BankAtlantic Bancorp Reports Financial Results for the Third Quarter, 2009

BankAtlantic Bancorp, Inc. (NYSE:BBX) today reported a net loss from continuing operations of ($52.1) million, or ($3.45) per diluted share for the quarter ended September 30, 2009, compared to a net loss from continuing operations of ($38.4) million, or ($2.54) per diluted share for the quarter ended June 30, 2009, and a net loss from continuing operations of ($11.0) million, or ($0.73) per diluted share for the quarter ended September 30, 2008.

The increased loss was primarily the result of a higher loan loss provision in the current quarter at both BankAtlantic and the Parent company, and to a lesser extent, when compared to the 2008 third quarter, the elimination of tax benefits (due to a full deferred tax allowance since the fourth quarter of 2008).

BankAtlantic Bancorp’s Chairman and Chief Executive Officer, Alan B. Levan, commented, "We welcome the news from economists that the current recession may now be easing. However, the present environment continues to be extraordinarily demanding and presents challenges for both our customers and our industry. As we address these challenges, our management team remains dedicated to navigating through the current challenges and focusing on long-term strategies. These strategies include continuing to build our low-cost deposits, improving efficiency in our operations, de-leveraging our balance sheet, maintaining appropriate levels of capital, implementing strategies for diversifying our loan portfolio, and, above all, growing and building strong customer relationships. We believe the foundation provided by these long-term efforts will position BankAtlantic well in a post-recessionary environment.”

⁽¹⁾ Core deposits is a term that we use to refer to Demand, NOW and Savings accounts. A reconciliation of core deposits to total deposits is included in BankAtlantic Bancorp’s Third Quarter 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the "Investor Relations” section and click on the "Quarterly Financials or Supplemental Financials” navigation links.

"During the third quarter, BankAtlantic Bancorp ("the Company’) successfully completed a rights offering, raising approximately $76 million in capital from existing shareholders. The Company chose to contribute $75 million of this new capital directly into BankAtlantic. As a result, BankAtlantic’s regulatory capital ratios are at their highest levels in the last decade. BankAtlantic’s capital ratios at September 30, 2009 were:

• Tangible capital/tangible assets of 8.4%
• Core capital of 8.3% (vs. regulatory well-capitalized level of 5%)
• Tier 1 risk-based capital of 11.6% (vs. regulatory well-capitalized level of 6%)
• Total risk-based capital of 13.5% (vs. regulatory well-capitalized level of 10%)

"Additionally, despite the higher loan loss provision in the third quarter, we continue to be very pleased with BankAtlantic’s core business results. Highlights for the third quarter of 2009 include:

• "Core deposits have grown to record high balances, while our borrowings are at their lowest levels in nearly two decades;
• "Pre-tax core operating earnings⁽²⁾, non-interest income, non-interest expense and net interest margin all improved compared to both the 2009 second quarter and the 2008 third quarter;
• "Total non-interest expenses, including what we consider core expenses⁽³⁾, are at their lowest levels since 2005;
• "Total non-accrual loans declined slightly, including a net decrease in commercial real estate non-performing loans; total non-performing assets were essentially flat during the quarter;

• "Even after absorbing an increase in quarterly charge-offs, our allowance for loan losses is at the highest level in BankAtlantic’s history.”

⁽²⁾ Pre-tax core operating earnings is a non-GAAP measure that we use to refer to pre-tax earnings before provision for loan losses, tax certificate provisions, debt redemption costs, FDIC special assessments and impairment, restructuring and exit activities. A reconciliation of loss from bank operations to pre-tax core operating earnings is included in BankAtlantic Bancorp’s Third Quarter 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the "Investor Relations” section and click on the "Quarterly Financials or Supplemental Financials” navigation links.

⁽³⁾ Core expense is a non-GAAP measure that we use to refer to total non-interest expenses excluding tax certificate provisions, debt redemption costs, FDIC special assessments, impairments, restructuring and exit activities. A reconciliation of total expense to core expense is included in BankAtlantic Bancorp’s Third Quarter 2009 Supplemental Financials available at www.BankAtlanticBancorp.com. To view the financial data, access the "Investor Relations” section and click on the "Quarterly Financials or Supplemental Financials” navigation links.

