First Merchants Corporation Announces 3rd Quarter Year-to-Date Net Income of $20.4 Million
MUNCIE, Ind.--(BUSINESS WIRE)--
First Merchants Corporation (NASDAQ: FRME) has reported third quarter 2008 diluted earnings per share of $.32, a decline from 2007 third quarter earnings per share of $.46. Net Income for the quarter totaled $5.7 million, a decrease from the 3rd quarter 2007 total of $8.3 million.
Year-to-date diluted earnings per share totaled $1.13, a decrease of 7.4 percent, from 2007 earnings per share of $1.22. Net Income totaled $20.4 million, a decline of $1.9 million from the prior year total of $22.3 million.
Total assets reached $3.8 billion at quarter-end, an increase of $110 million, or 2.9 percent, from September 30, 2007. Loans and investments, the Corporation's primary earning assets, totaled $3.47 billion, an increase of $122 million, or 3.6 percent, over the prior year. Loans accounted for $208 million of the increase as investment securities declined by $86 million as spreads between investment securities and borrowings remain below historical levels. At September 30, 2008, the Corporation's tangible capital was 5.9%, tier 1 capital was 7.3%, tier 1 risk based capital was 8.5% and total risk based capital was 11.2%.
Net-Interest margin expanded by 39 basis points from 3.52 percent in the third quarter of 2007 to 3.91 percent in 2008. As a result, net-interest income increased by $4.7 million, or 16.5 percent. Year-to-date net interest margin improved by 32 basis points as net interest income increased by $13 million or 15.6 percent.
Provision expense totaled $7.1 million for the quarter, an increase of $4.3 million, as net charge-offs totaled $3.7 million. Year-to-date provision expense totaled $18 million, an increase of $12 million over the prior year, as charge-off's totaled $11.2 million. Non-performing assets increased from 84 basis points of total assets to 142 basis points during the year.
The Corporation's allowance for loan losses as a percent of total loans increased from .96 to 1.14 percent since September 30, 2007. The increase totals $7.4 million in additional reserves. The increased allowance for loan losses total is comprised of a $2.0 million increase in the general historical loss component, a $6.3 increase in environmental factors and a decline in specific reserves of $924,000.
Total non-interest income decreased by $1.6 million, during the quarter, due primarily to a $1.5 million write-off of FHLMC preferred stock. Total expenses increased during the quarter by $2.1 million totaling $27.1 million. Year-to-date non-interest income declined by $337,000 and non-interest expense increased $2,857,000.
Michael C. Rechin, President and Chief Executive Officer, stated that, "First Merchants has the people, strategies, capital, liquidity, and commitment to weather the current environment. While our short-term earnings have been impacted by credit costs, the strengthening of our balance sheet by building our loan loss reserve is prudent for the future and warranted by the economic trends we see in the Midwest. The volatility in our local markets and the capital markets does create opportunity and we have been successful in the strategic building of relationships and revenues."
Rechin continued, "First Merchants exceeds the Federal Reserve's capital adequacy requirements and continues to meet their definition of 'well capitalized.' Despite prudent provisioning, the Corporation's earnings and liquidity remain strong." Rechin also added that, "We look forward to the conclusion of our announced acquisition of Lincoln Bancorp. All required applications for approval have been filed and, at this time, no delays are expected in completing the transaction by our announced target date of December 31, 2008."
CONFERENCE CALL
First Merchants Corporation will conduct a conference call at 2:30 p.m. Eastern Daylight Time on Wednesday, October 22, 2008. To participate, dial (Toll Free) 800-860-2442 and reference First Merchants Corporation's third quarter earnings. A replay will be available until October 29, 2008. To access replay, US/Canada participants should dial (Toll Free) 877-344-7529, or for International participants, dial 412-317-0088. The replay will require the passcode is 420850.
During the call, we may make Forward-Looking Statements about our relative business outlook. These Forward-Looking Statements and all other statements made during the call that do not concern historical facts are subject to risks and uncertainties that may materially affect actual results.
