Good afternoon and welcome to the Southern Missouri Bancorp Second Quarter Earnings Conference Call. All participants will be in listen-only mode (Operator Instructions). After today’s presentation, there will be an opportunity to ask questions (Operator Instructions). Please note that this event is being recorded. I would now like to turn the conference over to Matt Funke, Chief Financial Officer. Please go ahead, sir.

Thank you, Denise and good afternoon everyone. This is Matt Funke, CFO at Southern Missouri. The purpose of the call is to review the information and data we presented in our quarterly earnings release dated Monday January, 26, 2015 and to take your questions. We might make certain forward-looking statements here in today’s call when we refer you to our cautionary statement regarding forward-looking statements contained in the press release. To start off, I want to highlight some of our financial results from the earnings release for our December quarter, which is the second quarter of our 2015 fiscal year. We earned $0.89 diluted in the quarter that figure is unchanged from the first quarter of fiscal 2015, our linked quarter and it’s up $0.16 from the $0.73 diluted that we earned in the prior year second quarter. For the fiscal year-to-date we’ve earned $1.78 diluted, up from $1.47 for the first six months of the prior fiscal year. In the current quarter the amount of net interest income that resulted from fair value discount accretion on loans and some fair value premium amortization on time deposits acquired with the First Southern Bank acquisition in 2010 amounted to $67,000 compared to $168,000 in the same period of last year. In the first six months of fiscal 2015, that acquisition provided 168,000 in fair value accretion compared to 372,000 in the first six months of last year. Also for this quarter and fiscal year-to-date, we’ve recognized a benefit from the accretion of fair value discount accretion on loans and premium on time deposits from our Peoples Bank acquisition, which closed in August of this fiscal year. That amounted to 703,000 in the current quarter and 1.1 million in the six months year-to-date. And obviously it was zero in the prior year’s…

Hi. Thank you, Matt. Just wanted to point on related to non-performing asset levels, we’re anticipating that number to gradually decline over the next six months to the year, we’re not anticipating immediate improvement but it should decline as the year moves on as we work out some of the non-performing assets we acquired. And then speaking of the growth that we had over the quarter, over the six months, again we’ve had 250 million in loan growth, 190 million of which came from Peoples Bank that we acquired and then we’ve had an additional 30 million of internally generated growth of which -- then we’ve had 5 million of loans from Peoples that has paid off. Our internal loan growth has been spread pretty evenly between our Southeast Missouri market and our Springfield market, where our consolidate is basically flat to the last three and six months. Our internal loan growth has been spread fairly evenly between one to four family, multi-family, commercial real estate, land and C&I loans. So it's been a diverse amount of different types of collateral that we’ve experienced our growth with. And then looking at our Ag balances over the last quarter, Ag balances are down $11 million and that’s part of the normal seasonality of our Ag portfolio. However, if we look at our Ag balances right now they are 16 million higher than they were one-year ago and part of that increase in comparison for one-year over the next is due to some customers delaying the marketing of their crop as crop prices have come down and they forward contract it for later in the year. And then we also had an increase in several new lending relationships that they are in our Ag portfolio, but they are more in the brining…

Thank you, Greg and Denise at this time we’d like to take any questions that participants may have.

Very good. Thank you, sir. We will now begin the question-and-answer session. [Operator Instructions]. And our first question will come from Andrew Liesch of Sandler O'Neill. Please go ahead.

Coursing on your comments on the provision from earlier, does this mean that you’re going to kind of rebuild it from the [stubble] as some of the purchase accounting declines? Or is that I misheard you?

Well to some extent that’s required. We look at our allowance each quarter and determine how much needs to be and based on what is in the portfolio and subject to that allowance accounting, but as those dollars grow, everything else equal you’d expect to have to provision more while the purchase accounting loans are going away in June.

I guess how what I’m thinking of it, is this like a similar level for future quarters over 800,000?

Well that’s hard to say without looking at exactly what charge-offs and loan growth does, but there will be some -- if every dollar that was in the Peoples’ portfolio such as purchase accounting, if we relied that as we would renew or originate new dollars to replace that then we would have to provision additional dollars in order to have an allowance set aside against those loans.

On the non-interest expense side, just backing up things that you talked about that maybe helping, getting to about an $8 million a quarter or so run-rate, is that in the ballpark?

Well we’re not giving any forward guidance. We do hope to achieve some savings over what our core basis is right now, but I don’t want to give you guidance on it.

I guess the compensation production that’s going to come from the folks that last Peoples’ at the end of the year, I mean just what is the -- do you have like the dollar amount for any old salary that they will a quarterly salary that they will save?

I don’t have that in front of me Andrew, I’m sorry.

And then my last question, it sounds like some of the agriculture borrowers are holding under the crop to sell maybe later on this quarter maybe even next quarter, does that mean we could see the pay downs that portfolio push out later in this quarter and next quarter?

I think that the level of pay downs in the Ag portfolio will definitely be pushed out some. That being said, they got a new crop that they are putting in the ground, so pay downs will be pushed out, but the balance is new draws will be happening along the same path as where they were last year.

Got you. So maybe they sell their crop and then just use that cash right away. Okay that covers my questions, thanks so much guys.

And I’m showing no additional questions at this time. This will conclude our question-and-answer session. I would like to turn the conference back over to Matt Funke for any closing remarks.

Thank you Denise and thank everyone for their interest and we’ll talk to you again in three months.

Ladies and gentlemen, the conference has now concluded. We thank you for attending today’s presentation. You may now disconnect your lines.