Mergers & Acquisitions

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Deal Overview

Buyer:
First Interstate BancSystem, Inc.
Actual Acquirer:
First Interstate BancSystem, Inc.
Target:
First Western Banks
Deal Type:
Bank & Thrift Company
Agreement Date:
9/18/2007
Announcement Date:
9/19/2007
Announced Deal Value ($ M):
251.38
Status:
Completed
Completion Date:
1/10/2008
Announced Deal Value Per Share ($ )
NA

Consideration Breakout
Cash ($M) 198.1
Preferred Stock ($M) 50.0
Preferred Stock Issued 5,000

Deal Pricing Ratios

Announcement Completion
Price / Book (%) 310.9 306.9
Price / Tangible Book (%) 312.3 308.2
Price / Earnings (x) 18.1 17.9
Price / Deposits (%) 31.71 31.30
Price / Assets (%) 28.26 27.88
Tangible Book Premium/ Deposits (%) 28.30 27.75
Deal Terms
Description of Consideration

First Interstate BancSystem paid approximately $198.1 million in cash and issued 5,000 shares of preferred stock valued at $50.0 million to acquire First Western Banks, comprised of First Western Bank, First Western Bank Sturgis and First Western Data Inc.

Accounting Method Purchase
In-State Transaction? No
Merger of Equals? No
Geographic Expansion? Market Expansion
Goodwill Generated ($ 000) 146,293
Estimated Cost Savings (%) NA
Estimated Cost Savings ($ 000) NA
Est. Restructuring Charges ($ 000) 250
Maximum Termination Fee ($ 000) 5,000
Minimum Termination Fee ($ 000) 0
Exchange Ratio (Common For Common) NA
Exchange Ratio (Common For Preferred) NA
Exchange Ratio (Preferred For Common) NA
Exchange Ratio (Preferred For Preferred) NA
Lockup Agreement No
Strike Price ($ ) NA
% of Shares Outstanding NA
Shares Under Option NA
Core Deposit Intangibles ($ 000) 14,928
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer No NA
Seller Yes Sandler O'Neill & Partners LP
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Christian Samson Jones
Seller Yes Baird Holm LLP