"Our strategy throughout the last two years’ challenging economic environment has been to focus on managing credit, maintaining appropriate capital levels and improving core operating earnings. We believe our efforts have produced positive results. Deposits are up significantly. Capital ratios have increased. Margin is up, and expenses and leverage are down. We are proud of these achievements and intend to continue to focus on our fundamental strategies through the remainder of this economic cycle and to provide exceptional local service to our customers as we have for over 57 years,” concluded Alan B. Levan.

BankAtlantic Performance:

Deposits and Liquidity – BankAtlantic’s Chief Executive Officer, Jarett S. Levan, commented, "BankAtlantic’s deposit base continues to be a stable and growing funding source with core deposits exceeding last quarter’s then record levels. This accomplishment is particularly significant given the seasonality that has traditionally resulted in decreased deposits during the third quarter. This year we continued to experience growth in core deposits during the third quarter.

• "Core and total deposits at September 30, 2009 were $2.5 billion and $4.0 billion, respectively, with the following strong characteristics:
  • Non-CD balances represented approximately 71.9% of total deposits;
  • The average cost of core deposits and total deposits for the third quarter of 2009 was 0.37% and 0.92%, respectively; and
  • Brokered deposit balances continued to decrease and now represent only 3.0% of assets.
• "During the third quarter of 2009:
  • Core deposits (Demand, NOW and Savings accounts) increased $45.5 million.
  • Notwithstanding growth in core deposits, total deposits declined by $95.6 million, as core deposit growth was partially offset by decreases in brokered deposits of $78.0 million and decreases in other non-core deposit categories of $63.1 million.
  • The cost of total deposits improved, decreasing 21 basis points.

• "Year-to-date 2009:
  • Core deposits increased approximately $319.9 million.
  • Total deposits increased approximately $33.1 million as the strong growth in core deposits offset net declines in non-core accounts.

"Further, BankAtlantic continued to reduce its borrowings significantly, resulting in September 30, 2009 borrowings of $416.6 million, or 8.5% of total assets. Our organically grown low-cost deposit base, combined with low levels of brokered deposits and borrowings reflect the fundamental strength of our franchise, particularly when considering the current economic environment and competitive pressures.

• "During the third quarter of 2009, borrowings were reduced by $250.3 million, or 37.5%.
• "Since September 30, 2008, borrowings have been reduced by $1.2 billion, or 74.3%.
• "BankAtlantic’s ratio of total borrowings to deposits plus borrowings was 9.5% at September 30, 2009 compared to 14.1% at June 30, 2009 and 29.5% at September 30, 2008.

Net Income – "BankAtlantic’s pre-tax loss was ($35.3) million for the third quarter of 2009, compared to a pre-tax loss of ($24.2) million for the second quarter of 2009 and a pre-tax loss of ($4.6) million for the third quarter of 2008. Pretax core operating earnings (as defined above) for the third quarter of 2009 improved to $23.9 million compared to $18.9 million in the second quarter of 2009, and $21.7 million in the third quarter of 2008. Loan loss and tax certificate provisions, debt redemption costs, FDIC special assessments, and impairment, restructuring and exit activity expenses, which are not included in pre-tax core operating earnings, were ($59.2) million for the third quarter of 2009, ($43.1) million for the second quarter of 2009, and ($26.3) million for the third quarter of 2008.

Net Interest Margin – "We have proactively de-leveraged our balance sheet and reduced assets through repayment of borrowings with funds from scheduled payments and pay downs on loans and securities, and sales of investment securities. As a result, our average earning assets have declined by $288.9 million from the second quarter 2009 and by $1.13 billion from the third quarter 2008. Additionally, while non-performing asset levels have not changed significantly since June 30, 2009, they have increased by $216.6 million since September 30, 2008. At the same time, in spite of these significant balance sheet pressures, BankAtlantic’s net interest margin has remained stable due in part to restructuring efforts, growth in our low-cost deposit base, and disciplined pricing.

