SIMMONS FIRST NATIONAL CORP - FORM 8-K - EX-99.1 - EXHIBIT 99.1

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8-K - FORM 8-K - SIMMONS FIRST NATIONAL CORP	f8k_011912.htm

Exhibit 99.1

FOR IMMEDIATE RELEASE:

January 19, 2012

SIMMONS FIRST ANNOUNCES FOURTH QUARTER EARNINGS

Pine Bluff, AR – Simmons First National Corporation (NASDAQ-GS: SFNC) today announced net income of $6.3 million and diluted earnings per share of $0.37 for the quarter ended December 31, 2011. Regarding the quarterly earnings, J. Thomas May, Chairman and CEO, commented, “Because the fourth quarter of 2010 included a considerable non-core net gain, there is a significant variance when comparing quarter to quarter earnings results. Obviously, there is a lot of noise in our fourth quarter comparative results due to the October 15, 2010, FDIC-assisted acquisition in Kansas. After taxes, the combined fourth quarter 2010 non-recurring items from that acquisition contributed $9.7 million to net income, or $0.56 to diluted earnings per share. After adjusting for the acquisition, comparable core earnings for the fourth quarter 2010 were $6.9 million, or $0.40 diluted core earnings per share.”

For the year ended December 31, 2011, net income was $25.4 million, or $1.47 diluted earnings per share, compared to $37.1 million, or $2.15 diluted earnings per share for the same period in 2010. “Again,” added May, “GAAP results include non-recurring items from our 2010 acquisitions, along with other one-time income/expense items, which can distort comparative operating results. Normalizing for the non-recurring items in 2010 and 2011, core earnings for the year ended December 31, 2011, were $25.0 million, or $1.45 core earnings per share, compared to $26.0 million, or $1.51 core earnings per share.”

Total assets were $3.3 billion at December 31, 2011, unchanged from December 31, 2010.

Loans

Total loans, including those covered by FDIC loss share agreements, were $1.7 billion at December 31, 2011, a decrease of $177 million, or 9.3%, from the same period in 2010. “In our legacy portfolio, we experienced a decrease of $104 million, or 6.2%, compared to December 31, 2010. Additionally, like the rest of the financial industry in Arkansas, we continue to experience weak loan demand as a result of the overall general economic environment. We believe loan demand is likely to remain soft through the first quarter of 2012, and likely into the second quarter, but we are cautiously optimistic relative to improved loan demand in the last half of 2012,” commented May. Loans covered by FDIC loss share agreements, which provide 80% Government guaranteed protection against credit risk on those covered assets, were $158 million at December 31, 2011, compared to $232 million at December 31, 2010.

Deposits

At December 31, 2011, total deposits were $2.7 billion, an increase of $41 million, or 1.6%, compared to the same period in 2010. The December 31, 2011, deposits include $179 million of deposits in Missouri and Kansas. “While we continue our efforts to manage our high levels of liquidity, we remain focused on creating core deposit growth. We are very pleased with our ratio of non-time deposits as a percent of total deposits, which is a very favorable 67%,” added May.

Net Interest Income

The Company’s net interest income for the fourth quarter of 2011 increased 3.9% to $27.3 million compared to the same period of 2010. The increase was primarily due to additional yield accretion recognized as a result of updated estimates of the cash flows of the loan pools acquired in the Company’s 2010 FDIC-assisted transactions. Each quarter, the Company estimates the cash flows expected to be collected from the acquired loan pools, and adjustments may or may not be required. During the fourth quarter of 2011, the cash flows estimate has increased based on payment histories and reduced loss expectations of the loan pools. This resulted in increased interest income that was spread on a level-yield basis over the remaining expected lives of the loan pools. The increases in expected cash flows also reduced the amount of expected reimbursements under the loss sharing agreements with the FDIC, which are recorded as indemnification assets. The impact of the fourth quarter adjustments on the Company’s financial results for the current reporting period is shown below:

	Three Months Ended				Year Ended
(In thousands, except basis points data)	December 31, 2011				December 31, 2011
Impact on net interest income/
net interest margin (in basis points)	$	1,124		15 bps	$	1,124		4 bps
Non-interest income		(978	)			(978	)
Net impact to pre-tax income	$	146			$	146

Because these adjustments will be recognized over the remaining lives of the loan pools and the remainder of the loss sharing agreements, respectively, they will impact future periods as well. The current estimate of the remaining accretable yield adjustment that will positively impact interest income is $22.6 million and the remaining adjustment to the indemnification assets that will reduce non-interest income is $19.9 million. Of the remaining adjustments, we expect to recognize $11.0 million of interest income and a $9.7 million reduction of non-interest income during 2012. The accretable yield adjustments recorded in future periods will change as we continue to evaluate expected cash flows from the acquired loan pools. Net interest margin was 3.76% for the quarter ended December 31, 2011, an increase of 16 basis points from the fourth quarter of 2010.