Specific Forward-Looking Statements include, but are not limited to, any indications regarding the Financial Services industry, the economy and future growth of the balance sheet or income statement.
Detailed financial results are reported on the attached pages:
First Merchants Corporation is a financial holding company headquartered in Muncie, Indiana. Subsidiaries of the Corporation include First Merchants Bank, N.A., and First Merchants Bank of Central Indiana, N.A., Lafayette Bank & Trust Company, N.A., Commerce National Bank and First Merchants Trust Company, N.A. The Corporation also operates First Merchants Insurance Services, a full-service property casualty, personal lines, and healthcare insurance agency and is a majority member of Indiana Title Insurance Company, LLC, a title insurance agency.
First Merchants Corporation's common stock is traded over-the-counter on the NASDAQ National Market System under the symbol FRME. Quotations are carried in daily newspapers and can be found on the company's Internet web page (http://www.firstmerchants.com).
CONSOLIDATED BALANCE SHEETS
(in thousands) September 30,
2008 2007
Assets
Cash and due from banks $69,846 $83,845
Federal funds sold 7,818 1,800
---------- ----------
Cash and cash equivalents 77,664 85,645
Interest-bearing time deposits 15,623 22,295
Investment securities 388,808 474,613
Mortgage loans held for sale 2,062 4,328
Loans 3,078,768 2,869,001
Less: Allowance for loan losses (34,985) (27,635)
---------- ----------
Net loans 3,043,783 2,841,366
Premises and equipment 44,402 44,255
Federal Reserve and Federal Home Loan Bank
stock 25,494 25,050
Interest receivable 21,569 25,954
Core deposit intangibles and goodwill 135,701 136,266
Cash surrender value of life insurance 73,448 70,082
Other real estate owned 16,916 2,081
Other assets 18,604 22,365
---------- ----------
Total assets $3,864,074 $3,754,300
========== ==========
Liabilities
Deposits
Noninterest-bearing 384,928 355,339
Interest-bearing 2,529,355 2,403,836
---------- ----------
Total deposits 2,914,283 2,759,175
Borrowings
Fed funds purchased 57,600 95,697
Securities sold under repurchase
agreements 100,227 103,846
Federal Home Loan Bank advances 237,225 310,100
Subordinated debentures, revolving
credit lines and term loans 176,256 110,826
---------- ----------
Total borrowings 571,308 620,469
Interest payable 6,529 9,170
Other liabilities 19,861 32,745
---------- ----------
Total liabilities 3,511,981 3,421,559
Stockholders' equity
Preferred stock, no-par value
Authorized and unissued - 500,000 shares
Cumulative Preferred Stock, $1,000 par
value:
Authorized - 600 shares
Issued and outstanding - 125 shares 125
Common stock, $.125 stated value
Authorized - 50,000,000 shares
Issued and outstanding - 18,125,090 and
18,153,828 shares 2,266 2,269
Additional paid-in capital 141,777 140,642
Retained earnings 210,605 197,609
Accumulated other comprehensive loss (2,680) (7,779)
---------- ----------
Total stockholders' equity 352,093 332,741
---------- ----------
Total liabilities and stockholders'
equity $3,864,074 $3,754,300
========== ==========
FINANCIAL HIGHLIGHTS
Three Months Ended Nine Months Ended
(in thousands) September 30, September 30,
2008 2007 2008 2007
NET CHARGE OFF'S $3,706 $2,783 $11,230 $4,962
AVERAGE BALANCES
Total Assets $3,844,905 $3,696,382 $3,791,362 $3,607,367
Total Loans 3,045,672 2,835,639 2,975,957 2,768,146
Total Deposits 2,929,774 2,776,346 2,867,237 2,732,117
Total Stockholders'
Equity 349,652 329,474 348,396 329,147
FINANCIAL RATIOS
Return on Average
Assets .60% .90% .72% .83%
Return on Avg.
