.39% 3.65%

Efficiency ratio 47.02 53.34 51.97

Total capital to risk-weighted

assets 18.45 14.31 17.78

Nonperforming loans to

portfolio loans - noncovered 5.62 4.53 3.89

Shareholders' equity to total

assets 12.96 10.20 12.47

Tangible common equity to

tangible assets* 10.43 7.79 10.02

Return on average assets

(annualized) 0.52 0.28 0.58

Return on average common equity

(annualized) 3.57 1.78 4.64

Return on average tangible

common equity (annualized)** 3.65 1.83 4.75

--------------------------------------------------------------------------------

YEAR-TO-DATE HIGHLIGHTS Nine Months

----------------------------

%

2010 2009 Change

--------- --------- ------

Operations

Net interest income $ 80,361 $ 70,894 13%

Provision for loan losses 28,295 28,536 (1)

Noninterest income 14,475 17,448 (17)

Noninterest expense 46,822 44,817 4

Income before taxes 19,719 14,989 32

Taxes on income 7,063 5,581 27

Net income 12,656 9,408 35

Net income available to common

shareholders 9,520 6,303 51

Diluted earnings per share 0.55 0.43 28

Balance Sheet

Total assets 2,905,275 3,029,347 (4)

Loans held for sale 34,868 36,526 (5)

Noncovered portfolio loans 2,412,796 2,675,741 (10)

Covered portfolio loans 60,558 103,630 (42)

Total deposits 2,345,648 2,473,162 (5)

Total shareholders' equity 376,576 309,118 22

Book value per common share 15.93 16.43 (3)

Key Ratios

Net interest margin 3.63% 3.27%

Efficiency ratio (GAAP-based) 49.37 50.73

Total capital to risk-weighted

assets 18.45 14.31

Nonperforming loans to

portfolio loans - noncovered 5.62 4.53

Shareholders' equity to total

assets 12.96 10.20

Tangible common equity to

tangible assets* 10.43 7.79

Return on average assets 0.56 0.42

Return on average common equity 4.47 3.50

Return on average tangible

common equity** 4.58 3.61

--------------------------------------------------------------------------------

Balance sheet amounts and ratios are as of period end unless otherwise noted.

* This is a Non-GAAP financial measure. Please see Table 7 for a
reconciliation
to the most directly comparable GAAP based measure.

* This is a Non-GAAP financial measure.

Please see accompanying tables for additional financial information.

SOUTHWEST BANCORP, INC. Table 2
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollars in thousands, except per share)

September September
30, December 31, 30,
2010 2009 2009
------------ ------------ ------------
Assets
Cash and cash equivalents $ 89,458 $ 118,847 $ 32,094
Investment securities:
Held to maturity. Fair value:
$9,185, $6,754, $6,907,
respectively 9,093 6,670 6,795
Available for sale. Amortized
cost: $226,323, $236,199,
$228,723, respectively 231,751 237,703 233,009
Other investments, at cost 10,389 19,066 18,986
Loans held for sale 34,868 43,134 36,526
Noncovered loans receivable 2,412,796 2,539,294 2,572,111
Less: Allowance for loan
losses (72,418) (62,413) (57,777)
------------ ------------ ------------
Net noncovered loans
receivable 2,340,378 2,476,881 2,514,334
Covered loans receivable
(includes loss share: $17.9
million, $23.9 million,
$33.3 million, respectively) 60,558 85,405 103,630
------------ ------------ ------------
Net loans receivable 2,400,936 2,562,286 2,617,964
Accrued interest receivable 9,663 10,806 10,794
Premises and equipment, net 25,075 26,536 25,255
Noncovered other real estate 35,723 18,432 6,389
Covered other real estate 4,448 4,748 2,598
Goodwill 6,811 6,811 6,811
Other intangible assets, net 5,358 5,779 5,872

Other assets 41,702 47,473 26,254
------------ ------------ ------------

Total assets $ 2,905,275 $ 3,108,291 $ 3,029,347
============ ============ ============

Liabilities
Deposits:
Noninterest-bearing demand $ 329,655 $ 324,829 $ 309,767
Interest-bearing demand 86,153 74,201 82,622
Money market accounts 518,422 505,521 506,196
Savings accounts 25,556 25,730 25,636
Time deposits of $100,000 or
more 795,303 1,004,439 888,814

