Press Release

Axos Bank Receives Regulatory Approval for MWABank Deposit Acquisition

Company Release - 3/18/2019 8:30 AM ET

Lower Cost Deposits Will Fund Organic Loan Growth

SAN DIEGO--(BUSINESS WIRE)-- Axos Bank, the banking subsidiary of Axos Financial, Inc. (NYSE: AX), announced that it has received regulatory approval from the Office of the Comptroller of the Currency (“OCC”) to close the deposit assumption agreement (“Agreement”) with MWABank on March 15, 2019. Pursuant to the Agreement announced on December 13, 2018, Axos Bank will acquire approximately $173 million in deposits from MWABank, including approximately $151 million in checking, savings and money market accounts and $22 million in time deposit accounts. Axos Bank will receive cash equal to the book value of the deposit liabilities as well as reimbursement of Axos Bank conversion costs.

“We are extremely pleased to receive regulatory approval for our third transaction in 2019,” said Greg Garrabrants, President and Chief Executive Officer of Axos Bank. "Once we complete a seamless conversion, we look forward to providing comprehensive banking services through our digital banking platform to MWABank’s retail and business customers. This transaction further diversifies our funding and adds more than 21,000 new accounts to Axos Bank.”

Axos Bank paid no deposit premium for the acquired deposits. The current weighted average annual interest rate paid on the acquired deposits is approximately 44 basis points.

About Modern Woodmen of America and MWABank

Since 1883, Modern Woodmen of America has brought people together, supported families and strengthened communities. As a fraternal financial services organization, Modern Woodmen exists for the benefit of our more than 750,000 members. Its 1,500 representatives in 56 regions operating throughout 47 states serve members by providing life insurance, annuities, investments* and other financial planning products and services. For more information, visit

*Securities offered through MWA Financial Services Inc., a wholly owned subsidiary of Modern Woodmen of America.

Started in 2003, MWABank is primarily a direct bank, one of the few direct banks in the United States. Of the life and property/casualty insurers in the United States, less than 40 have some type of banking charter. By direct bank, it defines itself as principally conducting business via the internet, mail, telephone and other electronic means. It has one traditional banking location in the Illinois Quad Cities. For more information, visit

About Axos Financial, Inc. and Axos Bank

Axos Financial, Inc. is the holding company for Axos Bank, a nationwide bank that provides consumer and business banking products through its low-cost distribution channels and affinity partners. With nearly $10 billion in assets, Axos Bank provides financing for single and multifamily residential properties, small-to-medium size businesses in target sectors, and selected specialty finance receivables. Axos Financial, Inc.’s common stock is listed on the NYSE under the symbol “AX” and is a component of the Russell 2000® Index and the S&P SmallCap 600® Index. For more information about Axos Bank, please visit

Forward-Looking Safe Harbor Statement

This press release contains forward-looking statements that involve risks and uncertainties, including without limitation statements relating to Axos Bank and Axos Financial’s performance, including loan growth, diversification of funding sources, ability to successfully transfer and service acquired customer accounts, and provision of banking products and services to acquired customers. These forward-looking statements are made on the basis of the views and assumptions of management regarding future events and performance as of the date of this press release. Actual results and the timing of events could differ materially from those expressed or implied in such forward-looking statements as a result of risks and uncertainties, including without limitation changes in interest rates, inflation, government regulation, general economic conditions, conditions in the real estate markets in which we operate and other factors beyond our control. These and other risks and uncertainties detailed in Axos Financial’s periodic reports filed with the Securities and Exchange Commission could cause actual results to differ materially from those expressed or implied in any forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement, and Axos Financial undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this press release.

Johnny Lai, CFA
VP, Corporate Development and Investor Relations Axos Financial, Inc.
Phone: 1-858-649-2218

Source: Axos Financial, Inc.