Stockholders'
Equity 6.58 10.14 7.81 9.05
Avg. Earning Assets
to Avg. Assets 91.02 90.88 90.78 90.98
Allowance for Loan
Losses as % of
Total Loans 1.14 .96 1.14 .96
Net Charge Off's as
% of Avg. Loans
(Annualized) .49 .39 .50 .24
Dividend Payout
Ratio 72.80 50.00 61.27 56.56
Avg. Stockholders'
Equity to Avg.
Assets 9.09 8.91 9.19 9.12
Tax Equivalent
Yield on Earning
Assets 6.39 7.17 6.52 7.09
Cost of Supporting
Liabilities 2.48 3.65 2.69 3.58
Net Int. Margin
(FTE) on Earning
Assets 3.91 3.52 3.83 3.51
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except share
data) Three Months Ended Nine Months Ended
September 30, September 30,
2008 2007 2008 2007
Interest income
Loans receivable
Taxable $49,828 $53,081 $149,952 $153,930
Tax exempt 321 368 664 818
Investment securities
Taxable 2,943 3,581 9,139 10,257
Tax exempt 1,379 1,613 4,344 4,925
Federal funds sold 10 41 21 133
Deposits with financial
institutions 146 145 561 388
Federal Reserve and Federal
Home Loan Bank stock 351 328 1,056 955
--------- ------- -------- --------
Total interest income 54,978 59,157 165,737 171,406
--------- ------- -------- --------
Interest expense
Deposits 16,213 23,327 51,943 67,523
Federal funds purchased 502 996 1,748 2,897
Securities sold under
repurchase agreements 650 1,195 2,098 2,674
Federal Home Loan Bank
advances 2,724 3,302 8,585 9,247
Subordinated debentures,
revolving credit lines and
term loans 1,635 1,802 5,127 5,840
--------- ------- -------- --------
Total interest expense 21,724 30,622 69,501 88,181
--------- ------- -------- --------
Net interest income 33,254 28,535 96,236 83,225
Provision for loan losses 7,094 2,810 17,987 6,057
--------- ------- -------- --------
Net interest income
After provision for loan
losses 26,160 25,725 78,249 77,168
--------- ------- -------- --------
Other income
Services charges on deposit
accounts 3,568 3,241 9,656 9,215
Fiduciary activities 1,932 1,985 6,200 6,278
Other customer fees 1,696 1,767 5,142 4,793
Commission income 1,457 1,175 4,553 4,082
Earnings on cash surrender
value of life insurance 519 998 1,863 2,465
Net gains and fees on sales
of loans 648 749 1,959 1,892
Net realized gains (losses)
on sale of available-for-
sale securities (1,255) (1,169)
Other income 655 933 1,877 1,693
--------- ------- -------- --------
Total other income 9,220 10,848 30,081 30,418
--------- ------- -------- --------
Other expenses
Salaries and employee
benefits 15,330 14,583 47,126 44,105
Net occupancy 1,857 1,818 5,412 5,028
Equipment 1,649 1,645 4,946 5,150
Marketing 605 560 1,701 1,700
Outside data processing fees 1,068 972 2,959 2,959
Printing and office supplies 281 394 853 1,081
Core deposit amortization 809 789 2,407 2,370
Write-off of unamortized
underwriting expense 1,771
Other expenses 5,516 4,241 14,388 12,771
--------- ------- -------- --------
Total other expenses 27,115 25,002 79,792 76,935
--------- ------- -------- --------
Income before income tax 8,265 11,571 28,538 30,651
Income tax expense 2,516 3,221 8,121 8,322
--------- ------- -------- --------
Net income $5,749 $8,350 $20,417 $22,329
========= ======= ======== ========
Per Share Data
Basic Net Income .32 .46 1.13 1.22
Diluted Net Income .32 .46 1.13 1.22
Cash Dividends Paid .23 .23 .69 .69
Average Diluted Shares
Outstanding (in thousands) 18,196 18,276 18,129 18,375
CONSOLIDATED BALANCE SHEETS
(in thousands) September 30, June 30, March 31,