Other time deposits 590,559 658,010 660,127
------------ ------------ ------------
Total deposits 2,345,648 2,592,730 2,473,162
Accrued interest payable 2,457 3,191 4,545
Income tax payable 6,603 4,486 3,822
Other liabilities 9,522 13,121 10,288
Other borrowings 82,506 103,022 146,449

Subordinated debentures 81,963 81,963 81,963
------------ ------------ ------------
Total liabilities 2,528,699 2,798,513 2,720,229

Shareholders' equity
Serial preferred stock;
2,000,000 shares authorized;
70,000 shares issued and
outstanding 67,548 67,037 66,872
Common stock -- $1 par value;
40,000,000 shares authorized;
19,395,675, 14,750,713,
14,748,223 shares issued,
respectively 19,396 14,751 14,748
Paid in capital 98,750 49,029 49,007
Retained earnings 187,535 178,016 175,834
Accumulated other comprehensive
income 3,347 945 2,657
------------ ------------ ------------

Total shareholders' equity 376,576 309,778 309,118
------------ ------------ ------------
Total liabilities and
shareholders' equity $ 2,905,275 $ 3,108,291 $ 3,029,347
============ ============ ============

SOUTHWEST BANCORP, INC. Table 3
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands except per share)

For the three
months For the nine months
ended September 30, ended September 30,
------------------- --------------------

2010 2009 2010 2009
--------- -------- --------- ---------
Interest income
Loans $ 32,824 $ 35,607 $ 101,087 $ 104,884
Investment securities 2,204 2,122 6,844 6,713
Other interest-earning
assets 55 4 190 13
--------- -------- --------- ---------
Total interest income 35,083 37,733 108,121 111,610

Interest expense
Interest-bearing deposits 6,802 10,097 22,347 33,229
Other borrowings 524 960 1,565 3,424

Subordinated debentures 1,305 1,276 3,848 4,063
--------- -------- --------- ---------

Total interest expense 8,631 12,333 27,760 40,716
--------- -------- --------- ---------

Net interest income 26,452 25,400 80,361 70,894

Provision for loan losses 11,988 10,177 28,295 28,536
--------- -------- --------- ---------

Net interest income after
provision for loan losses 14,464 15,223 52,066 42,358

Noninterest income
Service charges and fees 2,994 2,992 9,260 8,409
Gain on acquisition -- -- -- 3,281
Gain on sales of loans 653 386 2,054 2,030
Gain on investment
securities 2,480 10 2,521 2,922

Other noninterest income 208 322 640 806
--------- -------- --------- ---------
Total noninterest income 6,335 3,710 14,475 17,448

Noninterest expense
Salaries and employee
benefits 7,183 7,824 22,400 21,950
Occupancy 2,835 2,958 8,454 8,478
FDIC and other insurance 1,347 1,134 4,455 4,444
Other real estate, net 228 90 963 91

General and administrative 3,825 3,522 10,550 9,854
--------- -------- --------- ---------

Total noninterest expense 15,418 15,528 46,822 44,817
--------- -------- --------- ---------
Income before taxes 5,381 3,405 19,719 14,989

Taxes on income 1,508 1,271 7,063 5,581
--------- -------- --------- ---------

Net income $ 3,873 $ 2,134 $ 12,656 $ 9,408
========= ======== ========= =========
Net income available to
common shareholders $ 2,825 $ 1,097 $ 9,520 $ 6,303
========= ======== ========= =========

Basic earnings per common
share $ 0.15 $ 0.07 $ 0.55 $ 0.43
Diluted earnings per common
share 0.15 0.07 0.55 0.43
Common dividends declared per
share -- 0.0238 -- 0.0714

SOUTHWEST BANCORP, INC.
Table 4
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES

(Dollars in thousands)

For the three months ended
September 30,

--------------------------------------------------------------------

2010
2009
---------------------------------
---------------------------------

Average Average
Average Average
Balance Interest Yield/Rate
Balance Interest Yield/Rate
----------- -------- ----------
----------- -------- ----------
Assets

Loans (2) $ 2,543,412 $ 32,824 5.12% $
2,719,835 $ 35,607 5.19%
Investment securities 261,124 2,204 3.35
243,604 2,122 3.46

Other interest-earning assets 85,214 55
10,442 4
----------- -------- 0.26
----------- -------- 0.15
Total interest-earning assets 2,889,750 35,083 4.82
2,973,881 37,733 5.03

