Table 1
Variables Included in Bank Failure-Prediction Models
Standard Bank Financial Data
Asset-quality measures
CAMEL ratings
Capital/asset ratios
Other Bank Data
Five years of loan growth, asset growth
Growth associated with mergers
Mean and standard deviation of operating income
Average salary
Loan-to-asset ratio
Other
Proxies for Economic Conditions
(during previous five years)
State personal-income growth
State employment growth
State unemployment rate
Growth in total loans issued by insured banks headquartered in the state
Growth in total assets held by insured banks headquartered in the state