2008 2008 2008
Assets
Cash and due from banks $69,846 $80,996 $89,961
Federal funds sold 7,818
------------ ----------- -----------
Cash and cash equivalents 77,664 80,996 89,961
Interest-bearing time
deposits 15,623 7,267 21,280
Investment securities 388,808 408,324 426,055
Mortgage loans held for sale 2,062 3,234 3,494
Loans 3,078,768 3,018,596 2,937,710
Less: Allowance for loan
losses (34,985) (31,597) (29,094)
------------ ---------- ----------
Net loans 3,043,783 2,986,999 2,908,616
Premises and equipment 44,402 44,232 44,526
Federal Reserve and Federal
Home Loan Bank Stock 25,494 25,455 25,345
Interest receivable 21,569 19,680 21,212
Core deposit intangibles and
goodwill 135,701 136,230 135,056
Cash surrender value of life
insurance 73,448 72,948 71,663
Other real estate owned 16,916 17,243 7,372
Other assets 18,604 19,852 12,578
------------ ---------- ----------
Total assets $3,864,074 $3,822,460 $3,767,158
============ ========== ==========
Liabilities
Deposits
Noninterest-bearing 384,928 403,152 380,364
Interest-bearing 2,529,355 2,460,483 2,432,763
------------ ---------- ----------
Total deposits 2,914,283 2,863,635 2,813,127
Borrowings
Fed funds purchased 57,600 151,356 111,144
Securities sold under
repurchase agreements 100,227 90,872 103,024
Federal Home Loan Bank
advances 237,225 228,196 244,468
Subordinated debentures,
revolving credit, lines
and term loans 176,256 115,826 115,826
------------ ---------- ----------
Total borrowings 571,308 586,250 574,462
Interest payable 6,529 6,658 7,621
Other liabilities 19,861 18,525 23,107
------------ ---------- ----------
Total liabilities 3,511,981 3,475,068 3,418,317
Stockholders' equity
Preferred stock, no-par
value
Authorized and unissued -
500,000 shares
Cumulative Preferred Stock,
$1,000 par value:
Authorized - 600 shares 125 125 125
Issued and outstanding
Common stock, $.125 stated
value
Authorized - 50,000,000
shares
Issued and outstanding 2,266 2,258 2,247
Additional paid-in capital 141,777 140,258 137,633
Retained earnings 210,605 209,059 206,710
Accumulated other
comprehensive loss (2,680) (4,308) 2,126
------------ ---------- ----------
Total stockholders'
equity 352,093 347,392 348,841
------------ ---------- ----------
Total liabilities and
stockholders' equity $3,864,074 $3,822,460 $3,767,158
============ ========== ==========
(in thousands) December 31, September 30,
2007 2007
Assets
Cash and due from banks $134,188 $83,845
Federal funds sold 495 1,800
----------- ------------
Cash and cash equivalents 134,683 85,645
Interest-bearing time deposits 24,931 22,295
Investment securities 451,167 474,613
Mortgage loans held for sale 3,735 4,328
Loans 2,876,843 2,869,001
Less: Allowance for loan losses (28,228) (27,635)
----------- ------------
Net loans 2,848,615 2,841,366
Premises and equipment 44,445 44,255
Federal Reserve and Federal Home Loan
Bank Stock 25,250 25,050
Interest receivable 23,402 25,954
Core deposit intangibles and goodwill 135,856 136,266
Cash surrender value of life insurance 70,970 70,082
Other real estate owned 2,573 2,081
Other assets 16,460 22,365
----------- ------------
Total assets $3,782,087 $3,754,300
=========== ============
Liabilities
Deposits
Noninterest-bearing 370,397 355,339
Interest-bearing 2,473,724 2,403,836
----------- ------------
Total deposits 2,844,121 2,759,175
Borrowings
Fed funds purchased 52,350 95,697
Securities sold under repurchase