Non-Interest Income

Non-interest income for the fourth quarter of 2011 was $12.8 million, a decrease of $20.8 million, or 61.8%, compared to the same period last year. “As I mentioned earlier, the fourth quarter of 2010 was a very noisy quarter, including $18.6 million of non-interest income from the bargain purchase gain and liquidation of the acquired investment portfolio related to our FDIC acquisition in Olathe, Kansas. On a normalized basis, non-interest income in the fourth quarter of 2011 decreased by $2.2 million, or 14.8%. Approximately $1.0 million of the decrease was due to reductions of the indemnification assets resulting from increased cash flows expected to be collected from the FDIC covered loan portfolios,” reiterated May.

Non-Interest Expense

Non-interest expense for the fourth quarter of 2011 was $28.5 million, a decrease of $2.0 million, compared to the same period in 2010. Non-interest expense in the fourth quarter of 2010 includes $2.0 million of merger related costs associated with the Company’s 2010 FDIC-assisted transaction. “Normalizing for the non-recurring acquisition costs, non-interest expense remained relatively flat as a result of the implementation of our efficiency initiatives and a decrease in deposit insurance premiums caused by changes in the FDIC’s assessment base and rates,” according to May.

Asset Quality

During 2010, the Company acquired loans and foreclosed real estate (“OREO”) through FDIC-assisted acquisitions. Through the loss share provisions of the purchase and assumption agreements, the FDIC agreed to reimburse the Company for 80% of the losses incurred on the disposition of such loans and OREO. The loans and OREO covered by the FDIC loss share agreements and the related FDIC loss share indemnification asset were presented in the Company's financial reports as "covered" assets (i.e., covered by the FDIC loss share agreements) with a carrying value equal to the discounted net present value of expected future proceeds. At December 31, 2011, loans covered by loss share were carried at $158 million (net of discount), OREO covered by loss share was carried at $12 million (net of discount) and the FDIC loss share indemnification asset was carried at $48 million. As a result of the FDIC loss share indemnification related to these assets and the discounted net present value method of valuing these assets, such assets are excluded from the computations of the following asset quality ratios, except for their inclusion in total assets.

The Company's allowance for loan losses was $30.1 million at December 31, 2011, or 1.91% of total loans and 186% of non-performing loans. Non-performing assets as a percent of total assets were 1.18% as of December 31, 2011, a decrease from 1.24% as of September 30, 2011. Non-performing loans as a percent of total loans were 1.02% as of December 31, 2011, a decrease from 1.14% as of September 30, 2011. These ratios include $2.5 million of Government guaranteed student loans that were over 90 days past due at the end of the quarter. Excluding the guaranteed past due student loans, non-performing assets as a percent of total assets were 1.10% and non-performing loans as a percent of total loans were 0.87%. “One of the strengths of our Company has always been the strength of our asset quality. Our ratio of non-performing assets continues to rank in the 82nd percentile of our peer group, which is a significant achievement considering the challenges of the economy,” commented May.

Excluding credit cards, the Company's annualized net charge-off ratio was 0.24% for the fourth quarter of 2011 and 0.30% for the full year of 2011. The credit card annualized net charge-off ratio was 2.20% for the fourth quarter and 2.06% for the full year. The Company’s credit card loss ratio is more than 300 basis points below the most recently published credit card charge-off industry average of over 5%.

Capital

At December 31, 2011, stockholders' equity was $408 million, book value per share was $23.70 and tangible book value per share was $20.09. The Company's ratio of stockholders' equity to total assets was 12.3% and its ratio of tangible stockholders’ equity to tangible assets was 10.6%, as of December 31, 2011.

“Our exceptional level of risk-based capital puts us in the 94th percentile of our peer group and allows us to actively pursue the right opportunities that meet our strategic plan regarding mergers and acquisitions,” continued May. As of December 31, 2011, the Company’s regulatory capital ratios remain significantly higher than regulatory “well capitalized” guidelines:

	“Well Capitalized”			SFNC
Tier 1 Leverage Ratio		5.00	%		11.86	%
Tier 1 Risk-Based Capital Ratio		6.00	%		21.58	%
Total Risk-Based Capital Ratio		10.00	%		22.83	%

Simmons First National Corporation

Simmons First National Corporation is an eight bank financial holding company with community banks in Pine Bluff, Lake Village, Jonesboro, Rogers, Searcy, Russellville, El Dorado and Hot Springs, Arkansas. The Company’s eight banks conduct financial operations from 88 offices, of which 84 are financial centers, in 47 communities in Arkansas, Missouri and Kansas. The Company’s common stock trades on the NASDAQ Global Select Market under the symbol “SFNC”.

Conference Call

Management will conduct a conference call to review this information beginning at 3:00 p.m. Central Time on Thursday, January 19, 2012. Interested persons can listen to this call by dialing 1-877-723-9522 (United States and Canada only) and asking for the Simmons First National Corporation conference call. A replay of the call will be available through 5:00 p.m. Central Time on January 26, 2012, by dialing 1-888-203-1112. The passcode for the replay is 7792047. In addition, the call will be available live or in recorded version on the Company’s website at www.simmonsfirst.com.

Non-GAAP Financial Measures

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

Forward Looking Statements

Statements in this press release that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements of this type speak only as of the date of this news release. By nature, forward-looking statements involve inherent risk and uncertainties. Various factors, including, but not limited to, economic conditions, credit quality, interest rates, loan demand and changes in the assumptions used in making the forward-looking statements, could cause actual results to differ materially from those contemplated by the forward-looking statements. Additional information on factors that might affect Simmons First National Corporation’s financial results is included in its Form 10-K filing with the Securities and Exchange Commission.

