The following table presents the dollar amount of changes in interest income and interest expense for the major components of interest-earning assets and interest-bearing liabilities and distinguishes between the increase (decrease) related to higher outstanding balances and the volatility of interest rates. For purposes of this table, changes attributable to both rate and volume which cannot be segregated have been allocated.

Provision for Loan Losses

The 2000 provision for loan losses was $7.1 million, an increase of $579,000 from 1999. The provision for the year ended 1999 was $6.5 million, an increase of $2.2 million from the year ended December 31, 1998. Net charge-offs during 2000 equaled $1.3 million, which when subtracted from the provision for loan losses of $7.1 million resulted in a net increase in the allowance for loan losses of $5.8 million. Although no assurance can be given, management believes that the present allowance for loan losses is adequate considering loss experience, delinquency trends and current economic conditions. Management regularly reviews the Company’s loan loss allowance as its loan portfolio grows and diversifies. (See ‘‘—Financial Condition—Review and Allowance for Loan Losses.")

Noninterest Income

Noninterest income grew to $42.9 million for the year ended December 31, 2000, an increase of $5.4 million or 14% from 1999. Noninterest income totaled $37.5 million in 1999, an increase of $5.9 million or 19% from 1998.