agreements 106,497 103,846
Federal Home Loan Bank advances 294,101 310,100
Subordinated debentures, revolving
credit, lines and term loans 115,826 110,826
----------- ------------
Total borrowings 568,774 620,469
Interest payable 8,325 9,170
Other liabilities 20,931 32,745
----------- ------------
Total liabilities 3,442,151 3,421,559
Stockholders' equity
Preferred stock, no-par value
Authorized and unissued - 500,000
shares
Cumulative Preferred Stock, $1,000 par
value:
Authorized - 600 shares
Issued and outstanding
Common stock, $.125 stated value
Authorized - 50,000,000 shares
Issued and outstanding 2,250 2,269
Additional paid-in capital 137,801 140,642
Retained earnings 202,750 197,609
Accumulated other comprehensive loss (2,865) (7,779)
----------- ------------
Total stockholders' equity 339,936 332,741
----------- ------------
Total liabilities and stockholders'
equity $3,782,087 $3,754,300
=========== ============
NON-PERFORMING ASSETS
September 30, June 30, March 31,
2008 2008 2008
Non Accrual Loans 37,879 34,410 27,465
Renegotiated Loans 135 136 142
------------ ------- --------
Non Performing Loans (NPL) 38,014 34,546 27,607
Real Estate Owned and Repossessed
Assets 16,916 17,243 7,372
------------ ------- --------
Non Performing Assets (NPA) 54,930 51,789 34,979
90+ Days Delinquent 8,056 3,538 4,996
------------ ------- --------
NPAs & 90 Day Delinquent 62,986 55,327 39,975
Loan Loss Reserve 34,985 31,597 29,094
YTD Charge-offs 11,230 7,524 2,957
NPAs / Actual Assets % 1.42% 1.35% 0.93%
NPAs & 90 Day / Actual Assets % 1.63% 1.45% 1.06%
NPAs / Actual Loans & REO (%) 1.77% 1.70% 1.19%
Loan Loss Reserves / Actual Loans
(%) 1.14% 1.05% 0.99%
NCOs / YTD Average Loans (%) 0.38% 0.26% 0.10%
December 31, September 30,
2007 2007
Non Accrual Loans 29,031 30,165
Renegotiated Loans 145 58
----------- ------------
Non Performing Loans (NPL) 29,176 30,223
Real Estate Owned and Repossessed Assets 2,573 2,081
----------- ------------
Non Performing Assets (NPA) 31,749 32,304
90+ Days Delinquent 3,578 3,132
----------- ------------
NPAs & 90 Day Delinquent 35,327 35,436
Loan Loss Reserve 28,228 27,635
YTD Charge-offs 6,819 4,962
NPAs / Actual Assets % 0.84% 0.86%
NPAs & 90 Day / Actual Assets % 0.93% 0.94%
NPAs / Actual Loans & REO (%) 1.10% 1.12%
Loan Loss Reserves / Actual Loans (%) 0.98% 0.96%
NCOs / YTD Average Loans (%) 0.24% 0.18%
CONSOLIDATED STATEMENTS OF INCOME
September 30, June 30, March 31,
(in thousands, except share data) 2008 2008 2008
Loans receivable
Taxable $49,828 $49,023 $51,101
Tax exempt 321 178 165
Investment securities
Taxable 2,943 2,947 3,249
Tax exempt 1,379 1,452 1,513
Federal funds sold 10 3 8
Deposits with financial
institutions 146 133 282
Federal Reserve and Federal Home
Loan Bank stock 351 370 335
------------ ------- --------
Total interest income 54,978 54,106 56,653
------------ ------- --------
Interest expense
Deposits 16,213 16,297 19,433
Federal funds purchased 502 577 669
Securities sold under repurchase
agreements 650 632 816
Federal Home Loan Bank advances 2,724 2,825 3,036
Subordinated debentures,
revolving credit lines and term
loans 1,635 1,602 1,890
------------ ------- --------
Total interest expense 21,724 21,933 25,844
------------ ------- --------
Net interest income 33,254 32,173 30,809
Provision for loan losses 7,094 7,070 3,823
------------ ------- --------
Net interest income