####

FOR MORE INFORMATION CONTACT:

DAVID W. GARNER

Senior Vice President and Investor Relations Officer

Simmons First National Corporation

(870) 541-1000

Simmons First National Corporation													SFNC
Consolidated End of Period Balance Sheets
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands)
ASSETS
Cash and non-interest bearing balances due from banks	$	35,087		$	33,408		$	43,604		$	35,923		$	33,717
Interest bearing balances due from banks		535,119			490,283			498,323			473,247			418,343
Federal funds sold		-			-			-			-			-
Cash and cash equivalents		570,206			523,691			541,927			509,170			452,060
Investment securities - held-to-maturity		525,444			504,302			406,365			501,745			465,183
Investment securities - available-for-sale		172,212			140,579			178,853			119,847			148,479
Mortgage loans held for sale		22,976			21,037			9,983			6,618			17,237
Assets held in trading accounts		7,541			5,252			7,356			7,468			7,577
Loans		1,579,769			1,631,541			1,633,660			1,619,374			1,683,464
Allowance for loan losses		(30,108	)		(29,151	)		(27,796	)		(27,905	)		(26,416	)
Net loans		1,549,661			1,602,390			1,605,864			1,591,469			1,657,048
Covered assets:
Loans, net of discount		158,075			172,394			192,899			208,774			231,600
Other real estate owned, net of discount		11,685			13,845			13,033			12,933			8,717
FDIC indemnification asset		47,683			51,223			54,437			58,520			60,235
Premises and equipment		86,486			86,972			82,145			82,948			77,199
Foreclosed assets held for sale, net		22,887			22,159			22,441			23,686			23,204
Interest receivable		15,126			16,195			15,203			15,382			17,363
Bank owned life insurance		50,579			50,175			49,914			49,475			49,072
Goodwill		60,605			60,605			60,605			60,605			60,605
Core deposit premiums		1,579			1,793			2,015			2,239			2,463
Other assets		17,384			20,736			20,169			18,511			38,390
Total assets	$	3,320,129		$	3,293,348		$	3,263,209		$	3,269,390		$	3,316,432

LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Non-interest bearing transaction accounts	$	532,259		$	531,025		$	476,274		$	459,628		$	428,750
Interest bearing transaction accounts and savings deposits		1,239,504			1,194,907			1,228,910			1,217,718			1,220,133
Time deposits less than $100,000		499,809			513,658			524,567			537,070			599,537
Time deposits greater than $100,000		378,825			395,224			377,429			387,000			360,349
Total deposits		2,650,397			2,634,814			2,607,180			2,601,416			2,608,769
Federal funds purchased and securities
sold under agreements to repurchase		114,766			98,286			93,560			107,099			109,139
Short-term debt		272			481			628			718			1,033
Long-term debt		120,828			122,501			123,673			127,344			164,324
Accrued interest and other liabilities		25,955			29,607			34,308			33,266			35,796
Total liabilities		2,912,218			2,885,689			2,859,349			2,869,843			2,919,061

Stockholders' equity:
Common stock		172			173			173			173			173
Surplus		112,436			115,026			115,126			114,537			114,040
Undivided profits		294,864			291,830			287,870			284,420			282,646
Accumulated other comprehensive income
Unrealized appreciation on AFS securities		439			630			691			417			512
Total stockholders' equity		407,911			407,659			403,860			399,547			397,371
Total liabilities and stockholders' equity	$	3,320,129		$	3,293,348		$	3,263,209		$	3,269,390		$	3,316,432

Simmons First National Corporation													SFNC
Consolidated Average Quarter-to-Date Balance Sheets
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands)
ASSETS
Cash and non-interest bearing balances due from banks	$	35,132		$	35,202		$	34,128		$	34,869		$	71,780
Interest bearing balances due from banks		546,478			462,333			472,425			463,858			400,174
Federal funds sold		99			2,309			554			583			1,208
Cash and cash equivalents		581,709			499,844			507,107			499,310			473,162
Investment securities - held-to-maturity		501,812			460,951			479,371			493,128			462,328
Investment securities - available-for-sale		173,360			164,468			143,447			120,085			180,634
Mortgage loans held for sale		20,035			12,527			7,806			7,445			27,832
Assets held in trading accounts		7,375			7,428			7,462			7,598			7,615
Loans		1,590,584			1,640,439			1,618,749			1,633,298			1,697,937
Allowance for loan losses		(29,730	)		(28,299	)		(27,498	)		(27,073	)		(23,316	)
Net loans		1,560,854			1,612,140			1,591,251			1,606,225			1,674,621
Covered assets:
Loans, net of discount		168,506			180,884			201,788			219,956			256,619
Other real estate owned, net of discount		12,409			13,467			12,722			9,171			12,978
FDIC indemnification asset		50,180			53,547			57,738			59,777			32,008
Premises and equipment		86,881			83,917			82,729			80,516			77,876
Foreclosed assets held for sale, net		22,702			22,292			23,299			23,382			23,658
Interest receivable		16,071			15,376			15,712			15,831			18,325
Bank owned life insurance		50,362			50,116			49,695			49,275			48,868
Goodwill		60,605			60,605			60,605			60,605			60,605
Core deposit premiums		1,685			1,917			2,140			2,363			1,612
Other assets		18,562			20,307			18,296			29,784			20,515
Total assets	$	3,333,108		$	3,259,786		$	3,261,168		$	3,284,451		$	3,379,256

LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits:
Non-interest bearing transaction accounts	$	535,663		$	494,982		$	463,689		$	436,272		$	416,343
Interest bearing transaction accounts and savings deposits		1,228,495			1,201,174			1,222,299			1,216,903			1,239,736
Time deposits less than $100,000		508,847			518,855			532,462			570,426			617,288
Time deposits greater than $100,000		388,470			383,688			379,289			370,004			364,481
Total deposits		2,661,475			2,598,699			2,597,739			2,593,605			2,637,848
Federal funds purchased and securities
sold under agreements to repurchase		107,750			93,067			98,919			114,491			111,594
Short-term debt		396			579			828			865			2,094
Long-term debt		122,086			123,136			125,357			139,728			166,774
Accrued interest and other liabilities		31,303			35,683			33,954			34,480			67,113
Total liabilities		2,923,010			2,851,164			2,856,797			2,883,169			2,985,423
Total stockholders' equity		410,098			408,622			404,371			401,282			393,833
Total liabilities and stockholders' equity	$	3,333,108		$	3,259,786		$	3,261,168		$	3,284,451		$	3,379,256

Simmons First National Corporation										SFNC
Consolidated Statements of Income - Quarter-to-Date
For the Quarters Ended	Dec 31			Sep 30		Jun 30		Mar 31		Dec 31
(Unaudited)	2011			2011		2011		2011		2010
(in thousands, except per share data)
INTEREST INCOME
Loans	$	23,370		$	24,366	$	23,883	$	24,094	$	25,649
Covered loans		4,513			3,917		4,347		4,341		3,127
Federal funds sold		1			3		1		1		3
Investment securities		3,568			3,539		3,771		3,705		4,030
Mortgage loans held for sale		198			130		87		88		286
Assets held in trading accounts		7			8		9		9		10
Interest bearing balances due from banks		324			243		298		235		234
TOTAL INTEREST INCOME		31,981			32,206		32,396		32,473		33,339
INTEREST EXPENSE
Time deposits		2,577			2,738		2,865		3,134		3,500
Other deposits		779			856		934		1,042		1,156
Federal funds purchased and securities
sold under agreements to repurchase		118			113		103		116		134
Short-term debt		14			13		12		12		13
Long-term debt		1,196			1,207		1,232		1,335		2,260
TOTAL INTEREST EXPENSE		4,684			4,927		5,146		5,639		7,063
NET INTEREST INCOME		27,297			27,279		27,250		26,834		26,276
Provision for loan losses		2,831			2,842		3,328		2,675		3,733
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES		24,466			24,437		23,922		24,159		22,543
NON-INTEREST INCOME
Trust income		1,416			1,370		1,243		1,346		1,416
Service charges on deposit accounts		4,289			4,450		4,212		3,857		4,272
Other service charges and fees		699			695		780		806		716
Income on sale of mortgage loans, net of commissions		1,464			1,249		849		626		2,033
Income on investment banking, net of commissions		294			203		381		600		486
Credit card fees		4,318			4,303		4,264		3,943		4,448
Premiums on sale of student loans		-			-		-		-		-
Bank owned life insurance income		403			261		414		403		410
Gain on sale of securities		-			-		-		-		317
Gain on FDIC-assisted transactions		-			-		-		-		18,277
Other income		(41	)		1,191		2,221		1,051		1,286
TOTAL NON-INTEREST INCOME		12,842			13,722		14,364		12,632		33,661
NON-INTEREST EXPENSE
Salaries and employee benefits		15,973			15,533		16,436		17,116		15,692
Occupancy expense, net		1,930			2,224		2,100		2,189		2,176
Furniture and equipment expense		1,721			1,763		1,560		1,589		1,530
Other real estate and foreclosure expense		146			215		223		94		298
Deposit insurance		295			211		842		1,039		914
Merger related costs		-			-		167		190		2,034
Other operating expenses		8,380			7,687		7,364		7,758		7,846
TOTAL NON-INTEREST EXPENSE		28,445			27,633		28,692		29,975		30,490
NET INCOME BEFORE INCOME TAXES		8,863			10,526		9,594		6,816		25,714
Provision for income taxes		2,558			3,269		2,848		1,750		9,154
NET INCOME	$	6,305		$	7,257	$	6,746	$	5,066	$	16,560
BASIC EARNINGS PER SHARE	$	0.37		$	0.42	$	0.39	$	0.29	$	0.96
DILUTED EARNINGS PER SHARE	$	0.37		$	0.42	$	0.39	$	0.29	$	0.96