• "Net interest income for the third quarter of 2009 was $41.5 million compared to $40.1 million during the second quarter of 2009 and $51.2 million in the third quarter of 2008.
• "Net interest margin during the third quarter of 2009 was 3.59%, a 35 basis point improvement from 3.24% during the second quarter of 2009, and a three basis point improvement from 3.56% during the third quarter of 2008. Net interest spread during the third quarter of 2009 was 3.33%, improved by 41 basis points from 2.92% during the second quarter of 2009, and improved by 17 basis points from 3.16% during the third quarter of 2008.
• "This significant improvement in net interest spread from the second quarter of 2009 was primarily due to lower average rates on borrowings and certificates of deposit due to scheduled maturities and repayment of higher cost borrowings. The impact of the net interest spread improvement on the net interest income and margin was partially offset by a $288.9 million decline of average earning assets during the 2009 third quarter.
• "The improvement in net interest spread from the third quarter of 2008 was largely the result of changes in the funding mix associated with growth in core deposits and the repayment of FHLB advances. The decline in net interest income and margin from the third quarter of 2008, however, was primarily due to the impact of the $1.1 billion decline in average earning assets, which served to offset the net interest spread improvements.

Non-interest income – "Total non-interest income for the third quarter of 2009 was $35.5 million compared to $32.8 million in the second quarter of 2009, and $33.9 million for the comparable 2008 period.

"Excluding securities gains of $4.8 million and $2.1 million in the third and second quarters of 2009, respectively, non-interest income was flat at $30.7 million in the third and second quarters of 2009 compared to $33.9 million during the third quarter of 2008. Service charges on deposits declined from the prior year reflecting changes in customer behavior combined with changes in our customer mix as a result of our relationship driven deposit gathering strategies.

Non-interest expense – "Expense reduction initiatives have continued to result in cost savings. As noted above, BankAtlantic’s core and total non-interest expenses are both at their lowest quarterly levels since 2005.

• "Total expenses in the third quarter of 2009 were $60.0 million, improved from $61.1 million during the second quarter of 2009, and improved from $66.8 million in the third quarter of 2008.
• "Core expenses (as defined above) in the third quarter of 2009 were $53.1 million, improved from $54.0 million during the second quarter of 2009, and a 16.4% improvement over core expenses of $63.4 million during the third quarter of 2008.
• "Year-to-date, core expenses reflected a 16.3% improvement over the comparable nine-month period of 2008.

"Expenses not included in core expenses consisted of the following:

• "Costs associated with debt redemption of $5.4 million in the third quarter of 2009 compared to $1.4 million in the second quarter of 2009 and no costs in the third quarter of 2008. These costs were associated with the prepayment of certain FHLB borrowings as part of our balance sheet de-leveraging efforts.
• "Impairment, restructuring and exit charges of $1.7 million in the third quarter of 2009, compared to $1.8 million in the second quarter of 2009 and $0.5 million in the third quarter of 2008. The charges in the current quarter primarily related to impairments of property held for sale based on current reduced real estate values and lease exit costs.
• "Tax certificate provision of $(0.2) million net recovery in the third quarter of 2009 compared to $1.4 million expense in the second quarter of 2009 and $2.8 million expense in the third quarter of 2008. The net recovery in the current quarter was the result of a favorable law change affecting certain out of state tax certificates.
• "FDIC special assessment charges of $2.4 million in the second quarter of 2009 compared to $0 in the third quarters of 2009 and 2008.

Credit Risk Management:

• "The provision for loan losses in the third quarter of 2009 was $52.2 million, increasing BankAtlantic’s allowance for loan losses to $166.0 million at September 30, 2009. The provision represented 4.18% of total loans at September 30, 2009, compared to 3.79% at June 30, 2009 and 2.40% at September 30, 2008.
• "The provision for loan losses in the third quarter of 2009 primarily related to our Commercial Real Estate, Consumer and Residential Real Estate loan portfolios. These portfolios continued to experience elevated levels of delinquencies, charge-offs and non-accrual loans. In particular, the Commercial Real Estate portfolio continues to be adversely affected by declining collateral values and general economic conditions. While we are hopeful that recent indications of stabilizing residential real estate markets will result in improvements in the performance of our Residential and Consumer loan portfolios, we anticipate continued pressure over the near term on our primarily Florida-based Commercial Real Estate portfolio.
• "Third quarter 2009 net charge-offs were $43.1 million, compared to net charge-offs of $25.8 million in the second quarter of 2009, and net charge-offs of $14.9 million during the third quarter of 2008. The increase in net charge-offs was due primarily to continued declines in the value of the collateral for our non-accrual loans.
  • Third quarter 2009 net charge-offs included $21.5 million in the Commercial Real Estate loan portfolio, $12.3 million in the Consumer Loan portfolio, $7.0 million in the Residential Real Estate loan portfolio and $2.2 million in the Small Business loan portfolio.
• "Total non-accrual loans were $294.9 million at September 30, 2009, reflecting a slight decrease of $0.6 million from the prior quarter, but reflecting an increase of $205.1 million from September 30, 2008. The decrease in non-accrual loans during the third quarter of 2009 included a net decrease in Commercial Real Estate non-accrual loans of $14.4 million offset by a net increase of $11.3 million in Residential Real Estate non-accrual loans and a net increase of $2.2 million in Commercial business non-accrual loans. The decline in non-accrual loans was the result of the increased charge-offs discussed above.
• "Total non-performing assets were $328.7 million at September 30, 2009, a decrease of $90,000 from June 30, 2009, but an increase of $216.6 million from September 30, 2008.