Other assets 76,570
62,160
-----------
-----------

Total assets $ 2,966,320 $
3,036,041
===========
===========

Liabilities and Shareholders'

Equity

Interest-bearing demand deposits $ 93,481 $ 111 0.47% $
84,031 $ 107 0.51%
Money market accounts 515,754 976 0.75
498,842 1,220 0.97
Savings accounts 25,306 15 0.24
26,101 39 0.59

Time deposits 1,428,247 5,700
1,547,192 8,731
----------- -------- 1.58
----------- -------- 2.24
Total interest-bearing deposits 2,062,788 6,802 1.35
2,156,166 10,097 1.86
Other borrowings 93,136 524 2.23
165,327 960 2.30

Subordinated debentures 81,963 1,305
81,963 1,276
----------- -------- 6.37
----------- -------- 6.23
Total interest-bearing

liabilities 2,237,887 8,631 1.53
12,333 2.04
-------- ----------
2,403,456 -------- ----------

Noninterest-bearing demand

deposits 330,321
299,235
Other liabilities 16,960
22,365

Shareholders' equity 381,152
310,985
-----------
-----------
Total liabilities and

shareholders' equity $ 2,966,320 $
3,036,041
===========
===========

Net interest income and spread $ 26,452 3.29%
$ 25,400 2.99%
======== ==========
======== ==========

Net interest margin (1) 3.63%
3.39%
==========
==========
Average interest-earning assets

to average interest-bearing

liabilities 129.13%
123.73%
===========
===========

(1) Net interest margin = annualized net interest income / average
interest-earning assets
(2) Information regarding noncovered and covered loans for the period shown is
not readily available.

SOUTHWEST BANCORP, INC.
Table 5
UNAUDITED AVERAGE BALANCES, YIELDS, AND RATES

(Dollars in thousands)

For the nine months ended
September 30,

------------------------------------------------------------------------

2010
2009
-----------------------------------
-----------------------------------

Average Average
Average Average
Balance Interest Yield/Rate
Balance Interest Yield/Rate
------------ --------- ----------
------------ --------- ----------
Assets

Loans (2) $ 2,606,166 $ 101,087 5.19% $
2,655,156 $ 104,884 5.28%
Investment securities 260,137 6,844 3.52
239,134 6,713 3.75

Other interest-earning assets 97,121 190
5,877 13
------------ --------- 0.26
------------ --------- 0.30
Total interest-earning assets 2,963,424 108,121 4.88
2,900,167 111,610 5.15

Other assets 74,199
66,254
------------
------------

Total assets $ 3,037,623 $
2,966,421
============
============

Liabilities and Shareholders'

Equity

Interest-bearing demand deposits $ 102,843 $ 383 0.50% $
86,576 $ 410 0.63%
Money market accounts 508,742 3,026 0.80
479,700 3,784 1.05
Savings accounts 25,515 47 0.25
19,535 62 0.42

Time deposits 1,534,135 18,891
1,496,193 28,973
------------ --------- 1.65
------------ --------- 2.59
Total interest-bearing deposits 2,171,235 22,347 1.42
2,082,004 33,229 2.13
Other borrowings 96,099 1,565 2.18
199,982 3,424 2.29

Subordinated debentures 81,963 3,848
81,963 4,063
------------ --------- 6.26
------------ --------- 6.61
Total interest-bearing

liabilities 2,349,297 27,760 1.58
40,716 2.30
--------- ----------
2,363,949 --------- ----------

Noninterest-bearing demand

deposits 318,609
274,535
Other liabilities 17,629
20,877

Shareholders' equity 352,088
307,060
------------
------------
Total liabilities and

shareholders' equity $ 3,037,623 $
2,966,421
============
============

Net interest income and spread $ 80,361 3.30%
$ 70,894 2.85%
========= ==========
========= ==========

Net interest margin (1) 3.63%
3.27%
==========
==========
Average interest-earning assets

to average interest-bearing

liabilities 126.14%
122.68%
============
============

(1) Net interest margin = annualized net interest income / average
interest-earning assets
(2) Information regarding noncovered and covered loans for the period shown is
not readily available.