Simmons First National Corporation									SFNC
Consolidated Statements of Income - Year-to-Date
For the Quarters Ended	Dec 31		Sep 30		Jun 30		Mar 31		Dec 31
(Unaudited)	2011		2011		2011		2011		2010
(in thousands, except per share data)
INTEREST INCOME
Loans	$	95,713	$	72,343	$	47,977	$	24,094	$	106,062
Covered loans		17,118		12,605		8,688		4,341		4,204
Federal funds sold		6		5		2		1		15
Investment securities		14,583		11,015		7,476		3,705		17,208
Mortgage loans held for sale		503		305		175		88		715
Assets held in trading accounts		33		26		18		9		30
Interest bearing balances due from banks		1,100		776		533		235		721
TOTAL INTEREST INCOME		129,056		97,075		64,869		32,473		128,955
INTEREST EXPENSE
Time deposits		11,314		8,737		5,999		3,134		14,310
Other deposits		3,611		2,832		1,976		1,042		5,227
Federal funds purchased and securities
sold under agreements to repurchase		450		332		219		116		532
Short-term debt		51		37		24		12		58
Long-term debt		4,970		3,774		2,567		1,335		6,879
TOTAL INTEREST EXPENSE		20,396		15,712		10,785		5,639		27,006
NET INTEREST INCOME		108,660		81,363		54,084		26,834		101,949
Provision for loan losses		11,676		8,845		6,003		2,675		14,129
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES		96,984		72,518		48,081		24,159		87,820
NON-INTEREST INCOME
Trust income		5,375		3,959		2,589		1,346		5,179
Service charges on deposit accounts		16,808		12,519		8,069		3,857		17,700
Other service charges and fees		2,980		2,281		1,586		806		2,812
Income on sale of mortgage loans, net of commissions		4,188		2,724		1,475		626		4,810
Income on investment banking, net of commissions		1,478		1,184		981		600		2,236
Credit card fees		16,828		12,510		8,207		3,943		16,140
Premiums on sale of student loans		-		-		-		-		2,524
Bank owned life insurance income		1,481		1,078		817		403		1,670
Gain on sale of securities		-		-		-		-		317
Gain on FDIC-assisted transactions		-		-		-		-		21,314
Other income		4,422		4,463		3,272		1,051		3,229
TOTAL NON-INTEREST INCOME		53,560		40,718		26,996		12,632		77,931
NON-INTEREST EXPENSE
Salaries and employee benefits		65,058		49,085		33,552		17,116		60,731
Occupancy expense, net		8,443		6,513		4,289		2,189		7,808
Furniture and equipment expense		6,633		4,912		3,149		1,589		6,093
Other real estate and foreclosure expense		678		532		317		94		974
Deposit insurance		2,387		2,092		1,881		1,039		3,813
Merger related costs		357		357		357		190		2,611
Other operating expenses		31,189		22,809		15,122		7,758		29,290
TOTAL NON-INTEREST EXPENSE		114,745		86,300		58,667		29,975		111,320
NET INCOME BEFORE INCOME TAXES		35,799		26,936		16,410		6,816		54,431
Provision for income taxes		10,425		7,867		4,598		1,750		17,314
NET INCOME	$	25,374	$	19,069	$	11,812	$	5,066	$	37,117
BASIC EARNINGS PER SHARE	$	1.47	$	1.10	$	0.68	$	0.29	$	2.16
DILUTED EARNINGS PER SHARE	$	1.47	$	1.10	$	0.68	$	0.29	$	2.15

Simmons First National Corporation													SFNC
Consolidated Risk-Based Capital
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands)
Tier 1 capital
Stockholders' equity	$	407,911		$	407,659		$	403,860		$	399,547		$	397,371
Trust preferred securities, net allowable		30,000			30,000			30,000			30,000			30,000
Disallowed intangible assets, net of deferred tax		(47,889	)		(48,403	)		(48,923	)		(49,447	)		(49,953	)
Unrealized gain on AFS securities		(439	)		(630	)		(691	)		(417	)		(512	)

Total Tier 1 capital		389,583			388,626			384,246			379,683			376,906

Tier 2 capital
Qualifying unrealized gain on AFS equity securities		9			6			17			14			7
Qualifying allowance for loan losses		22,682			23,337			22,825			22,700			23,553

Total Tier 2 capital		22,691			23,343			22,842			22,714			23,560

Total risk-based capital	$	412,274		$	411,969		$	407,088		$	402,397		$	400,466

Risk weighted assets	$	1,805,585		$	1,859,657		$	1,819,494		$	1,809,241		$	1,879,832

Adjusted average assets for leverage ratio	$	3,284,379		$	3,210,283		$	3,211,310		$	3,234,262		$	3,327,825

Ratios at end of quarter
Equity to assets		12.29	%		12.38	%		12.38	%		12.22	%		11.98	%
Tangible common equity to tangible assets		10.61	%		10.69	%		10.66	%		10.50	%		10.28	%
Tier 1 leverage ratio		11.86	%		12.11	%		11.97	%		11.74	%		11.33	%
Tier 1 risk-based capital ratio		21.58	%		20.90	%		21.12	%		20.99	%		20.05	%
Total risk-based capital ratio		22.83	%		22.15	%		22.37	%		22.24	%		21.30	%

