Arvest Bank thas announced that neither it nor Arvest Bank Group, Inc, its parent holding company, would apply for capital funds available through the Capital Purchase Program (“CPP”) administered by the U.S. Treasury. The CPP was created by the Treasury under the Emergency Economic Stabilization Act to strengthen the banking system by providing additional capital to banking companies in an effort to bolster their lending capabilities.

“Arvest evaluated the provisions of the Capital Purchase Program carefully and made a business decision not to apply for the funds due to the strength of our balance sheet and our capital exceeding federal standards for being well-capitalized” said Kevin Sabin, President and Chief Operating Officer of Arvest. “While the current economic environment and outlook is certainly challenging to many banks and customers, we intend to remain a well-capitalized bank servicing the borrowing, depository, investment and transactional needs of the many customers we serve”, said Sabin.

“The Treasury is to be commended for undertaking efforts to deal with the current instability in the financial markets and with the weakening national economy. Arvest has sufficient capital needed to fund expansion and to support the borrowing needs of our customers. The trade territories in which we operate have avoided the worst of the real estate issues experienced elsewhere and we are optimistic these markets will continue to have healthy local economies.”

“While we have chosen not to apply for capital funds through the CPP, Arvest will participate in the Temporary Account Guaranty Program. This program provides full FDIC deposit insurance protection, regardless of balance, for non-interest-bearing transaction accounts and for certain demand deposit accounts which pay less than 1⁄2% interest. This expanded coverage will extend through December 31, 2009. Our deposit customers deserve access to the full FDIC deposit insurance program and we are pleased to be able to offer them that benefit”, continued Sabin. The Temporary Account Guaranty Program is independent of CPP and does not involve a federal government investment or other funds.

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