SOUTHWEST BANCORP, INC.
Table 6
UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA

(Dollars in thousands except per share)

--------------------------------------------------------------------------------
---------------

2010
2009
----------------------------------------
------------------------------------------------------

Sep. 30 Jun. 30 Mar. 31 Dec. 31
Sep. 30 Jun. 30 Mar. 31
------------ ------------ ------------ ------------
------------ ------------ ------------
OPERATIONS

Interest income:

Loans $ 32,824 $ 33,891 $ 34,372 $ 36,355
$ 35,607 $ 36,009 $ 33,268
Investment

securities 2,204 2,320 2,320 2,433
2,122 2,079 2,512
Other

interest-earning

assets 55 68 67 1
4 3 6
------------ ------------ ------------ ------------
------------ ------------ ------------
Total interest

income 35,083 36,279 36,759 38,789
37,733 38,091 35,786
Interest expense:

Interest bearing

demand deposits 111 140 132 66
107 150 153
Money market

accounts 976 1,037 1,013 1,170
1,220 1,211 1,353
Savings accounts 15 16 16 16
39 14 9
Time deposits of

$100,000 or more 3,128 3,517 4,024 4,340
4,822 5,552 5,980

Other time deposits 2,572 2,661 2,989 3,498
3,909 4,145 4,565
------------ ------------ ------------ ------------
------------ ------------ ------------
Total

interest-bearing

deposits 6,802 7,371 8,174 9,090
10,097 11,072 12,060
Other borrowings 524 524 517 625
960 1,180 1,284
Subordinated

debentures 1,305 1,276 1,267 1,277
1,276 1,383 1,404
------------ ------------ ------------ ------------
------------ ------------ ------------
Total interest

expense 8,631 9,171 9,958 10,992
12,333 13,635 14,748
------------ ------------ ------------ ------------
------------ ------------ ------------
Net interest income 26,452 27,108 26,801 27,797
25,400 24,456 21,038
Provision for loan

losses 11,988 7,776 8,531 10,640
10,177 7,477 10,882
Noninterest income:

Service charges and

fees 2,994 3,170 3,096 3,295
2,992 2,817 2,600
Gain on sales of

loans 653 416 985 933
386 926 718
Gain (loss) on

investment

securities 2,480 34 7 3
10 (9) 2,921
Other noninterest

income 208 342 90 257
322 3,527 238
------------ ------------ ------------ ------------
------------ ------------ ------------
Total noninterest

income 6,335 3,962 4,178 4,488
3,710 7,261 6,477
Noninterest expense:

Salaries and

employee benefits 7,183 7,637 7,580 7,349
7,824 6,887 7,239
Occupancy 2,835 2,836 2,783 3,159
2,958 2,789 2,731
FDIC and other

insurance 1,347 1,521 1,587 1,101
1,134 2,319 991
Other real estate,

net 228 629 106 39
90 103 (102)
Provision for

unfunded loan

commitments (294) (512) (465) 147
(79) (388) 90
Other general and

administrative 4,119 4,035 3,667 4,246
3,601 2,980 3,650
------------ ------------ ------------ ------------
------------ ------------ ------------
Total noninterest

expenses 15,418 16,146 15,258 16,041
15,528 14,690 14,599
------------ ------------ ------------ ------------
------------ ------------ ------------
Income before taxes 5,381 7,148 7,190 5,604
3,405 9,550 2,034

Taxes on income 1,508 2,737 2,818 2,030
1,271 3,605 705
------------ ------------ ------------ ------------
------------ ------------ ------------

Net income $ 3,873 $ 4,411 $ 4,372 $ 3,574
$ 2,134 $ 5,945 $ 1,329
============ ============ ============ ============
============ ============ ============
Net income available

to common

shareholders $ 2,825 $ 3,366 $ 3,329 $ 2,534
$ 1,097 $ 4,910 $ 296
============ ============ ============ ============
============ ============ ============
PER SHARE DATA

Basic earnings per

common share $ 0.15 $ 0.19 $ 0.23 $ 0.17
$ 0.07 $ 0.34 $ 0.02
Diluted earnings per

common share 0.15 0.19 0.23 0.17
0.07 0.33 0.02
Common dividends

declared per share -- -- -- 0.0238
0.0238 0.0238 0.0238
Book value per

common share 15.93 15.88 16.79 16.46
16.43 16.30 16.01
Tangible book value

per share* 15.58 15.53 16.33 15.99
15.96 15.84 15.52
COMMON STOCK

Shares issued 19,395,675 19,388,797 14,779,711 14,750,713
14,748,223 14,658,042 14,658,042

Less treasury shares -- -- -- --
-- (15,602) (49,930)
------------ ------------ ------------ ------------
------------ ------------ ------------