After provision for loan losses 26,160 25,103 26,986
Other income
Service charges on deposit
accounts 3,568 3,157 2,931
Fiduciary activities 1,932 2,126 2,142
Other customer fees 1,696 1,767 1,679
Commission income 1,457 1,427 1,669
Earnings on cash surrender value
of life insurance 519 606 738
Net gains and fees on sales of
loans 648 668 643
Net realized gains (losses) on
sales of available-for-sale
securities (1,255) 13 73
Other income 655 570 652
------------ ------- --------
Total other income 9,220 10,334 10,527
------------ ------- --------
Other expenses
Salaries and employee benefits 15,330 15,698 16,098
Net occupancy 1,857 1,750 1,805
Equipment 1,649 1,643 1,654
Marketing 605 612 484
Outside data processing fees 1,068 1,009 882
Printing and office supplies 281 291 281
Core deposit amortization 809 808 790
Other expenses 5,516 4,593 4,279
------------ ------- --------
Total other expenses 27,115 26,404 26,273
------------ ------- --------
Income before income tax 8,265 9,033 11,240
Income tax expense 2,516 2,491 3,114
------------ ------- --------
Net income $5,749 $6,542 $8,126
============ ======= ========
Per Share Data
Basic Net Income .32 .37 .45
Diluted Net Income .32 .36 .45
Cash Dividends Paid .23 .23 .23
Average Diluted Shares
Outstanding (in thousands) 18,196 18,159 18,055
FINANCIAL RATIOS
Return on Average Assets .60% .69% .86%
Return on Average Stockholders'
Equity 6.58 7.46 9.43
Avg. Earning Assets to Avg.
Assets 91.02 90.94 90.38
Allowance for Loan Losses as % of
Total Loans 1.14 1.05 .99
Net Charge Off's as % of Average
Loans (Annualized) .49 .61 .41
Dividend Payout Ratio 72.80 63.85 51.10
Average Stockholders' Equity to
Average Assets 9.09 9.30 9.17
Tax Equivalent Yield on Earning
Assets 6.39 6.41 6.78
Cost of Supporting Liabilities 2.48 2.56 3.04
Net Interest Margin (FTE) on
Earning Assets 3.91 3.85 3.74
December 31, September 30,
(in thousands, except share data) 2007 2007
Loans receivable
Taxable $53,338 $53,081
Tax exempt 302 368
Investment securities
Taxable 3,487 3,581
Tax exempt 1,623 1,613
Federal funds sold 39 41
Deposits with financial institutions 194 145
Federal Reserve and Federal Home Loan
Bank stock 344 328
----------- ------------
Total interest income 59,327 59,157
----------- ------------
Interest expense
Deposits 22,398 23,327
Federal funds purchased 692 996
Securities sold under repurchase
agreements 1,182 1,195
Federal Home Loan Bank advances 3,250 3,302
Subordinated debentures, revolving
credit lines and term loans 1,910 1,802
----------- ------------
Total interest expense 29,432 30,622
----------- ------------
Net interest income 29,895 28,535
Provision for loan losses 2,450 2,810
----------- ------------
Net interest income
After provision for loan losses 27,445 25,725
Other income
Service charges on deposit accounts 3,206 3,241
Fiduciary activities 2,094 1,985
Other customer fees 1,686 1,767
Commission income 1,031 1,175
Earnings on cash surrender value of
life insurance 1,186 998
Net gains and fees on sales of loans 546 749
Net realized gains (losses) on sales of
available-for-sale securities 1
Other income 383 933
----------- ------------
Total other income 10,133 10,848
----------- ------------
Other expenses
Salaries and employee benefits 14,738 14,583
Net occupancy 1,619 1,818
Equipment 1,619 1,645
Marketing 505 560
Outside data processing fees 872 972
Printing and office supplies 329 394