"Other credit information for BankAtlantic’s three largest loan portfolios is further detailed below.

Commercial Real Estate Loans – "We continue to experience losses in our $1.2 billion commercial real estate portfolio as the economic environment continues to impact our borrowers and the values of the underlying collateral.

• "Net charge-offs increased for the third quarter of 2009 to $21.5 million, compared to net charge-offs in the prior 2009 quarter of $10.5 million.
• "Delinquencies, excluding non-accrual loans, decreased to $12.5 million or 1.07% of total loans at September 30, 2009, compared to $22.8 million or 1.90% of total loans at June 30, 2009.
• "Total Commercial Real Estate non-accrual loans decreased by $14.4 million during the third quarter to $189.7 million at September 30, 2009, with increases in non-accrual loan balances offset primarily by charge-offs.
• "The allowance coverage for Commercial Real Estate loans was increased during the third quarter to 7.6% of the related portfolio primarily due to declines in underlying collateral values.

At September 30, 2009, BankAtlantic’s Commercial Real Estate loan portfolio included the following:

• "Commercial residential land acquisition, development and construction loans consisting of:
  • Builder land bank loans: Consisting of 7 loans aggregating $47.6 million, including 6 loans aggregating $46.5 million on non-accrual at September 30, 2009.
  • Land acquisition and development loans: Consisting of 30 loans aggregating $189.3 million, including 9 loans aggregating $60.3 million on non-accrual at September 30, 2009.
  • Land acquisition, development and construction loans: Consisting of 6 loans aggregating $16.2 million, including 1 loan aggregating $6.7 million on non-accrual at September 30, 2009.
• "Commercial land loans: Consisting of 30 loans aggregating $109.5 million, including 6 loans aggregating $40.9 million on non-accrual at September 30, 2009.
• "All other Commercial real estate loans: Portfolio of $808.4 million, including 13 loans aggregating $35.4 million on non-accrual at September 30, 2009.

Residential Loans – "Our Residential loan portfolio was $1.6 billion at September 30, 2009, representing 41.3% of the Bank’s total loans. The purchased residential loan portfolio (representing 95% of the total residential loan portfolio) consists of approximately 5,400 first mortgage loans secured by properties throughout the United States, the weighted average FICO score of borrowers in this portfolio was 740 at the time of origination and the original back end debt ratio, which we calculate as the ratio of total debt payments (inclusive of the fully amortizing residential loan) to income, was a weighted average of 33.6%. Standard products in this portfolio have never included subprime, negative amortizing, option-arm or ‘pick-a-payment’ loans.

• "Non-accrual balances increased during the third quarter of 2009 by $11.3 million to $76.0 million at September 30, 2009.
• "Delinquencies, excluding non-accrual loans, remained basically unchanged at $24.9 million (compared to $24.4 million at June 30, 2009); however these delinquencies as a percent of the portfolio increased to 1.52% at September 30, 2009, compared to 1.39% of the portfolio at June 30, 2009 due to reductions in the size of the portfolio at September 30, 2009.
• "Net charge-offs in the third quarter of 2009 increased to $7.0 million versus $3.6 million in the second quarter of 2009.
• "The allowance coverage for Residential loans was increased during the third quarter of 2009 to 1.45% of the related portfolio reflecting increased non-accrual balances and the decline in certain underlying collateral values.

"We continue to expect that the delinquency levels and loss trends in the Residential portfolio will continue to mirror the broader economy and unemployment trends.