Outstanding shares 19,395,675 19,388,797 14,779,711 14,750,713
14,748,223 14,642,440 14,608,112
============ ============ ============ ============
============ ============ ============
OTHER FINANCIAL DATA

Investment

securities $ 251,233 $ 265,895 $ 260,837 $ 263,439
$ 258,790 $ 243,077 $ 179,006
Loans held for sale 34,868 25,615 25,586 43,134
36,526 26,006 76,404
Noncovered portfolio

loans 2,412,796 2,475,348 2,516,397 2,539,294
2,572,111 2,587,230 2,526,293
Total noncovered

loans 2,447,664 2,500,963 2,541,983 2,582,428
2,608,637 2,613,236 2,602,697
Covered portfolio

loans 60,558 68,006 76,909 85,405
103,630 117,096 --
Total assets 2,905,275 3,010,835 3,074,923 3,108,291
3,029,347 3,038,985 2,928,133
Total deposits 2,345,648 2,444,939 2,554,165 2,592,730
2,473,162 2,452,295 2,330,089
Other borrowings 82,506 93,036 103,620 103,022
146,449 176,368 193,739
Subordinated

debentures 81,963 81,963 81,963 81,963
81,963 81,963 81,963
Total shareholders'

equity 376,576 375,319 315,341 309,778
309,118 305,416 300,406
Mortgage servicing

portfolio 261,266 249,632 241,224 237,459
223,226 209,425 179,959
INTANGIBLE ASSET

DATA

Goodwill $ 6,811 $ 6,811 $ 6,811 $ 6,811
$ 6,811 $ 6,811 $ 7,071
Core deposit

intangible 3,693 3,830 3,967 4,103
4,240 4,378 2,498
Mortgage servicing

rights 1,661 1,589 1,603 1,670
1,625 1,589 1,362
Nonmortgage

servicing rights 4 5 5 6
7 7 8
------------ ------------ ------------ ------------
------------ ------------ ------------
Total intangible

assets $ 12,169 $ 12,235 $ 12,386 $ 12,590
$ 12,683 $ 12,785 $ 10,939
============ ============ ============ ============
============ ============ ============
Intangible

amortization

expense $ 392 $ 350 $ 359 $ 381
$ 344 $ 391 $ 204
============ ============ ============ ============
============ ============ ============
Continued

____________________

*This is a Non-GAAP based financial measure.

SOUTHWEST BANCORP, INC.
Table 6
UNAUDITED QUARTERLY SUMMARY FINANCIAL DATA
Continued
(Dollars in thousands except per share)

--------------------------------------------------------------------------------
---------------

2010
2009
----------------------------------------
------------------------------------------------------

Sep. 30 Jun. 30 Mar. 31 Dec. 31
Sep. 30 Jun. 30 Mar. 31
------------ ------------ ------------ ------------
------------ ------------ ------------
LOAN COMPOSITION

Noncovered

--------------------

Real estate

mortgage:

Commercial $ 1,271,278 $ 1,251,709 $ 1,230,009 $ 1,212,409
$ 1,221,739 $ 1,208,819 $ 1,098,587
One-to-four family

residential 109,980 106,814 111,185 114,614
125,034 116,068 114,111
Real estate

construction

Commercial 527,773 589,590 630,472 618,078
612,905 622,298 640,132
One-to-four family

residential 30,527 35,129 34,996 41,109
39,009 51,292 79,309
Commercial 463,132 471,004 487,074 520,505
538,757 554,734 558,834
Installment and

consumer:

Guaranteed student

loans 5,960 7,389 10,199 36,163
30,949 18,477 69,792

Other 39,014 39,328 38,048 39,550
40,244 41,548 41,932
------------ ------------ ------------ ------------
------------ ------------ ------------
Total noncovered

loans, including

held for sale 2,447,664 2,500,963 2,541,983 2,582,428
2,608,637 2,613,236 2,602,697
Less allowance for

loan losses (72,418) (67,055) (65,168) (62,413)
(57,777) (51,753) (46,262)
------------ ------------ ------------ ------------
------------ ------------ ------------
Total noncovered

loans, net $ 2,375,246 $ 2,433,908 $ 2,476,815 $ 2,520,015
$ 2,550,860 $ 2,561,483 $ 2,556,435
============ ============ ============ ============
============ ============ ============

Covered

--------------------

Real estate

mortgage:

