content_image/115524.jpg content_image/115525.jpg content_image/115537.jpg
Activity in capitalized mortgage servicing rights and related valuation allowance during 2001, 2000 and 1999 are as follows (in thousands): : 

<img src='content_image/115524.jpg'>

Excludes approximately, $9 million, $8 million and $5 million at December 31, 1999, 2000 and 2001, respectively, of loan servicing rights on mortgage loans originated prior to the adoption of FAS.122. 

Fair value is determined by discounting the projected net cash flows, Significant assumptions are: 

Discount rate - Risk adjusted rates by loan product, ranging from 9.00% to 20.00%. 

Prepayment rate — Annual prepayment estimates ranging from 7.50% to 68.52% from an independent reporting source based upon loan interest rate, original term and loan type. 

Loan servicing costs — $40 to $50 per loan based upon loan type. 

Stratification of the mortgage loan servicing portfolio, outstanding principal of loans serviced, and related hedging information by interest rate at December 31, 2001 follows (in thousands): 

<img src='content_image/115525.jpg'>

Exelüdes outstanding principal of $370 million for loans serviced by BOk for which there are no capitalized mortgage servicing rights. Impairment is determined by both an interest rate and loan type stratification. 

## (9) Deposits 

<img src='content_image/115537.jpg'>

The aggregate amounts of time deposits in denominations of $100,000 or: more at December 31, 2001 and 2000 were $1.6 billion and $1.4 billion, respectively. 

Time deposit maturities are as follows: 2002 - ‚me dep ‚ar ru $L8 billion, 2003 - $186 million, 2004 ~ $252 million, 2005 — $38 million, 2006 — $529 million, and $345 thousand thereafter. : . . 

Interest expense on time deposits during 2001 and 2000 was reduced by net income from interest rate swaps of $3.1 million and $876 thousand, respectively. 