Consumer Loans - "Our Consumer Loan portfolio had an outstanding balance of $693.0 million at September 30, 2009. BankAtlantic does not have a credit card portfolio; home equity loans represent 98% of this Consumer portfolio. All of our home equity loans were originated by us in our local markets with central underwriting. Approximately 24% of the loans in this portfolio are secured by first mortgages.

• "Non-accrual balances decreased slightly during the third quarter of 2009 by $0.5 million to $11.3 million at September 30, 2009.
• "Delinquencies, excluding non-accrual loans, increased to $13.7 million or 1.97% of the portfolio at September 30, 2009, compared to $9.9 million or 1.40% of the portfolio at June 30, 2009. We believe the increase in delinquencies during the quarter may have resulted in part from actions we took at the end of the second quarter 2009 to reduce credit availability on certain higher risk lines of credit.
• "Net charge-offs in the third quarter of 2009 increased to $12.3 million versus $9.0 million in the second quarter of 2009, however we believe this increase may have been primarily due to the timing of billing and charge-off cycles between the second and third quarters.
• "The allowance coverage for Consumer loans was increased during the third quarter of 2009 to 6.02% of the related portfolio reflecting increased delinquencies and the decline in certain underlying collateral values.

"We continue to work diligently with borrowers experiencing difficulties, and continue to believe delinquency and charge-off trends in this portfolio will mirror the Florida economy, unemployment trends and declines in housing prices.

Capital

"During the third quarter of 2009, management continued to focus on capital levels. Capital ratios at September 30, 2009 remained well above all of the regulatory defined well-capitalized thresholds. Capital ratios at September 30, 2009 were:

• Core capital 8.3% (vs. regulatory well capitalized level of 5%)
• Tier 1 risk-based capital 11.6% (vs. regulatory well capitalized level of 6%)
• Total risk-based capital 13.5% (vs. regulatory well capitalized level of 10%)
• Tangible capital/tangible assets 8.4%.

Key activities during the third quarter of 2009 which impacted capital levels included:

• Reduced total and risk-based assets through balance sheet de-leveraging activities (primarily through repayment of borrowings with proceeds from scheduled loan and securities payments and pay downs, and sales of investment securities);
• Capital contribution of $75 million from BankAtlantic Bancorp; and
• Continued suspension of dividends from BankAtlantic.”

BankAtlantic Bancorp:

Alan B. Levan further commented, "As noted previously, during the third quarter of 2009, BankAtlantic Bancorp completed its rights offering and received approximately $76 million of proceeds in connection with the exercise of rights by its shareholders. As a result, Bancorp issued an aggregate of approximately 38 million shares of its Class A Common Stock to participating shareholders. Upon completion of the rights offering, the Company and BankAtlantic reported that they were withdrawing their application to participate in the U.S. Treasury’s Capital Purchase Program.

"On September 30, 2009, Bancorp contributed $75.0 million in capital to BankAtlantic. While BankAtlantic did not require this capital contribution to maintain well-capitalized levels, Bancorp continues to demonstrate its intent to support BankAtlantic. Year-to-date, Bancorp has contributed $105 million in capital to BankAtlantic.

Asset Workout Subsidiary – "As previously discussed, during the first quarter of 2008, Bancorp formed a wholly-owned asset workout subsidiary and purchased certain non-accrual loans from BankAtlantic. These assets are no longer held by BankAtlantic, and any gain or loss associated with these assets has no impact on BankAtlantic’s operations or capital, but will be included in Bancorp’s consolidated results. These assets, as with all other assets and liabilities of Bancorp, should not be combined with those of BankAtlantic when evaluating and comparing metrics for BankAtlantic as the insured financial institution.

"The loans held by the workout subsidiary totaled $56.8 million with specific loan reserves of $18.7 million at September 30, 2009. During the third quarter of 2009, these loans were written-down by $8.1 million and one loan totaling $2.2 million was transferred to Real Estate Owned. The breakdown of the non-accrual loans held by the Company’s asset workout subsidiary at September 30, 2009 was as follows:

• "Builder land bank loans: Consisting of 3 loans aggregating $15.5 million.
• "Land acquisition and development loans: Consisting of 4 loans aggregating $14.0 million.
• "Land acquisition, development and construction loans: Consisting of 7 loans aggregating $18.5 million.
• "Commercial business loans: Consisting of 3 loans aggregating $5.6 million.

