NasdaqGS : VPFG Financial Sector: Regional Banks Current Price: 12.89 DCF Value:15.83 % Upside:22.8%

1. NasdaqGS: VPFGFinancial Sector: Regional BanksCurrent Price: 12.89DCF Value:15.83% Upside:22.8% Danforth HolleyJacob McDonough Elizabeth Kim

2. Background • Founded in 1952. Headquarters: Plano, Texas • Full stock holding company for its wholly owned subsidiary, ViewPoint Bank • 23 community bank offices in Dallas/Fort Worth (DFW) Metroplex • 14 loan production offices in DFW: Houston, San Antonio, Austin, other Texas cities and Oklahoma • Warehouse Purchase Program- mortgage banking loans and real estate loans • Attract retail deposits, funds, and consumer loans

3. Background (continued) • Market Cap: 420.77 M • P/E Ratio: 17.9 • P/B Ratio: 0.98 • EPS: 0.72 • Div & Yield: .20 (1.50%) • 52 wk Range: 9.45-14.05

4. News • History of beating Earnings • In Sep 2010: Reported EPS at 0.17 vs. estimate at 0.09 (surprise of 88.9%) • In Dec 2010: Reported EPS at 0.2 vs. estimate at 0.16 (surprise of 25%) • In Mar 2011: Reported EPS at 0.2 vs. estimate at 0.19 (surprise of 5.3%) • In Jun 2011: Reported 0.15 vs. estimate at 0.13 (surprise of 15.4%). • Average beat of 33.3% to the upside • 8/26/11- Stock Repurchase Program • Plans to repurchase up to 5% of total common shares outstanding ( approximately 1,741,975 shares)

5. 2010 Reorganization • Viewpoint Financial Group sold off its stake in the Viewpoint Mutual Holding Company on July 6, 2010 • This made viewpoint 100% public • This type of transition was popular among small financial holding companies such as Viewpoint • Caused by changes in the way mutual holding companies’ were regulated • Existing stockholders received 1.4 shares for each existing share • The company sold 19.8 million shares at $10 each to become a 100% public holding company.

7. Key 3rd Quarter Facts • Loan Balances Increased $290.0 million (18.5%), primarily due to Warehouse Purchase Program and Commercial Real Estate • Net Interest Margin up 6 basis points YOY • Even with record low interest rates, NIM increased due to lower rates paid on deposits • Rising net interest margin is a key driver of profits • Q3 Net Income of $5.1 Million, or $0.16 per share, up 5.9% linked quarter

8. Corporate & Geographic Overview • Total Assets = $3.24 billion • Total Net Loans = $1.84 billion • Total Deposits = $2.07 billion • 59 years in Texas market • Operations focused in Dallas/Fort Worth Metro Area • 81% of VPFG’s commercial real estate loans are in 4 of the top 5 best cities for jobs in the U.S.

9. Texas Economy • Job growth of 3.2% projected this year • Highest of any state • Dallas area home prices only down 6.2% since December 2005 • National average is 30.3% • VPFG maintains high quality loan portfolio • Long-term rise in oil prices driving economic growth • 10% increase in oil prices leads to 0.3% rise in Texas employment according to Dallas Fed Research. • Strong economy to drive further loan and deposit growth

10. New Locations • Two new bank branches opened in Q3 2011 in Flower Mound and in Carrollton • Will convert grocery store branch to new full service banking center in Lake Highlands, Texas. • 2010 Estimated Average Household Income of Customers: $69,683

11. Business Strategy • Continue to grow organically in the economically stable and growing Texas market • Continue to develop existing lines of business, diversify the loan portfolio and develop Commercial and Industrial lending • Transitioned in recent years to fully diversified consumer and business bank • More diversified revenue stream • Future growth focused on increasing Commercial Real Estate loans

12. Business Strategy • 3 key business segments • Warehouse purchase program • Fund third party mortgage brokers • Increase of 200 million in 2011 • Residential Mortgage Lending • Commercial Real Estate Lending • Growing portion of portfolio, represents almost 50% of total loans • Earning higher interest income on Commercial Real Estate loans than other residential loans • Overall strong loan growth • Up 16% in first 3 quarters this year

13. Gross Loan Mix

14. Competitors • Bank of America introduced a $5 per month fee for debit card purchases. • Fees have been scaled but damage to their brand names has been done • Bank of America has almost 1 trillion in deposits that could be at risk of moving to smaller more cost-efficient banks such as Viewpoint. • Viewpoint not as susceptible to volatility in the international financial markets • Smaller banks are effected more by the local economy.

15. Peer Comparison

16. Viewpoint Outperforming Peers Blue-Viewpoint Red-Cullen Frost Green-First Financial Orange-Vanguard Financials ETF

17. Total Assets

18. Deposits

19. Conclusion • Viewpoint is in the strongest market in the United States • Loan portfolio consists of high quality assets • Bank is well-capitalized and has high underwriting standards • Growing Texas economy and commercial real estate business to drive continued earnings growth. • Risks: Major financial markets disruption, substantial deterioration of assets, and bank runs