Commercial $ 33,428 $ 36,107 $ 37,487 $ 39,836
$ 37,820 $ 40,411 $ --
One-to-four family

residential 10,071 10,277 10,843 12,630
17,246 17,889 --
Real estate

construction

Commercial 7,464 8,190 11,173 12,515
14,178 14,277 --
One-to-four family

residential 1,823 3,853 5,273 5,324
9,936 13,647 --
Commercial 6,816 8,487 10,807 13,412
21,475 27,203 --
Installment and

consumer: 956 1,092 1,326 1,688
2,975 3,669 --
============ ============ ============ ============
============ ============ ============

Total covered loans $ 60,558 $ 68,006 $ 76,909 $ 85,405
$ 103,630 $ 117,096 $ --
============ ============ ============ ============
============ ============ ============
DEPOSIT COMPOSITION

Non-interest bearing

demand $ 329,655 $ 326,721 $ 317,896 $ 324,829
$ 309,767 $ 291,014 $ 274,175
Interest-bearing

demand 86,153 102,218 119,757 74,201
82,622 94,060 85,629
Money market

accounts 518,422 510,549 506,659 505,521
506,196 483,162 467,924
Savings accounts 25,556 25,321 25,871 25,730
25,636 25,660 15,797
Time deposits of

$100,000 or more 795,303 861,110 944,871 1,004,439
888,814 905,202 849,814

Other time deposits 590,559 619,020 639,111 658,010
660,127 653,197 636,750
------------ ------------ ------------ ------------
------------ ------------ ------------

Total deposits** $ 2,345,648 $ 2,444,939 $ 2,554,165 $ 2,592,730
$ 2,473,162 $ 2,452,295 $ 2,330,089
============ ============ ============ ============
============ ============ ============
LOANS BY SEGMENT

Oklahoma banking $ 890,598 $ 914,004 $ 926,870 $ 933,150
$ 943,982 $ 967,981 $ 949,454
Texas banking 1,024,863 1,041,228 1,063,511 1,054,404
1,042,369 1,037,694 990,135
Kansas banking 309,240 329,157 342,596 359,633
400,710 412,314 309,774

Other states banking 248,653 258,965 260,329 277,512
288,680 286,337 276,930
------------ ------------ ------------ ------------
------------ ------------ ------------
Subtotal 2,473,354 2,543,354 2,593,306 2,624,699
2,675,741 2,704,326 2,526,293

Secondary market 34,868 25,615 25,586 43,134
36,526 26,006 76,404
------------ ------------ ------------ ------------
------------ ------------ ------------

Total loans $2,508,222 $2,568,969 $2,618,892 $2,667,833
$2,712,267 $2,730,332 $2,602,697
============ ============ ============ ============
============ ============ ============
NET INCOME BY

SEGMENT

Oklahoma banking $ 3,624 $ 4,334 $ 2,820 $ 3,807
$ 2,529 $ 3,284 $ 3,210
Texas banking (1,769) 697 1,656 3,591
2,686 3,662 1,119
Kansas banking (227) 985 (355) (2,328)
(1,180) 2,405 598

Other states banking 488 (507) 1,722 300
57 (78) (1,974)
------------ ------------ ------------ ------------
------------ ------------ ------------
Subtotal 2,116 5,509 5,843 5,370
4,092 9,273 2,953
Secondary market 219 72 327 (3)
(201) 117 (61)

Other operations 1,538 (1,170) (1,798) (1,793)
(1,757) (3,445) (1,563)
------------ ------------ ------------ ------------
------------ ------------ ------------

Net income $ 3,873 $ 4,411 $ 4,372 $ 3,574
$ 2,134 $ 5,945 $ 1,329
============ ============ ============ ============
============ ============ ============
OFFICES AND

EMPLOYEES

FTE Employees 440 447 455 466
471 478 425
Branches 23 23 24 24
24 24 18
Loan production

offices 2 2 2 3
3 3 3
Assets per employee $ 6,603 $ 6,736 $ 6,758 $ 6,670
$ 6,432 $ 6,358 $ 6,890
____________________

**Calculation of Non-brokered Deposits and Core Funding (Non-GAAP Financial
Measures)
Total deposits $ 2,345,648 $ 2,444,939 $ 2,554,165 $ 2,592,730
$ 2,473,162 $ 2,452,295 $ 2,330,089
Less:

Brokered time

deposits 226,238 279,027 359,571 417,419
327,951 395,196 454,435
Other brokered

deposits 129,096 126,643 124,969 127,320
125,737 125,666 124,674
------------ ------------ ------------ ------------
------------ ------------ ------------
Non-brokered

deposits $ 1,990,314 $ 2,039,269 $ 2,069,625 $ 2,047,991
$ 2,019,474 $ 1,931,433 $ 1,750,980
------------ ------------ ------------ ------------
------------ ------------ ------------
Plus:

Sweep repurchase

agreements 22,211 22,700 33,192 23,259
26,500 35,708 24,963
------------ ------------ ------------ ------------
------------ ------------ ------------

Core funding $ 2,012,525 $ 2,061,969 $ 2,102,817 $ 2,071,250
$ 2,045,974 $ 1,967,141 $ 1,775,943
============ ============ ============ ============
============ ============ ============

Balance sheet amounts are as of period end unless otherwise noted.

SOUTHWEST BANCORP, INC.
Table 7
UNAUDITED QUARTERLY SUPPLEMENTAL ANALYTICAL DATA

(Dollars in thousands except per share)

--------------------------------------------------------------------------------
---------------

2010
2009
----------------------------------------
------------------------------------------------------

Sep. 30 Jun. 30 Mar. 31 Dec. 31
Sep. 30 Jun. 30 Mar. 31
------------ ------------ ------------ ------------
------------ ------------ ------------
PERFORMANCE RATIOS

Return on average

assets (annualized) 0.52% 0.58% 0.57% 0.46%
0.28% 0.81% 0.18%
Return on average

common equity

(annualized) 3.57 4.64 5.42 4.06
1.78 8.26 0.50
Return on average

tangible common

equity

(annualized)* 3.65 4.75 5.58 4.17
1.83 8.51 0.52
Net interest margin

(annualized) 3.63 3.65 3.59 3.71
3.39 3.41 3.00
Total dividends

declared to net

income 22.59 19.84 20.02 34.31
57.46 20.58 92.00
Effective tax rate 28.02 38.29 39.19 36.22
37.33 37.75 34.66
Efficiency ratio 47.02 51.97 49.25 49.69
53.34 46.32 53.06
NONPERFORMING ASSETS

Noncovered

--------------------

Nonaccrual loans $ 135,209 $ 111,871 $ 97,858 $ 105,887
$ 94,715 $ 74,205 $ 73,383
90 days past due and

accruing 452 333 4 310
10,578 8,409 10,552
------------ ------------ ------------ ------------
------------ ------------ ------------
Total nonperforming

loans 135,661 112,204 97,862 106,197
105,293 82,614 83,935

Other real estate 35,723 27,634 18,809 18,432
6,389 6,003 5,351
------------ ------------ ------------ ------------
------------ ------------ ------------
Total nonperforming

assets $ 171,384 $ 139,838 $ 116,671 $ 124,629
$ 111,682 $ 88,617 $ 89,286
============ ============ ============ ============
============ ============ ============
Performing

restructured $ 5,334 $ 5,525 $ 5,650 $ --
$ -- $ -- $ --
============ ============ ============ ============
============ ============ ============
Potential problem

loans $ 236,844 $ 242,217 $ 275,912 $ 258,399
$ 255,051 $ 178,081 $ 133,810
============ ============ ============ ============
============ ============ ============

Covered

--------------------

Nonaccrual loans $ 7,906 $ 14,504 $ 16,192 $ 12,322
$ 14,686 $ 8,607 $ --
90 days past due and

accruing 1,871 130 356 1,136
4,544 3,658 --
------------ ------------ ------------ ------------
------------ ------------ ------------
Total nonperforming

loans 9,777 14,634 16,548 13,458
19,230 12,265 --

Other real estate 4,448 4,352 4,489 4,748
2,598 2,938 --
------------ ------------ ------------ ------------
------------ ------------ ------------
Total nonperforming

assets $ 14,225 $ 18,986 $ 21,037 $ 18,206
$ 21,828 $ 15,203 $ --
============ ============ ============ ============
============ ============ ============
Potential problem

loans $ 6,413 $ 6,184 $ 6,620 $ 8,874
$ 4,421 $ 5,977 $ --
============ ============ ============ ============
============ ============ ============
ALLOWANCE ACTIVITY