"We are hopeful that recently announced economic data are positive signs of an improved operating environment for our customers. While we must continue to be vigilant and prepared for continued economic stress, we look forward to a bright future for Florida, our customers and BankAtlantic,” concluded Alan B. Levan.

Additional detailed financial data for BankAtlantic (bank only), the Parent-BankAtlantic Bancorp, and consolidated BankAtlantic Bancorp are available at www.BankAtlanticBancorp.com.

To view the financial data, access the "Investor Relations” section and click on the "Quarterly Financials or Supplemental Financials” navigation links. Additionally, BankAtlantic’s financial information is provided quarterly to the OTS through Thrift Financial Reports, available to the public through the OTS and FDIC websites.

Additionally, copies of BankAtlantic Bancorp’s third quarter 2009 financial results press release and financial data are 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.

BankAtlantic Bancorp plans to host an investor and media teleconference call and webcast on Thursday, October 22, 2009, 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 should reference conference ID number 36178755.

A replay of the conference call will be available beginning two hours after the call’s completion through 5:00 p.m. Eastern Time, Thursday, November 5, 2009. To access the replay option in the U.S. and Canada, the toll free number to call is (800) 642-1687. International calls for the replay may be placed at (706) 645-9291. The replay digital conference ID number for both domestic and international calls is 36178755.

Webcast Information:

Alternatively, individuals may listen to the live and/or archived webcast of the teleconference call. To listen to the webcast, visit www.BankAtlanticBancorp.com, access the "Investor Relations” section and click on the "Webcast” navigation link, or go directly to http://www.visualwebcaster.com/event.asp?id=63091. The archive of the teleconference call will be available through 5:00 p.m. Eastern Time, Monday, November 23, 2009.

About BankAtlantic Bancorp:

BankAtlantic Bancorp (NYSE: BBX) is a bank holding company and the parent company of BankAtlantic.

About BankAtlantic:

BankAtlantic, Florida’s Most Convenient Bank, is one of the largest financial institutions headquartered in Florida. Via its broad network of community branches, online banking division - BankAtlantic.com, and conveniently located ATMs, BankAtlantic provides a full line of personal, small business and commercial banking products and services. BankAtlantic is open 7 days a week with extended weekday hours, Free Online Banking & Bill Pay, a 7-Day Customer Service Center and Change Exchange coin counters.

For further information, please visit our websites:
www.BankAtlanticBancorp.com
www.BankAtlantic.com

To receive future BankAtlantic Bancorp news releases or announcements directly via Email, please click on the Email Broadcast Sign Up button on our website: www.BankAtlanticBancorp.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. 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, including the impact of the changing regulatory environment, a continued or deepening recession, decreases in real estate values, and increased unemployment on our business generally, our regulatory capital ratios and the ability of our borrowers to service their obligations and of our customers to maintain account balances; credit risks and loan losses, and the related sufficiency of the allowance for loan losses, including the impact on the credit quality of our loans (including those held in the asset workout subsidiary of the Company) of a sustained downturn in the economy and in the real estate market and other changes in the real estate markets in our trade area, and where our collateral is located; the quality of our real estate based loans including our residential land acquisition and development loans (including Builder land bank loans, Land acquisition and development loans and Land acquisition, development and construction loans) as well as Commercial land loans, other Commercial real estate loans, and Commercial business loans, and conditions specifically in those market sectors; the risks of additional charge-offs, impairments and required increases in our allowance for loan losses; changes in interest rates and the effects of, and changes in, trade, monetary and fiscal policies and laws including their impact on the bank’s net interest margin; adverse conditions in the stock market, the public debt market and other financial and credit markets and the impact of such conditions on our activities, the value of our assets and on the ability of our borrowers to service their debt obligations and maintain account balances; BankAtlantic’s seven-day banking initiatives and other initiatives not resulting in continued growth of core deposits or increasing average balances of new deposit accounts or producing results which do not justify their costs; the success of our expense reduction initiatives and the ability to achieve additional cost savings; and the impact of periodic valuation testing of goodwill, deferred tax assets and other assets. Past performance, actual or estimated new account openings and growth may not be indicative of future results. 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, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2008. The Company cautions that the foregoing factors are not exclusive.