Simmons First National Corporation									SFNC
Consolidated Loans and Investments
For the Quarters Ended	Dec 31		Sep 30		Jun 30		Mar 31		Dec 31
(Unaudited)	2011		2011		2011		2011		2010
(in thousands)
Loan Portfolio - End of Period (1)
Consumer
Credit cards	$	189,970	$	182,886	$	181,216	$	176,544	$	190,329
Student loans		47,419		50,620		53,574		57,181		61,305
Other consumer		109,211		112,947		107,411		110,954		118,581
Total consumer		346,600		346,453		342,201		344,679		370,215
Real Estate
Construction		109,825		113,317		139,217		142,261		153,772
Single-family residential		355,094		353,917		355,566		358,152		364,442
Other commercial		536,372		550,410		540,011		546,659		548,360
Total real estate		1,001,291		1,017,644		1,034,794		1,047,072		1,066,574
Commercial
Commercial		141,422		138,724		142,897		144,298		150,501
Agricultural		85,728		123,873		104,526		72,205		86,171
Total commercial		227,150		262,597		247,423		216,503		236,672
Other		4,728		4,847		9,242		11,120		10,004
Total Loans	$	1,579,769	$	1,631,541	$	1,633,660	$	1,619,374	$	1,683,465

(1) Excludes loans covered by FDIC loss share agreements.

Investment Securities - End of Period
Held-to-Maturity
U.S. Treasury	$	4,000	$	4,000	$	4,000	$	4,000	$	4,000
U.S. Government agencies		308,779		291,795		190,294		289,844		249,844
Mortgage-backed securities		62		67		70		75		78
State and political subdivisions		211,673		207,510		211,071		206,896		210,331
Other securities		930		930		930		930		930
Total held-to-maturity		525,444		504,302		406,365		501,745		465,183
Available-for-Sale
U.S. Government agencies		153,627		121,939		157,836		97,830		125,469
Mortgage-backed securities		2,557		2,624		2,664		2,657		2,789
FHLB stock		6,237		6,231		8,604		9,604		11,508
Other securities		9,791		9,785		9,749		9,756		8,713
Total available-for-sale		172,212		140,579		178,853		119,847		148,479
Total investment securities	$	697,656	$	644,881	$	585,218	$	621,592	$	613,662
Fair value - HTM investment securities	$	532,206	$	511,617	$	411,531	$	505,150	$	466,907

Investment Securities - QTD Average
Taxable securities	$	466,369	$	418,179	$	415,101	$	405,257	$	435,839
Tax exempt securities		208,803		207,240		207,717		207,956		207,123
Total investment securities - QTD average	$	675,172	$	625,419	$	622,818	$	613,213	$	642,962

Simmons First National Corporation													SFNC
Consolidated Allowance and Asset Quality
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands)
Allowance for Loan Losses
Balance, beginning of quarter	$	29,151		$	27,796		$	27,905		$	26,416		$	25,682
Loans charged off
Credit cards		1,262			1,140			1,145			1,156			1,218
Other consumer		530			450			621			289			560
Real estate		885			255			1,682			343			1,361
Commercial		226			345			745			95			567
Total loans charged off		2,903			2,190			4,193			1,883			3,706

Recoveries of loans previously charged off
Credit cards		244			261			237			237			225
Other consumer		100			219			131			154			128
Real estate		436			151			147			247			275
Commercial		249			72			241			59			79
Total recoveries		1,029			703			756			697			707
Net loans charged off		1,874			1,487			3,437			1,186			2,999
Provision for loan losses		2,831			2,842			3,328			2,675			3,733
Balance, end of quarter	$	30,108		$	29,151		$	27,796		$	27,905		$	26,416

Non-performing assets (1)
Non-performing loans
Nonaccrual loans
Real estate	$	10,315		$	12,810		$	11,823		$	12,872		$	8,345
Commercial		1,253			1,177			1,583			1,173			1,314
Consumer		1,339			1,356			1,400			1,546			1,527
Total nonaccrual loans		12,907			15,343			14,806			15,591			11,186
Loans past due 90 days or more
Government guaranteed student loans		2,483			2,496			3,113			2,627			1,736
Other loans		785			777			721			1,117			969
Total loans past due 90 days or more		3,268			3,273			3,834			3,744			2,705
Total non-performing loans		16,175			18,616			18,640			19,335			13,891
Other non-performing assets
Foreclosed assets held for sale		22,887			22,159			22,441			23,686			23,204
Other non-performing assets		-			191			235			246			109
Total other non-performing assets		22,887			22,350			22,676			23,932			23,313
Total non-performing assets	$	39,062		$	40,966		$	41,316		$	43,267		$	37,204
Performing TDRs (troubled debt restructurings)	$	11,391		$	10,393		$	10,298		$	10,653		$	19,426