Balance, beginning

of period $ 67,055 $ 65,168 $ 62,413 $ 57,777
$ 51,753 $ 46,262 $ 39,773
Charge offs 7,006 6,168 6,545 6,756
4,372 2,975 4,810

Recoveries 381 279 769 752
219 989 417
------------ ------------ ------------ ------------
------------ ------------ ------------
Net charge offs 6,625 5,889 5,776 6,004
4,153 1,986 4,393
Provision for loan

losses 11,988 7,776 8,531 10,640
10,177 7,477 10,882
------------ ------------ ------------ ------------
------------ ------------ ------------
Balance, end of

period $ 72,418 $ 67,055 $ 65,168 $ 62,413
$ 57,777 $ 51,753 $ 46,262
============ ============ ============ ============
============ ============ ============
ASSET QUALITY RATIOS

Noncovered

--------------------

Nonperforming assets

to portfolio loans

and other real

estate 7.00% 5.59% 4.60% 4.87%
4.33% 3.41% 3.53%
Nonperforming loans

to portfolio loans 5.62 4.53 3.89 4.18
4.09 3.19 3.32
Net loan charge-offs

to average

portfolio loans

(annualized) 1.07 0.94 0.93 0.92
0.61 0.31 0.71
Allowance for loan

losses to portfolio

loans 3.00 2.71 2.59 2.46
2.25 2.00 1.83
Allowance for loan

losses to

nonperforming loans 53.38 59.76 66.59 58.77
54.87 62.64 55.12

Covered

--------------------

Nonperforming assets

to portfolio loans

and other real

estate 21.88% 26.24% 25.84% 20.19%
20.55% 12.67% --
Nonperforming loans

to portfolio loans 16.14 21.52 21.52 15.76
18.56 10.47 --
CAPITAL RATIOS

Average total

shareholders'

equity to average

assets 12.85% 11.78% 10.18% 10.31%
10.24% 10.35% 10.47%
Leverage ratio 14.96 14.48 12.32 12.42
12.39 12.70 12.72
Tier 1 capital to

risk-weighted

assets 17.17 16.50 14.00 13.28
13.04 12.67 12.85
Total capital to

risk-weighted

assets 18.45 17.78 15.28 14.55
14.31 13.92 14.11
Tangible common

equity to tangible

assets*** 10.43 10.02 7.87 7.61
7.79 7.65 7.76
REGULATORY CAPITAL

DATA

Tier I capital $ 442,188 $ 438,973 $ 381,280 $ 377,418
$ 374,805 $ 372,713 $ 369,482
Total capital 475,040 472,971 415,955 413,438
411,201 409,764 405,613
Total risk adjusted

assets 2,574,746 2,659,886 2,722,628 2,841,476
2,873,558 2,942,821 2,875,290
Average total assets 2,955,779 3,032,328 3,094,756 3,039,014
3,024,885 2,935,189 2,905,653
____________________

***Calculation of Tangible Capital to Tangible Assets (Non-GAAP Financial
Measure)
Total shareholders'

equity $ 376,576 $ 375,319 $ 315,341 $ 309,778
$ 309,118 $ 305,416 $ 300,406
Less:

Goodwill 6,811 6,811 6,811 6,811
6,811 6,811 7,071

Preferred stock 67,548 67,375 67,205 67,037
66,872 66,710 66,549
------------ ------------ ------------ ------------
------------ ------------ ------------
Tangible common

equity $ 302,217 $ 301,133 $ 241,325 $ 235,930
$ 235,435 $ 231,895 $ 226,786
============ ============ ============ ============
============ ============ ============
Total assets $ 2,905,275 $ 3,010,835 $ 3,074,923 $ 3,108,291
$ 3,029,347 $ 3,038,985 $ 2,928,133

Less goodwill 6,811 6,811 6,811 6,811
6,811 6,811 7,071
------------ ------------ ------------ ------------
------------ ------------ ------------

Tangible assets $ 2,898,464 $ 3,004,024 $ 3,068,112 $ 3,101,480
$ 3,022,536 $ 3,032,174 $ 2,921,062
============ ============ ============ ============
============ ============ ============
Tangible common

equity to tangible

assets 10.43% 10.02% 7.87% 7.61%
7.79% 7.65% 7.76%

Balance sheet amounts and ratios are as of period end unless otherwise noted.

CONTACT: Southwest Bancorp, Inc.
Rick Green, President & CEO
Kerby E. Crowell, EVP & CFO
(405) 372-2230