UMBF UMB Financial Corporation

Subprime lending has created challenges for the industry and drawn considerable attention in 2007. On July 18, Federal Reserve Chairman Ben Bernanke made the following comment within his Monetary Policy Report to Congress: "Conditions in the subprime mortgage sector have deteriorated significantly, reflecting mounting delinquency rates on adjustable-rate loans." An American Banker poll conducted June 7, 2007 indicated there is still a level of uncertainty in the subprime business -- 29% of bankers believe the industry is "stabilizing, but improvement is some way off," while 24% indicate the "worst is yet to come." Troy Bender, president of UMB Bank mortgage division, states, "Many consumers are feeling the effects of rising payments associated with adjustable rate mortgages and perhaps even scenarios where property equity is being compromised by the terms and conditions of their current mortgage loan. Consumers should be advised to seek more predictable, less volatile home loan offerings." To capitalize on recent industry changes, many banks have increased their mortgage offerings through branch network, website, and private banking platforms and developed products and services that create value, not risk, for customers when they purchase or refinance homes. Additionally, most banks underwrite their mortgage offerings using Fannie Mae guidelines and products. These guidelines allow for expanded approval scenarios for credit, alternative income, assets, and limited documentation. These guidelines allow banks to assist a wide range of customers in achieving their dream of home ownership. Bender adds, "UMB Bank remains a stable mortgage provider and equal housing lender with a focus on integrity, equality and customer service. We are committed to being a trusted and credible steward to home ownership and responsible financing for the American Dream." UMB Financial Corporation (NASDAQ: UMBF) is a multi-bank holding company headquartered in Kansas City, Mo., offering complete banking, asset management, health spending accounts and related financial services to both individual and business customers nationwide. Its banking subsidiaries own and operate 134 banking centers throughout Missouri, Illinois, Colorado, Kansas, Oklahoma, Nebraska and Arizona. Subsidiaries of the holding company and the lead bank, UMB Bank, n.a., include an investment services group based in Milwaukee, Wisconsin, a trust management company in South Dakota, and single-purpose companies that deal with brokerage services and insurance.