Ratios (1)
Allowance for loan losses to total loans		1.91	%		1.79	%		1.70	%		1.72	%		1.57	%
Allowance for loan losses to non-performing loans		186.14	%		156.59	%		149.12	%		144.32	%		190.17	%
Non-performing loans to total loans		1.02	%		1.14	%		1.14	%		1.19	%		0.83	%
Non-performing assets (including performing TDRs)
to total assets		1.52	%		1.56	%		1.58	%		1.65	%		1.71	%
Non-performing assets to total assets		1.18	%		1.24	%		1.27	%		1.32	%		1.12	%
Non-performing assets to total assets
(excluding Gov't guaranteed student loans)		1.10	%		1.17	%		1.17	%		1.24	%		1.07	%
Annualized net charge offs to total loans		0.47	%		0.36	%		0.85	%		0.29	%		0.70	%
Annualized net credit card charge offs to
total credit card loans		2.20	%		1.94	%		2.08	%		2.06	%		2.14	%
Annualized net charge offs to total loans
(excluding credit cards)		0.24	%		0.17	%		0.70	%		0.07	%		0.52	%
Past due loans >30 days (excluding nonaccrual)		0.82	%		0.71	%		0.87	%		1.41	%		0.95	%
Past due loans >30 days (excluding nonaccrual)
(excluding Gov't guaranteed student loans)		0.56	%		0.46	%		0.60	%		1.13	%		0.79	%

(1) Excludes assets covered by FDIC loss share agreements, except for their inclusion in total assets.

Simmons First National Corporation													SFNC
Consolidated - Net Interest Income Analysis
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010

ASSETS

Earning Assets
Interest bearing balances due from banks		0.24	%		0.21	%		0.25	%		0.21	%		0.23	%
Federal funds sold		0.51	%		0.52	%		0.72	%		0.70	%		0.99	%
Investment securities		2.81	%		3.02	%		3.23	%		3.27	%		3.24	%
Mortgage loans held for sale		3.92	%		4.12	%		4.47	%		4.79	%		4.08	%
Assets held in trading accounts		0.38	%		0.43	%		0.48	%		0.48	%		0.52	%
Loans, including covered loans (1)		6.29	%		6.16	%		6.22	%		6.23	%		5.84	%
Total interest earning assets		4.38	%		4.53	%		4.60	%		4.64	%		4.52	%


LIABILITIES

Interest bearing liabilities
Interest bearing transaction and
savings accounts		0.25	%		0.28	%		0.31	%		0.35	%		0.37	%
Time deposits		1.14	%		1.20	%		1.26	%		1.35	%		1.41	%
Total interest bearing deposits		0.63	%		0.68	%		0.71	%		0.79	%		0.83	%
Federal funds purchased and securities
sold under agreement to repurchase		0.43	%		0.48	%		0.42	%		0.41	%		0.48	%
Other borrowings		3.92	%		3.91	%		3.95	%		3.89	%		5.34	%
Total interest bearing liabilities		0.79	%		0.84	%		0.87	%		0.95	%		1.12	%

NET INTEREST MARGIN/SPREAD

Net interest spread		3.59	%		3.69	%		3.73	%		3.69	%		3.40	%
Net interest margin - quarter-to-date		3.76	%		3.86	%		3.90	%		3.87	%		3.60	%
Net interest margin - year-to-date		3.85	%		3.87	%		3.88	%		3.87	%		3.78	%

(1) Covered loans are loans covered by FDIC loss share agreements.

Simmons First National Corporation													SFNC
Consolidated - Selected Financial Data
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands, except share data)
QUARTER-TO-DATE
Diluted earnings per share	$	0.37		$	0.42		$	0.39		$	0.29		$	0.96
Core earnings (excludes nonrecurring items) (non-GAAP)		6,305			7,257			6,245			5,181			6,856
Diluted core earnings per share (non-GAAP)		0.37			0.42			0.36			0.30			0.40
Cash dividends declared per common share		0.19			0.19			0.19			0.19			0.19
Cash dividends declared - amount		3,271			3,296			3,297			3,292			3,282
Return on average stockholders' equity		6.10	%		7.05	%		6.69	%		5.12	%		16.68	%
Return on tangible equity		7.34	%		8.47	%		8.08	%		6.24	%		19.97	%
Return on average assets		0.75	%		0.88	%		0.83	%		0.63	%		1.94	%
Net interest margin (FTE)		3.76	%		3.86	%		3.90	%		3.87	%		3.60	%
FTE adjustment - investments		1,219			1,221			1,241			1,239			1,216
FTE adjustment - loans		12			12			13			13			14
Amortization of intangibles		214			222			224			224			211
Amortization of intangibles, net of taxes		130			135			136			136			128
Average shares outstanding		17,250,718			17,348,460			17,342,165			17,296,684			17,255,366
Average earning assets		3,008,249			2,931,339			2,931,602			2,945,951			3,034,347
Average interest bearing liabilities		2,356,044			2,320,499			2,359,154			2,412,417			2,501,967

YEAR-TO-DATE
Diluted earnings per share	$	1.47		$	1.10		$	0.68		$	0.29		$	2.15
Core earnings (excludes nonrecurring items) (non-GAAP)		24,988			18,683			11,426			5,181			26,041
Diluted core earnings per share (non-GAAP)		1.45			1.08			0.66			0.30			1.51
Cash dividends declared per common share		0.76			0.57			0.38			0.19			0.76
Cash dividends declared - amount		13,156			9,885			6,589			3,292			13,091
Return on average stockholders' equity		6.25	%		6.30	%		5.91	%		5.12	%		9.69	%
Return on tangible equity		7.54	%		7.61	%		7.17	%		6.24	%		11.71	%
Return on average assets		0.77	%		0.78	%		0.73	%		0.63	%		1.18	%
Net interest margin (FTE)		3.85	%		3.87	%		3.88	%		3.87	%		3.78	%
FTE adjustment - investments		4,920			3,701			2,480			1,239			4,954
FTE adjustment - loans		50			38			26			13			58
Amortization of intangibles		884			670			448			224			786
Amortization of intangibles, net of taxes		537			407			272			136			483
Average shares outstanding		17,309,488			17,329,293			17,319,550			17,296,684			17,204,200
Average diluted shares outstanding		17,317,850			17,338,676			17,352,606			17,329,740			17,264,900
Average earning assets		2,954,285			2,936,297			2,938,777			2,945,951			2,826,718
Average interest bearing liabilities		2,362,028			2,364,023			2,385,787			2,412,417			2,340,838