Core deposit amortization 789 789
Other expenses 4,776 4,241
----------- ------------
Total other expenses 25,247 25,002
----------- ------------
Income before income tax 12,331 11,571
Income tax expense 3,021 3,221
----------- ------------
Net income $9,310 $8,350
=========== ============
Per Share Data
Basic Net Income .51 .46
Diluted Net Income .51 .46
Cash Dividends Paid .23 .23
Average Diluted Shares
Outstanding (in thousands) 18,138 18,276
FINANCIAL RATIOS
Return on Average Assets 1.00% .90%
Return on Average Stockholders' Equity 11.10 10.14
Avg. Earning Assets to Avg. Assets 90.70 90.88
Allowance for Loan Losses as % of Total
Loans .98 .96
Net Charge Off's as % of Average Loans
(Annualized) .26 .39
Dividend Payout Ratio 45.10 50.00
Average Stockholders' Equity to Average
Assets 8.98 8.91
Tax Equivalent Yield on Earning Assets 7.13 7.17
Cost of Supporting Liabilities 3.47 3.65
Net Interest Margin (FTE) on Earning
Assets 3.66 3.52
LOANS
(in thousands, except share September 30, June 30, March 31,
data) 2008 2008 2008
Commercial and industrial
loans $851,233 $815,137 $724,643
Agricultural production
financing and other loans to
farmers 136,176 125,125 123,314
Real estate loans:
Construction 167,512 181,598 178,171
Commercial and farmland 966,259 954,672 961,431
Residential 731,065 718,065 728,956
Individuals' loans for
household and other personal
expenditures 145,345 161,387 174,857
Tax exempt loans 34,010 22,553 11,646
Lease financing
receivables, net of
unearned income 9,262 9,158 8,438
Other loans 37,906 30,901 26,254
------------ ---------- ----------
3,078,768 3,018,596 2,937,710
Allowance for loan losses (34,985) (31,597) (29,094)
------------ ---------- ----------
Total loans $3,043,783 $2,986,999 $2,908,616
============ ========== ==========
(in thousands, except share data) December 31, September 30,
2007 2007
Commercial and industrial loans $662,701 $626,301
Agricultural production financing and
other loans to farmers 114,324 113,132
Real estate loans:
Construction 165,425 160,624
Commercial and farmland 947,234 912,063
Residential 744,627 769,890
Individuals' loans for household and other
personal expenditures 187,880 194,181
Tax exempt loans 16,423 28,726
Lease financing receivables, net of
unearned income 8,351 8,932
Other loans 29,878 55,152
----------- ------------
2,876,843 2,869,001
Allowance for loan losses (28,228) (27,635)
----------- ------------
Total loans $2,848,615 $2,841,366
=========== ============
DEPOSITS
September 30, June 30, March 31,
2008 2008 2008
(in thousands)
Demand deposits $921,034 $932,017 $881,498
Savings deposits 540,596 546,951 562,942
Certificates and other time
deposits of $100,000 or more 469,426 444,967 459,038
Other certificates and time
deposits 983,227 939,700 909,649
------------- ---------- ----------
Total deposits $2,914,283 $2,863,635 $2,813,127
============= ========== ==========
December 31, September 30,
2007 2007
(in thousands)
Demand deposits $903,380 $825,185
Savings deposits 552,379 508,139
Certificates and other time deposits of
$100,000 or more 470,733 472,842
Other certificates and time deposits 917,629 953,009
------------ -------------
Total deposits $2,844,121 $2,759,175
============ =============
Source: First Merchants Corporation
Contact: First Merchants Corporation Mark K. Hardwick, 765-751-1857 Executive Vice President/Chief Financial Officer http://www.firstmerchants.com