END OF PERIOD
Book value per share	$	23.70		$	23.52		$	23.28		$	23.06		$	23.01
Tangible book value per share		20.09			19.92			19.67			19.43			19.36
Shares outstanding		17,212,317			17,329,775			17,348,775			17,327,601			17,271,594
Full-time equivalent employees		1,083			1,070			1,095			1,082			1,075
Total number of ATM's		102			102			102			103			103
Total number of financial centers		84			84			84			85			85
Parent company only - investment in subsidiaries		381,236			379,331			375,686			372,773			370,402
Parent company only - intangible assets		133			133			133			133			133

Simmons First National Corporation													SFNC
Consolidated - Reconciliation of Core Earnings (non-GAAP)
For the Quarters Ended	Dec 31			Sep 30			Jun 30			Mar 31			Dec 31
(Unaudited)	2011			2011			2011			2011			2010
(in thousands, except per share data)
QUARTER-TO-DATE
Net Income	$	6,305		$	7,257		$	6,746		$	5,066		$	16,560
Nonrecurring items
Gain on sale of MasterCard stock (1)		-			-			(1,132	)		-			-
Gain on FDIC-assisted transactions		-			-			-			-			(18,277	)
Merger related costs		-			-			167			190			2,034
Gains from sale of securities (2)		-			-			-			-			(318	)
FHLB prepayment penalties (3)		-			-			-			-			594
Branch right sizing		-			-			141			-			-
Tax effect (4)		-			-			323			(75	)		6,263
Net nonrecurring items		-			-			(501	)		115			(9,704	)
Core earnings (non-GAAP)	$	6,305		$	7,257		$	6,245		$	5,181		$	6,856

Diluted earnings per share	$	0.37		$	0.42		$	0.39		$	0.29		$	0.96
Nonrecurring items
Gain on sale of MasterCard stock (1)		-			-			(0.07	)		-			-
Gain on FDIC-assisted transactions		-			-			-			-			(1.05	)
Merger related costs		-			-			0.01			0.01			0.12
Gains from sale of securities (2)		-			-			-			-			(0.02	)
FHLB prepayment penalties (3)		-			-			-			-			0.03
Branch right sizing		-			-			0.01			-			-
Tax effect (4)		-			-			0.02			-			0.36
Net nonrecurring items		-			-			(0.03	)		0.01			(0.56	)
Diluted core earnings per share (non-GAAP)	$	0.37		$	0.42		$	0.36		$	0.30		$	0.40

YEAR-TO-DATE
Net Income	$	25,374		$	19,069		$	11,812		$	5,066		$	37,117
Nonrecurring items
Gain on sale of MasterCard stock (1)		(1,132	)		(1,132	)		(1,132	)		-			-
Gain on FDIC-assisted transactions		-			-			-			-			(21,314	)
Merger related costs		357			357			357			190			2,611
Gains from sale of securities (2)		-			-			-			-			(318	)
FHLB prepayment penalties (3)		-			-			-			-			594
Branch right sizing		141			141			141			-			372
Tax effect (4)		248			248			248			(75	)		6,979
Net nonrecurring items		(386	)		(386	)		(386	)		115			(11,076	)
Core earnings (non-GAAP)	$	24,988		$	18,683		$	11,426		$	5,181		$	26,041

Diluted earnings per share	$	1.47		$	1.10		$	0.68		$	0.29		$	2.15
Nonrecurring items
Gain on sale of MasterCard stock (1)		(0.07	)		(0.07	)		(0.07	)		-			-
Gain on FDIC-assisted transactions		-			-			-			-			(1.23	)
Merger related costs		0.02			0.02			0.02			0.01			0.15
Gains from sale of securities (2)		-			-			-			-			(0.02	)
FHLB prepayment penalties (3)		-			-			-			-			0.03
Branch right sizing		0.01			0.01			0.01			-			0.02
Tax effect (4)		0.02			0.02			0.02			-			0.41
Net nonrecurring items		(0.02	)		(0.02	)		(0.02	)		0.01			(0.64	)
Diluted core earnings per share (non-GAAP)	$	1.45		$	1.08		$	0.66		$	0.30		$	1.51

(1) Gain from liquidation of Class B shares received as part of MasterCard's 2006 IPO.

(2) Gains from sale of securities marked for sale at time of FDIC-assisted transaction.

(3) Penalties for prepayment of FHLB advances marked for sale at time of FDIC-assisted transaction.

(4) Effective tax rate of 39.225%; 2010 adjusted for additional fair value deduction related to donation of closed branch.

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